Mortgage AR Networks

MortgageMamma

Hello - this post is just aimed at Brokers/IFA's

I am on the verge of joining a network called Ingard - I've spoken to a lot of networks and I'm very comfortable with these people so far and I like the fact its a small network. I also like the fact that have an office in the North of England for training etc as most networks are in the south.

I've done my due diligence as far as financials are concerned and I'm happy with that but I would like to hear from people who have/are/ working with them and if I am missing anything crucial such as how good is their reputation, do you see them with exclusives on sources systems, any historical regulatory issues etc.

I did contact Which Network twice but nobody bothered getting back to me so any help would be really appreciated.

MM

MortgageMamma

anyone? tumbleweed moment....

magpiecottage

It is very difficult to give specific comment as you have not indicated how your business plan is supposed to work.

However, if joining a network find out what happens if a claim is made against you. Will you be expected to pay a FOS fee if it goes that far - or even the cost of the initial investigation?

Will there be a PI excess to pay if the complaint is upheld? How much would it be? Would it increase when the network's policy comes up for renewal or if the regulator allows it?

Would you be held personally liable to meet that cost - particularly look at what happens if you have stopped trading. Before joining a network it is important to know your exit strategy.

And be aware that there have been members of networks that courts have found liable when the network has gone belly up.

That is not to say you should definitely not do it - but do look carefully.

Senior_Paper_Monitor

... and what are the costs (and client bank) implications of subsequently leaving them for another solution ?

... and what are their back office technology solutions (can you provide your own) ?



I see they are offering DA and AR options, and they appear very flexible on their approach to panels etc - will be interested to hear how you get on.

MortgageMamma

Thanks for the comments magpie, I'm glad someone replied, I used to have lots of contacts in the mortgage broker community but now they are all gone.

The network have their own back office system, I and keen on them because they are not restricted to a panel and are quite small but I know a lot of networks went belly up whilst I was out of the industry so I'm being careful. The companies PI arrangements are ok with me, excess to pay, I must admit I didn't ask about the FOS fee how much is that? I do need to check the exit strategy, I've made them aware I'm only prepared to advise on protection business if I can have it on non indemnity and they were happy with that, and I know its usual practice for a mortgage network to freeze pipeline commission payments to balance risk when you leave but I doubt there will be any such risk as I'm an ultra cautious adviser and I've never as much as a grumble from a customer let alone a complaint. I hope I never will.

I also have the opportunity to work with a small DA firm of 3 advisers who sound like a nice set up. I really did like the director, but I've worked for 2 DA firms who failed to pay me about 10 years ago so am cautious of that option too.

dunstonh

Shame you are not our way. We are looking to take on a few more mortgage advisers.

amnblog

Have you done and internet search using their name and FCA number to check out the other ARs?


This should give you more of an idea who you are hitching your wagon to.


I would also seek trading figures from Companies House to ensure they are financially stable.


I have a friend who has been AR/RI with 3 or 4 firms since 2007 as each one ran out of money or got stupid with service levels leaving him having to move on.

MortgageMamma

Thanks DunstonH I'll take that as a compliment as I know how well established and respected you are.

AMN Blog, whats happened to your friend is exactly what I am trying to avoid, I know how messy is can be to leave a network, or even an AR firm depending on how your relationship is with them. Most of the big networks won't touch me due to not being CAS but I don't want to "use" a smaller firm until I've got CAS and then clear off as I think its unfair. I absolutely love marketing and I have very clear ideas as to my own branding and I do think you take yourself more seriously when you are a solo ar responsible for everything yourself. Its a matter of pride.

I did check companies house re financials for the network, I only had one minor concern about a long term investor,

amnblog

If you have been out for a long time and are not CAS you need to think very carefully.

The market has changed beyond all recognition in recent years. You need to be literally working 'next to' someone with recent experience.

MortgageMamma

amnblog wrote: »

If you have been out for a long time and are not CAS you need to think very carefully.

The market has changed beyond all recognition in recent years. You need to be literally working 'next to' someone with recent experience.

that's why I was thinking the DA firm would be the better option (as well as having a natural locum arrangement), as there are 3 brokers working together from different regions, each having 20+ years experience. I've been keeping up with the changes generally - I never had training initially to become an adviser I was thrown in at the deep end and had to learn the hard way with some things as my employer at the time wasn't prepared to spend time with me and I wasn't as, how can I put it, assertive as I am now :rotfl: I've made the DA firm well aware that if they want me on board they'll have to cope with holding my hand and picking their brains on non straightforward stuff.

How long you been in the job AMN? Did you survive the banking crisis?

amnblog

I've been doing this since just after the war!