View more on these topics

Verso puts advisers on rate-rise alert

Specialist lender Verso is urging mortgage intermediaries to be ready for an increasing number of queries from clients following indications that the Bank of England is set to raise interest rates.

Last week, the bank&#39s quarterly inflation report raised its projections for growth and inflation, with deputy governor Mervyn King saying the monetary policy committee “stands ready to counter building inflationary pressures as and when they emerge.”

Verso says the media speculation that this announcement has created will leave borrowers wanting to know the potential effect of an increase in rates on their mortgages.

Although Verso believes any base rate rises are likely to be modest at the outset, it believes they could cause a flood of enquiries to advisers as purchasers and borrowers wanting to remortgage try to pin down a fixed or capped rate.

It says advisers should ensure they are aware of all the options available for clients who may not fit the criteria for mainstream lenders but who could get a good deal from niche banks.

Director of business development Eddie Smith says: “Even if rate rises do not actually happen until the autumn, increased speculation in the press will have the same effect in boosting interest in mortgage options.”


Scottish Legal Life closes to new business

Scottish Legal Life has closed to new business with effect from May 23, 2002.The Glasgow-based friendly society, which has 175000 members had been undertaking a major strategic review. But it says the high costs of writing new business and the burden of regulation meant it was forced into the decision to cease to write new […]

FSA probe clears split caps as &#39efficient equity vehicle&#39

The problems associated with split-capital investment trusts have been confined to a minority in the sector, with the balance posing no potential problems to investors, the FSA said last week in its much anticipated report.For those who understand and accept the associated risks, split caps remain a valid investment vehicle, says the regulator.As expected by […]

Guidelines for venture businesses

Sedgwick Independent Financial Consultants is issuing guidelines to local businesses which are looking to use Government venture capital funds.The guidelines emphasise the importance of insurance cover to ensure the companies can repay loans. The IFA stresses the importance of income protection insurance cover and scouring the market to get the most competitive rates.Last week, the […]

What they said in G80 workshops

“The IFA of the future will be a fully time-controlled, cost-driven, professional practice. The bigger distributors will have both and AFA and a smaller (initially) IFA part.“The AFA will look like second-class citizen.”“Advice firms have to emphasise ongoing relationships and move away from transactions. They will need IT to support this, service and marketing-orientated.”“Use of […]


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