Why become a mortgage broker

leet_first

As I work for a company that provides a full admin support service to mortgage brokers, I would obviously recommend that option to a lot of sole traders and small brokerages. I would agree wholeheartedly with the sentiment that you need admin support to chase all the niggling details from both client and lender, and this is much cheaper done by someone less qualified than a IFA or CeMap.

MortgageMamma

HelpWhereIcan wrote: »

You do right to focus on the fundamentals Lisa. I have made some serious errors by trying to do more in the past (and my PA would say I am still easily distracted) - would be much healthier financially now if I had ignored some distractions in the past

HelpWhereIcan wrote: »

I have been distracted beyond belief this past 18 months with various things, men problems, a dishonest employer, house moves, this forum, - its taken me a while to find the right direction to go in and build up the courage to do it. I still get a little distracted but since I've had my own business (my baby) I've been a lot better. It makes all the difference when you are doing it for yourself and not someone else. Just wish I had a bit more cash to inject at the moment!


I am interviewing on Tues - first time as the employer rather than the manager - always had someone to do a second interview with me which sometimes stopped me making silly errors with certain people.

Hope I manage to avoid employing a muppet - i can be too nice and employ someone cos I like them rather than they can do the job. Having said that, I once showed someone the door very quickly only to find that a competitor took them on for them to become a top producer

I think you will be an excellent employer, your principles and ethics are impeccable and anyone who works for you will be very fortunate. I will have a think about interview questions this evening and if I come up with anything useful I will PM you with it. I would say the keys to finding the right candidate though come predominantly in non verbal form. Watch the body language and the eye contact. Remember some people (me included) can come across over confident and a bit bolshy if nervous. Some of the questions in this thread would be useful. What made you want to be an adviser/ where do you see yourself and the industry and three years time. What do you enjoy the most/what do you dislike the most. If your clients were going to describe you to me what would they tell me?

PS I would say that is the biggest problem with your plan to take on new entrants - it is very hard for even the most experienced Financial Services managers to spot those who would be good, productive advisers. That is why the majority of small firms do not take new entrants. Like it or not, first year failure rates are high and most of us can't afford the money let alone the time that it may take to turn one in three new entrants into productive advisers.

I'm hoping to take on one of two advisers that I already know. One needs a bit of taming but I'm good at that, and the other one, well I'm doubtful he'll join me as he's happy where he is but I live in hope. My network are talking to me about training etc now, so hopefully I will be ready by the end of the year. I want to be a good manager, but I have a great mentor whose AR's have been with him between 5-10 years so I think I will be.

HelpWhereIcan

I left my last firm on very good terms and still ring the partner who used to manage me fairly regularly for a bit of advice. In fact i am sure that it won't be long before he starts asking for a share in my profits. lol.

If I can model myslef on him i should do ok - problem is, he had his partner to play bad cop. If you walked into the office and one of the admin said

"mike, X wants to see you"

You knew you had done a good job. If it was

"mike, Y wants to see you"

You knew you had better be able to account for every lead they had provided you with.

Both great guys (and extremely good advisers) but each had their own, special man management skills. I am just one man most of the time - had better start developing my split personality.

jamesd

JoeK wrote: »

Northern Rock have approached clients introduced to them and re-written the mortgage case and life insurance that we arranged. Further to this Bristol & West have just done something similar. We have reported NR to the FSA for taking the client out of whole of market to tied.

Assuming it's not renewal business, that's a nasty abuse of the relationship and the requirement on you to continue to use them if they are offering the best product. I don't see why the FSA would be interested provided the products are identical. If they aren't that's more interesting.

Sounds more like a case for breach of contract on the introducer agreement.

MortgageMamma

HelpWhereIcan wrote: »

I left my last firm on very good terms and still ring the partner who used to manage me fairly regularly for a bit of advice. In fact i am sure that it won't be long before he starts asking for a share in my profits. lol.

If I can model myslef on him i should do ok - problem is, he had his partner to play bad cop. If you walked into the office and one of the admin said

"mike, X wants to see you"

You knew you had done a good job. If it was

"mike, Y wants to see you"

You knew you had better be able to account for every lead they had provided you with.

Both great guys (and extremely good advisers) but each had their own, special man management skills. I am just one man most of the time - had better start developing my split personality.

Oh can I be bad cop please?! LOL

There is someone I can refer you to on this site if you need some assertiveness and people management development, but these are things that develop with experience.

I expect my ARs will run rings around me just like my kids do, I'm far too nice for my own good sometimes which leaves me vunerable. Have you thought about reading some books on management skills? I expect they can only enhance what you already know - Dont know any good ones to suggest unfortunately but I can look into it!

HelpWhereIcan

jamesd wrote: »

Sounds more like a case for breach of contract on the introducer agreement.

That's the problem james, none of the introducer agreements actual address the question of 'client ownership' and concern themselves mainly with the initial introduction.

Things may change as the market tightens up(lenders rely on us for 70% ish of their business) and there are already some lenders that are more 'broker friendly' in terms of the ongoing relationship than others, but as in every business, a broker will have to rely on good service to distinguish themselves from online portals, going direct etc etc.

That is our main weapon for long term survival - personal service and long term relationships. Providing we can offer the customer the same options at the same cost (or less) for less hassle than doing it themselves, brokers have a long term future.

MortgageMamma

Added to which we ARE required more so for complex lending situations and this is where most of us derive most pleasure from the job. I have had a few clashes with BM solutions of late regarding them passing my clients details to legal and general for insurance - there is nowhere on the declaration for the clients to opt out of this, and in the case of online applications the info is passed to L&G WELL before they receive the decs. I was made aware of this by my sister when I did her mortgage and when I phoned a few other clients they confirmed thy were contacted also. I'd quite like to buoycot the lender but I can't do that as its not fair on my clients as they are competitive. Totally unfair talk about biting the hand that feeds you.

JoeK_3

jamesd wrote: »

Assuming it's not renewal business, that's a nasty abuse of the relationship and the requirement on you to continue to use them if they are offering the best product. I don't see why the FSA would be interested provided the products are identical. If they aren't that's more interesting.

Sounds more like a case for breach of contract on the introducer agreement.

And that is the issue but not just for us but all of you too.

JoeK

HelpWhereIcan

MortgageMamma wrote: »

Oh can I be bad cop please?! LOL

only of you dress appropriately.

MortgageMamma wrote: »

I expect my ARs will run rings around me just like my kids do, I'm far too nice for my own good sometimes which leaves me vunerable. Have you thought about reading some books on management skills? I expect they can only enhance what you already know - Dont know any good ones to suggest unfortunately but I can look into it!

I am not really a nice person to work for - I am a bit picky and like things to be just so. I would not like to work for me.

But have not had someone complain when I was an FS manager and my PA seems to quite like me as she has already been offered more money and stayed (I nearly kissed her but have already been threatened by her army hubby) and 2 of her friends are interviewing for the admin post. (yay me)

I am a big fan of Tony Robbins and try to apply what he says to my own life and use that as my model behaviour to try and get my staff to emulate. Problem is, I am too fat, too poor and too lethargic to be a true Tony Robbins man. But he has done wonders for me and I hate to imagine where I'd be without.

JoeK_3

MortgageMamma wrote: »

Added to which we ARE required more so for complex lending situations and this is where most of us derive most pleasure from the job. I have had a few clashes with BM solutions of late regarding them passing my clients details to legal and general for insurance - there is nowhere on the declaration for the clients to opt out of this, and in the case of online applications the info is passed to L&G WELL before they receive the decs. I was made aware of this by my sister when I did her mortgage and when I phoned a few other clients they confirmed thy were contacted also. I'd quite like to buoycot the lender but I can't do that as its not fair on my clients as they are competitive. Totally unfair talk about biting the hand that feeds you.

Write a letter with your positive head on and I'm sure that they would listen.

JoeK