View more on these topics

MP in &#39igroup secret commission&#39 claim

Sub-prime lender igroup has been slammed in the House of Commons by Labour MP Barry Gardiner over claims of secret commission on past loan contracts.

In a Commons debate last week, Gardiner urged DTI minister Melanie Johnson to meet with igroup owner GE Capital over allegations of undisclosed commission on the lender&#39s previous loan contracts and described igroup as “extremely disreputable”.

Speaking in the debate, Gardiner said: “The mortgage code is ritually ignored in the sub-prime market, so the borrower does not know of the secret commissions that are paid when he or she takes out a loan. They form part of the illegal commissions that companies such as CMC, Ocwen and the igroup have been receiving and have based their business on for many years.”

Johnson pledged to examine whether consumer credit licensing can be extended to allow the Office of Fair Trading to crack down on rogue lenders, including their possible expulsion from the mortgage market.

GE Capital Europe director of communications Ivan Royle says: “We are aware of the debate and Mr Gardiner&#39s comments. We will be making a full response in due course.”


Old Mutual and Gerrard join up to create top 20 fund firm

Old Mutual is to merge Gerrard Investment Funds with Old Mutual Asset Managers in a move which will propel Omam into the top 20 biggest UK fund firms.The merged firm will run under the Omam brand, with the Gerrard name being pha-sed out for all but the portfolio management division.Omam chief executive John Ainsworth will […]

&#39Sandler must see value of IFAs&#39 – The Marketplace at Bradford and Bingley

Rather than submit a written response to the Sandler review, National IFA The Market-place at Bradford & Bingley was visited by the review team. The team asked B&B about its commission structure, how its product panels are formed and how it researches the funds it recommends.B&B says the review team was especially interested in how […]

FSA &#39could have done better&#39 on Equitable

The FSA&#39s inquiry into its own handling of Equitable Life claims the patient was dead on arrival. Nevertheless, the report is a candid account of the regulator, which FSA chairman Howard Davies accepts makes “pertinent criticisms” of its regulation of the troubled insurer.The 260-page report was finally published last week – “flushed out” in the […]

Public turning away from face-to-face advice

More than half of the public would prefer not to have a face-to-face meeting with a financial adviser, according to new research by Marlborough Stirling.Although 47 per cent of consumers prefer to meet their adviser in person, new media channels are gaining a hold with the public as an advice source.Software firm Marlbor-ough Stirling believes […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers. Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and thought leadership.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm