8 January 2004
Research from Platform shows intermediaries' change of heart on
regulation
Research from Platform, the
“one-stop” intermediary lender of Britannia Building Society, shows
that since the FSA published its final rules on mortgage regulation
in October, 21% of intermediaries are now planning to become
Appointed Representatives compared with 12% before
October.
Platform carried out research amongst intermediaries before and
after the announcement of the final rules. Before the rules were
announced 53% of intermediaries planned to be directly authorised
by the FSA but following the announcement 47% plan to take this
route. Also, 21% plan to become a member of a mortgage club or
network, but are unsure whether they will opt for direct
authorisation or become tied at this stage. Nearly 20% fewer plan
to be fully advised as only 75% now prefer this option (94% said
they would be Fully Advised in October).
There is also a significant change in the way intermediaries
plan to source KFIs with 56% now saying they will use a sourcing
system, compared to 41% previously, and 26% proposing to use a
lender website, compared to 20% before.
Guy Batchelor, Director of Sales and Marketing, Platform
commented:
“The data we have collected is from two separate research
studies, before and after the FSA’s announcement of the final rules
on mortgage regulation. We are very interested to see the
difference in opinion following the announcement as it looks as if
a lot more intermediaries are planning to be appointed
representatives and slightly fewer will become directly authorised.
This is undoubtedly due to a greater awareness of how regulation
will affect them and this is due in no small measure to intense
coverage of regulation in all the trade press and the use of
mortgage trade seminars & exhibitions to educate
intermediaries.”
“As a lender, we will continue to support packagers, independent
advisers & mortgage brokers and will continue to work with all
our intermediaries to help them through
regulation.”
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