Take extra care when using brokers at moment

payless

My feelings on the correct approach ....
if both we (brokers) and the lenders work under the same regulator, we should be able to advise on and process all lenders deals, even if some of those are non commission paying , then its up to the adviser to agree a suitable payment with this client for advice and service ( commisison/ fee / rebate/ taking of first born child ... whatever , or any combination ) , and only those that work under that format should be called independent ( or WoM... although that might as well go) ...

any other service ( ie those selling commission only products) should identify this fact and could be named accordingly ...

Ian_Griffiths_Halifax

Dan_Collins wrote: »

Ian I think you miss the point. The client does not have to go direct but for .50% a client would have to be pretty thick not to go for it.

Agreed. Some times!

Ian_Griffiths_Halifax

payless wrote: »

My feelings on the correct approach ....
if both we (brokers) and the lenders work under the same regulator, we should be able to advise on and process all lenders deals, even if some of those are non commission paying , then its up to the adviser to agree a suitable payment with this client for advice and service ( commisison/ fee / rebate/ taking of first born child ... whatever , or any combination ) , and only those that work under that format should be called independent ( or WoM... although that might as well go) ...

any other service ( ie those selling commission only products) should identify this fact and could be named accordingly ...

Absolutely.

If a client were to go to his accountant and sit down with him to identify Tax Deductable expenses and Tax saving areas, then the client said, 'thanks, I'll go away and do Self Assessment my self now you've identified the savings', would the client not expect to get a bill for time from his accountant?

I'm pretty certain that most people would prefer good advice on mortgages, and most are willing to pay. However, many want any fees adding to the mortgage because they don't have any money and that's the reason they are in front of you in the first place, so the chances of getting paid by the majority just for giving advice to go direct, is pretty slim.

In cases where I've told people to go direct I've not charged anything despite spending 1 1/2 to 2 hours with the client plus travelling time. I've done this on the basis of 'best advice' and my reputation for being fair, honest and helpful and the fact that they would remember me in the future. However, this would have to change if the lenders were to continue doing what they are doing and I would have to charge a fee for sending them direct. I'd have no objection to that.

Fortunately there looks to be an end in sight as the lenders are getting hassle from many angles to play fair.

aliwali

We have been through our IFA since we first started buying houses. He held his hands up and said that he couldn't compete with HSBC and that we should go with them. He even offered to come over and help us fill in the forms if we needed him to. All this for no fee I might add.

He's a star.
Alison

Ian_Griffiths_Halifax

You have a good broker there Alison. Can I ask you to repay his honesty by giving him the opportunity to quote you for any life assurance or protection products you might need.

toonfish

It looks like the FSA are finally taking an interest and we shall see exactly how serious they are about "treating customers fairly"

minimike2

Christ this thread is like a runaway train!

AndyH - Woolwich do NOT do self cert. They do fast track, but they do a random sample of income checks on 1 in 5 of applications on this basis. If you need self cert your business should NOT be placed with Woolwich.

Funny how they pay an enhanced proc on Offset products.....thats all im saying.

Conrad

Hey guys I'm really cheerful today and thought you might like to know there is still quite a bit of business out there.

Very hard work and tons of research but its paid off, in the last week alone Ive written (and fully expect to Bank) £5000. The One account is proving popular for 95% remortgages as there are no legal fees and just a total fee of £235.
The rate is 6.8% which sounds high but once you factor in the negligible fees, £0 erc (so free to remo at any time) and that rates are expected to fall, it can well be recommended as the overall cost especially if rates fall (which is v likely) is attractive.
Plus you get the flexible benefits.

Also getting quite a lot of secured loans enquiries and we have 2 exceptional tiny packagers that have been at it decades that are able to place stuff other brokers and packagers couldnt.

For packagers REMEMBER SMALL IS GOOD - forget the big or even slightly big packagers. Stick to one man bands that really know whet theyre about.

jediknightwarrior

About time, it looks like AMI are waking up. Here & Here.

silvercar

Also getting quite a lot of secured loans enquiries and we have 2 exceptional tiny packagers that have been at it decades that are able to place stuff other brokers and packagers couldnt.

Why is height linked to ability?