Secret Commissions?

sam_b2bl

sophiak wrote: »

Hi clapton,

What I am trying to achieve is that Blemain Finance paid my broker an extra commission for arranging this loan for us. A commission that was not disclosed to us, sorry is I sound a bit confusing in my wording. The only fee payable to the broker was for £1,750.00 we did not know that Ocean Finance received extra commission.[/quote


So your complaint is that The broker got paid for placing your loan? It didnt cost youy anything extra, it was paid by the lender to the broker for introducing the business. That is how the company makes their money.

The broker fee is used to pay the associated costs of the loan such as legal costs, valuation, processing costs etc.

Look at it this way, would you have turned the money down if you were told at the time that the broker was going to get paid for all the work they were doing for you? its not cost you anything extra.

petermb_2

sam_b2bl wrote: »

sophiak wrote: »

Hi clapton,

What I am trying to achieve is that Blemain Finance paid my broker an extra commission for arranging this loan for us. A commission that was not disclosed to us, sorry is I sound a bit confusing in my wording. The only fee payable to the broker was for £1,750.00 we did not know that Ocean Finance received extra commission.[/quote


So your complaint is that The broker got paid for placing your loan? It didnt cost youy anything extra, it was paid by the lender to the broker for introducing the business. That is how the company makes their money.

The broker fee is used to pay the associated costs of the loan such as legal costs, valuation, processing costs etc.

Look at it this way, would you have turned the money down if you were told at the time that the broker was going to get paid for all the work they were doing for you? its not cost you anything extra.

Do you honestly think the client is not paying for the commission received? Dont be naive. The cost will be included in the APR.

Ian_Griffiths_Halifax

While I am totally for people claiming back these very high undisclosed commissions from unscrupulous loan arrangers, I wonder just how much the OP knows about what he's doing. He sounds to know far more than the average man on the street who is putting his first post on a forum!

petermb_2

Ian_Griffiths_Halifax wrote: »

While I am totally for people claiming back these very high undisclosed commissions from unscrupulous loan arrangers, I wonder just how much the OP knows about what he's doing. He sounds to know far more than the average man on the street who is putting his first post on a forum!

Perhaps so but the post brought out the usual names with the usual snipes. Nothing constructive but digs and bleats. What a waste of their time and ours.

sam_b2bl

petermb wrote: »

sam_b2bl wrote: »

Do you honestly think the client is not paying for the commission received? Dont be naive. The cost will be included in the APR.

So are you suggesting that the brokers should do their work for free?
Would be nice if that were the case. Maybe we should start asking everyone to do their jobs for free. Like solicitors, and builders, and dentists. Maybe you should start going into shops and asking them to take off their profit margins and charge you the price they pay from their supplier? Maybe go to a car show room and ask to pay just the cost of the nuts and bolts?

Have you considered that fact that possibly going through this broker who "ripped you off by earing a few quid in commission" acutually got you a better deal than would have been available direct? Or an even stronger likeleyhood that they got you a deal that wasnt available at all to the public?

It time this county dropped the ambulance chasing society that it seems to be turning to as its one of the main reasons that we are in all this sh*t we are in now.

petermb_2

sam_b2bl wrote: »

petermb wrote: »

So are you suggesting that the brokers should do their work for free?
Would be nice if that were the case. Maybe we should start asking everyone to do their jobs for free. Like solicitors, and builders, and dentists. Maybe you should start going into shops and asking them to take off their profit margins and charge you the price they pay from their supplier? Maybe go to a car show room and ask to pay just the cost of the nuts and bolts?

Have you considered that fact that possibly going through this broker who "ripped you off by earing a few quid in commission" acutually got you a better deal than would have been available direct? Or an even stronger likeleyhood that they got you a deal that wasnt available at all to the public?

It time this county dropped the ambulance chasing society that it seems to be turning to as its one of the main reasons that we are in all this sh*t we are in now.

No I did not say that brokers should work for free. And there you go, like the rest of the ostriches trying to blame the claims culture for the mess we find ourselves in.
The blame for the current financial crisis rests squarely on the shoulders of the institutions.

sam_b2bl

petermb wrote: »

sam_b2bl wrote: »

No I did not say that brokers should work for free. And there you go, like the rest of the ostriches trying to blame the claims culture for the mess we find ourselves in.
The blame for the current financial crisis rests squarely on the shoulders of the institutions.

I would dissagree with that. I accept that the institutions have a part to play in the mess but the blame lies with everyone. Banks, brokers, customers, everyone.
i didnt hear anyone complaining when it was easy to get credit? Now everyone is complaining that that they cant get a loan, or the loan is too expensive.

But now that we are in this mess the worst thing we can do is start chasing each other for money that none of us have. Everyone wants the lending markets the free up a bit so we can get the economy working again. The fact that everyone is now looking the screw other people for missadvice, broker fees, PPI, 'secret commissions' etc etc is just making everyone more nervous.
The really sickening thing is that the majority of the compensation wont be paid by multi million pound making banks who should pay but will be shouldered by everyday, run of the mill mortgage advisors and IFAs, people who currently dont have 2 pennies to rub together. And what did they do to deserve this? they did their job and gave their customer exactly what they asked for.

petermb_2

Sorry you are talking from emotion and frustration and not fact. The broker business is gone. I cant see it coming back the way it was either.

I also disagree with your idea that it will be brokers and IFAs that will pay. They are called brokers because most of them are broke so what is the point of chasing someone with no money. The lenders will pay because it is they that have created the debacle.

sam_b2bl

petermb wrote: »

Sorry you are talking from emotion and frustration and not fact. The broker business is gone. I cant see it coming back the way it was either.

I also disagree with your idea that it will be brokers and IFAs that will pay. They are called brokers because most of them are broke so what is the point of chasing someone with no money. The lenders will pay because it is they that have created the debacle.

Not to be rude, But you seem to be talking out of your ar*e. Maybe its because you have wasted the last few months of your life on this website (judging by your post count). Maybe instead of getting an ego hit from givinig people sh*t advise on this forum you should man the f*ck up and step back into the real world.
Most people who post problems on here deserve to be in the sh*t they are in if they are stupid enough to sign up to such things as loans they cant afford, and insurance they decide they dont need after not making a claim.
Why has the credit crunch suddenly made every other person an expert on all things finance? Suddenly everybody is ' oh is saw this happening years ago. its those greedy stock brokers. Oh hedge funds are the problem. Bankers are all crooks. etc etc'
The simple fact is if you borrow money you have to pay it back. If you cant or wont, dont borrow it. Simple as.

petermb_2

sam_b2bl wrote: »

Not to be rude, But you seem to be talking out of your ar*e. Maybe its because you have wasted the last few months of your life on this website (judging by your post count). Maybe instead of getting an ego hit from givinig people sh*t advise on this forum you should man the f*ck up and step back into the real world.
Most people who post problems on here deserve to be in the sh*t they are in if they are stupid enough to sign up to such things as loans they cant afford, and insurance they decide they dont need after not making a claim.
Why has the credit crunch suddenly made every other person an expert on all things finance? Suddenly everybody is ' oh is saw this happening years ago. its those greedy stock brokers. Oh hedge funds are the problem. Bankers are all crooks. etc etc'
The simple fact is if you borrow money you have to pay it back. If you cant or wont, dont borrow it. Simple as.

No, to be fair you are being very rude and pretty damn ignorant . As I have said before greed and arrogance has created the state of affairs and the arrogance will keep it rolling that way. You just proved it.