Case Study needed for ITV1 Tonight program on the UK Mortgage Market

MortgageMamma

Ian_Griffiths_Halifax wrote: »

Wooooh. Take a chill pill. It was a joke and you are obviously having a sense of humour failure.

You have the gall to attack the FSA and the lenders for duel pricing and rant and rave to all who will listen just because YOU are having a difficult time, and then you have a go at me for having a joke because I can still smile as because I do a good job and can sleep at night.

The lenders are doing what THEY think is right for THEM and THEIR STAFF to keep them in jobs. I don't agree with it at all and don't support it by any means, but I have a joke on a play on words and you have an all out attack.

Change jobs and get a life. Perhaps then you might not be as stressed.

Note my signature. Don't think for a minute I have all my eggs in the mortgage basket. Thats a back track if I ever heard one.

BrokeRage

I would make the point that some fee-based mortgage brokers keep the commission as well and do not discuss protection at all because they are making so much money from the mortgage. They are right, in some respects when they say that commission is a payment for processing the application and obtaining the client's business for the lender.

I have had to start charging fees and including direct deals recently, but I previously used commission as my only payment for providing the client with advice and service as most deals paid commission.

I have a real issue with lenders passing the cost of obtaining independent advice on to the public when this was previously covered by commission, partly because they are, in some cases, not allowing brokers to assist the client at all (e.g. by making it a phone-based interview).

There was an advert some years ago about cutting out commission by Equitable Life....who then effectively went bankrupt. Now Direct Line keep hammering home a similar message about cutting out the middle-man. I am a middle-man and I use insurance deals that beat Direct Line all the time with equal or better cover (but then I don't have a call-centre or a multi-million-pound advertising budget to pay for! Commission is always painted as something terrible, but I consider it to be a route to free advice for the consumer.


There is a moral issue here as well though. People have varying degrees of experience with mortgage brokers, some good and some bad but, if you know of a good brokers, USE THEM. Ask them about direct deals and if they can get something as good, or even nearly as good, then do it with them or pay them a few hundred quid for their advice. Many brokers are being endangered by lenders (who are busily recruiting branch sales staff for mortgages during a credit crunch) and it will be a very different landscape for consumers if decent brokers disappear.

As for Martin Lewis, I pretty much agree with Mortgage Mamma. I am surprised that he shows so much patience sometimes.

BrokeRage

payless wrote: »

So will rewrite mean don't use brokers?

unless of course you back the cause for a change in what WoM means .

A business model from a broker that charges a research fee, which is then refunded if commisison earned is the most likely route to certainity ... as at least its as good as Fees free ( net after refund) and possibly better.

I wouldn't pay anyone an upfront fee unless I already knew that they were going to do a really good job. The argument is made that professional standards need to be raised, but I would argue that you can have a string of letters after your name and still be a rogue trader or an incompetent.

I'm qualified to do lots of things that I am rubbish at; I only do the things that I am good at and am familiar with (hence my concern about DIY mortgages).

MSE_Martin

To put your mind at rest Payless...

I will still be recomminding brokers - as the first step - but then am strengthing the 'other things you should check' section to ensure people also cover direct deals.

As I say when we've finished the fact check (not fat cheque, in fact the opposite I have my team members doing it and that involves payign salaries!) itll go on the site and I will let all mortgage moneysavers here have a look and feedback before it replaces the current article

Martin

Dan_Collins_2

Hello Martin

Hope your having a nice holiday.

I noticed your comments about judging the programe before it goes out, I think that will be based on the fact it is coming from ITV. Both ITV and the BBC have started dum down and sensationalise news and important subjects for ratings IMHO!!

I would be interested in your opinion on how the media affect the way we think. We listen to the red tops and trash TV more than ever!

dunstonh

have started dum down

its dumb you dum dum :rotfl:

I don't think you can accuse only ITV and BBC. ITV is certainly media for the lower end but Ch4 is probably worse in that it makes things up. Remember their climate change documentary?

MSE_Martin

ITV is a populist television channel... of course it is... but I think the dumb down argument is taken too far.

Of course when doing an ITV take on mortgages it contains less technical detail than if I were being interviewed for the FT or writing for the site. Yet its hugely important because you're getting the situation across to a wider audience.

With ITV1 Tonight, we were the first mainstream telly programme to do bank charges, PPI reclaiming, meaf reclaiming, we've done programmes on serious debt and more. And this is prime time between the Coronations Streets remember.

Television is a story telling mechanism... I'm always infuriated that when debt is done; most TV wants debt crisis which actually effects very few people - rather than dealing with debt which is what impacts most people.

In my career I've hopefully managed to work through a balance; if you give TV some of the sensationalism it requires (and that's all channels) you can get hugely important messages across.

What's important is to understand how little time you have in a TV programme.

A half hour on commercial television is actually 23 minutes
When you take out intros and outros, menus and in programme messaging (ie signposting whats coming) you're often down to 15-16 minutes of content.

Typically we speak at 3 words a second (or I'm about 3.5 ) but you can't speak constantly, you have to allow the pictures to breath...

So that's about 3,000 words altogether, case studies and setting up stories often takes 1,500 words of that. WHich leaves 1,500 words of content, but you have explain what things are - ie you can't say "repayment mortgage" you have to explaint the term.

So overall you actually have a very short piece. The job is therefore to use broad brush strokes, to give an overview of the situation - and for me - to encourage, enthuse and illustrate that by acting and dealing with problems you can solve them.

Of course those watching with expert knowledge will feel its underplayed - I often do myself even on my own programmes. But the wider picture is that to start educating people about how finance works and what is happening is the most important thing.

In my programmes - I do try and work out what the key points are - and how to illustrate them- but you have to give back to TV what works - and that is big emotional stories. In this programme my aim is to have a balance - the extreme cases and the normal families and to try and put the point across to all.

However for as many people who will think the programme is 'dumbed down' there'll be equal numbers who say "its too complex". You can't win for everyone.

And in much the same way - there is never a correct answer - there's always two opinions. Learning that some people will disagree with you, possibly hate you or even wish you were dead (see my blog at one letter from a mortgage broker) is a distaceful but necessary part of sticking your head above the parapet.

Martin

Dan_Collins_2

Dunston you dumb dummy, I know! Honest ;-)

Martin

You put your point across well. I do agree that not everybody knows and understands the complex side of mortgages. However I do believe that all stations are showing trash during prime time and leaving the good stuff and documentaries for the late night nites.

I think the media need to look at how they create histeria and worry as the public will suck in anything they throw at them.

I was not knocking your own style. I have a friend who is a producer for a TV company and it is surprising how many minutes of actual viewing or info are there. Imagine trying to do you job on loose woman! LOL

Ps. I dont wish you dead. I do find it hard to watch your shows or sections within shows but I would buy and share a pint with you when your not talking at 1.5 words per second! I bet you do more for the public than the broker who wants you dead!

Enjoy your hol's