Mortgage Strategy

LETTERS

letters to the editor mortgagestrategy welcomes readers’ letters intended for publication. Letters should be sent to: The Editor, Mortgage Strategy, 50 Poland Street, London W1F 7AX. Letters can also be emailed to mortgage.strategy@centaur.co.uk

16

✱ STAR LETTER

Mis-selling claims are best handled by experts

I wholeheartedly agree with Natalie Martin’s article in the April 27 issue on claims management firms and the situation regarding unenforceable loans and credit cards. I only accept referrals from those I know understand the details of such agreements and act in the best interests of clients. Sadly, this area of law now seems to be seen as the new personal injury market where management companies believe they can make a quick buck by selling on claims to solicitors. This explains why the Solicitors Regulation Authority appears to have been primarily concerned about new entrants to

‘‘ It seems to be seen as the new personal injury market where management companies can make a quick buck by selling on claims

the market. I have worked with clients, debt advisers and IFAs to assist clients who have been mis-sold or misguided when taking out financial products. This used to be a niche service which only those with an intimate knowledge of such matters undertook. But over the past nine to 12 months we have been inundated with approaches from claims companies looking to sell on leads that often have no legal merit. IFAs who have queries regarding potentially mis-sold

claims should seek legal advice from an expert rather than just searching out the nearest claims manager. This increased attention to such matters not only has the potential to harm solicitors but also the financial industry if the message is that it is the norm to dispute agreements. It’s not in our interest to process unsuccessful claims as this wastes our time and gives clients false expectations. Whether claims managers or IFAs, our litigation and conveyancing departments are keen to work with reputable individuals to serve clients’ best interests. JENNIFER MCGUINNESS LITIGATION SOLICITOR FORSHAWS DAVIES RIDGWAY

My comments on Abbey were meant to be constructive

I was delighted to see that Ricky Okey, managing director of Abbey for Intermediaries and Alliance & Leicester Intermediaries, had reacted to my article in the April 20 issue by putting finger to keyboard and emailing your letters pages (Mortgage Strategy April 27). My comments were based on Okey’s remarks in the magazine on April 6. In fact, the piece I wrote originally read that the Abbey “has seemingly abandoned any idea of ever paying a retention fee to brokers”. Over recent years I have on several occasions felt moved to comment on aspects of Abbey’s service, none of which has provoked a murmur from Okey, even when colleagues offered to camp out on his driveway in frustration. Being told last week that the processing unit could not give out the new phone number of our BDM to one of my colleagues is typical Abbey behaviour. I am a non-corporate mortgage adviser based north of Watford. My role as a contributor to Mortgage Strategy is to say it as I see it from that perspective. My comments are my own and do not represent either my firm’s or my network’s. I am prone to a moan but that shows the way ordinary brokers feel most of the time. However, I do try to be balanced. We all know lenders have their good phases and bad phases. Sometimes my comments have

www.mortgagestrategy.co.uk

made me unpopular with lenders, which is understandable, but it goes with the territory. Having worked for a lender I know that they have generally good people trying to do a good job, just like those of us on the other side of the fence. On the whole I know lenders are striving to run their businesses profitably and that they want to support the intermediary market. I hope most of them take my comments in the constructive sprit in which they are intended. I do not wish to jeopardise my working relationships. If I ever believed my business would be endangered by writing about our experiences, I would have to stop. Whether that would be morally right is debatable but there we go. As I said earlier, I do try to be balanced and tell readers when something good has happened. Our Abbey national account manager and BDM are excellent. I spent some time in another recent column singing the praises of our local Abbey BDM, who had gone the extra mile and more to get a case sorted.

www.mortgagestrategy.co.uk

Sponsored by

There should be no doubt over Abbey’s broker commitment

I was disappointed to see Sue Read’s article in the April 20 issue of Mortgage Strategy on Abbey for Intermediaries’ attitude towards brokers as I feel she has not understood all that we are doing for them. For example, Read thinks that we have abandoned the idea of paying retention fees. This is simply not true, we have not abandoned the idea, but despite our best endeavours we have not found a way to make it economically viable for our business to offer such a scheme. If we could find such a way, you can be assured that we will implement it. Indeed, this sentiment was recently covered in an article in Mortgage Strategy that followed our recent key accounts conference. We took time to explain our position on this and other matters close to the heart of the broker market in an open and honest way.

COMMENT

Some lenders’ statements in support of brokers seem to be in stark contrast with their actions pring is here again and not much competition last year but with it hope that the RBSIP put on a well constructed, housing market will start thought-provoking and intelligent to pick up. day that should cause those

S

Frustration as brokers get

mixed messages

SUE READ ASSOCIATE MONEYWATCH FINANCE

This time of year is a responsible for the standard traditional turning point in estate pen-gathering events that went agents’ calendars and in the past before to look again at their we in the mortgage industry have efforts. always felt the ripple effect of this. Grenville Turner, chief But this year I seem to be getting executive of Countrywide, made it conflicting signals. worthwhile staying until the last Estate agents are indicating a session. rise in activity and sales are on the I was also fortunate enough to up but at the mortgage coal face it spend some time after the forum

In particular, I would like to emphasise the word ‘open’ because in the current market it would be far too easy for us to close down and not communicate with brokers. This is not in our nature, and as one of the largest intermediary mortgage lenders we feel it is our responsibility to ensure we communicate all aspects of our business with you. We host events across the country throughout the year that echo this sentiment in all of them. We also invest a lot of time in communicating all aspects of our business to the intermediary market. Furthermore, our motive of offering the chance for brokers to package mortgages with other financial products from Abbey was then brought into question. Apart from offering general insurance these plans are still in the development stage. But I would have thought brokers would be delighted with the chance of offering added value to their customers at a time when the value brokers offer is what separates them from financial websites and other forms of non-advice-based mortgage information. There should be no doubt of our commitment to the intermediary market, as demonstrated by continued access we provide to broker exclusives, our recent investment in our new website, streamlining our BDM workforce and ultimately helping to bring Alliance & Leicester back as a strong lender in the intermediary market. Surely no-one would doubt that if we are willing to invest time and

● YOUR NEXT LETTER TO MORTGAGE STRATEGY COULD WIN YOU THIS FANTASTIC BOWMORE 12 YEAR OLD SCOTCH WHISKY COURTESY OF HODGE LIFETIME. PLEASE SUPPLY FULL CONTACT DETAILS

then we must be also committed to the success of it in the market and in turn to the needs and requirements of our customers. RICKY OKEY MANAGING DIRECTOR ABBEY FOR INTERMEDIARIES AND ALLIANCE & LEICESTER INTERMEDIARY SALES BY EMAIL

Higher commercial lending limit for mutuals is laughable

I was surprised to read that the Financial Services Authority could potentially increase the cap – currently 25% – on commercial lending for mutuals (Mortgage Strategy Online). Apart from one building society, the others seem to be doing okay. They are struggling to meet the fees imposed by the Financial Services Compensation Scheme to pay for failed banks and have been downgraded, but they have not managed to ruin the economy like banks have. The sentence attributed to Adair Turner, chairman of the FSA, that the restriction on commercial lending might be justified on the ground that societies are “less likely than large banks to have the credit skills required to do good commercial real estate lending” makes me laugh. Has he been asleep for the last year and a bit? TORILD BASTIEN INDEPENDENT MORTGAGE ADVISER IVER MORTGAGE COMPANY

Lenders mu 90% LTV if prices are to

Demand for property Lenders are restricti availability of funds are not able to obtain reasonable interest r that are more than 7 Lenders’ valuers downvalue propertie house prices is a self prophecy. This will c the case until lender grant 90% LTV mort I say grant rather it appears that the le 90% LTV mortgages merely as a sop to th but then not actually deals at 90% LTV. Sti keeps Prime Ministe Brown happy. NAME AND AD

Great rates Woolwich if manage to g

I was intrigued to re article on Mortgage S saying that Woolwich its mortgage rates by The rates might b once again Woolwich down. Lines open at through at 10.19am, a waiting 12 minutes w Legal & General mor funds had gone – lud

REID FINANC

MORTGAGE STRATEGY May 4, 2009

To view a Ceros magazine you need to have JavaScript enabled in your browser and have the flash player 8 or higher installed. To install the latest flash player, click the icon above, install the flash plugin and then click here to refresh this page.
If you believe you have the correct requirements please click here to skip our detection.