Mortgage Strategy back issues from March 2006:
COMMENT: Multi-channel is the way ahead.
Mar 06, 2006 ... Welcome to this special edition of Mortgage Strategy, edited by Drew Wotherspoon of John Charcol fame. Ensconced in one of the most powerful chairs in the mortgage industry, the view is nothing short of magnificent. I refer not to the distant vision of the London Eye, ...
Network targeted by spies.
Mar 06, 2006 ... Home of Choice has fallen victim to what police describe as an espionage attack after a break-in at its office in Chippenham. The network, which is celebrating its 1,000th recruitment application, suffered a break-in at the end of last year and has also unmasked an undercover ...
EU should follow our model, says AMI.
Mar 06, 2006 ... The Association of Mortgage Intermediaries says it will call on the European Union to follow the UK's regulatory model if it decides on integration of member state markets. A Green Paper looking at proposed integration is due out soon. Chris Cummings, director-general ...
Wotherspoon throws weight around at MS.
Mar 06, 2006 ... Mortgage Strategy was last week under the control of John Charcol's very own head of communications Drew Wotherspoon. John Garfield, John Charcol's enigmatic chief executive, bid #9,000 at the Broomstick Ball in October to edit the magazine for a week, with all money going to ...
Walton welcomes chance to rejoin John Charcol.
Mar 06, 2006 ... Ron Walton, the top business writing consultant at John Charcol throughout the 1990s and a previous managing director, has returned to the company, joining John Charcol Associates. JCA is the recently created self-employed division of John Charcol for top business writers. ...
IN BRIEF: Jowell could have known about deal.
Mar 06, 2006 ... MP Tessa Jowell is likely to have been aware that the #625,000 mortgage on her home had been paid off, despite her claims to the contrary, says Mortgage Express. Jowell denies any knowledge of the #344,000 allegedly paid to her husband David Mills in return for his testimony in a ...
IN BRIEF: Near prime options.
Mar 06, 2006 ... UK investors' appetite for overseas property is undimmed despite it not being able to be included in self invested ...
IN BRIEF: Grasp the equity opportunity.
Mar 06, 2006 ... Dean Mirfin, business development director at Key Retirement Solutions, has warned that demand for equity release will wane unless advisers take hold of the market now. He was speaking at the Mortgage Business Expo in Scotland last week. Mirfin says: "We are at a crossroads, and the ...
IN BRIEF: Warning on HIPs.
Mar 06, 2006 ... Brokers have been warned that the introduction of Home Information Packs in the UK and Property Information Packs in Scotland could lead them to having to supply information in a similar way to estate agents. Speaking at the Mortgage Business Expo Scotland, Alison Hatrick, chairman of ...
Lehman could be funding A&L's move into sub-prime.
Mar 06, 2006 ... Alliance & Leicester's intention to move into the near prime, sub- prime, self-cert and buy-to-let markets is believed to be financially backed by American investment bank Lehman Brothers Sally Lauder, spokeswoman for A&L, refused to comment on whether Lehman Brothers was its ...
Brokers agree that SPASU should be stamped out.
Mar 06, 2006 ... A whopping 65% of Mortgage Strategy Online readers last week endorsed Mortgage Strategy's Stamp out SPASU campaign, wholeheartedly agreeing that the product should be banned. Just 35% disagreed with this. This week Mortgage Strategy asks: "Is ...
BM and TMB see falls in lending.
Mar 06, 2006 ... BM Solutions and The Mortgage Business saw gross mortgage lending drop, HBOS' results for 2005 have revealed. BM Solutions saw a drop in gross mortgage lending from #13.3bn in 2004 to #12.4bn in 2005. Sources say while this was in line with forecasts, the 2005 results include ...
The Derbyshire reveals record results for 2005.
Mar 06, 2006 ... The Derbyshire has revealed record results for 2005, with a 29% rise in gross mortgage lending to #1,390m. The society reports asset growth of 15.7% to #5.09bn, and an 18% growth in retail savings balances to #2.95bn. The group's pre-tax profit was up 21% to #17.7m from the ...
FSA accused of being soft on rogue adverts.
Mar 06, 2006 ... The Financial Services Authority has been accused of dragging its feet by failing to take enforcement action against firms that fail to comply in their consumer advertising. Speaking at the London Mortgage Business Expo last November, Chris Atkinson, manager of the ...
McCarthy to head ODPM HIP team.
Mar 06, 2006 ... Richard McCarthy is to replace Cathy Cant as product leader after the Office of the Deputy Prime Minister reshuffled its Home Information Pack team. Fears that the June 2007 implementation deadline for the introduction of HIPs will not be met are believed to be the driving ...
IN BRIEF: Land tax could stifle development.
Mar 06, 2006 ... A land tax proposed by the government may stifle housing development and is based on a misunderstanding of how the property market operates, says the Royal Institution of Chartered Surveyors. The Planning Gain Supplement would be paid by developers as a ...
IN BRIEF: AMI web page on equity release.
Mar 06, 2006 ... The Association of Mortgage Intermediaries has launched a web page providing information on equity release products plus a good practice factsheet ....
Lenders defend Origo costs.
Mar 06, 2006 ... Lenders have dismissed concerns that the cost of creating open standards in the mortgage industry will be passed on to consumers. Origo, the financial services industry standards body, has gained significant financial backing from 13 lenders, believed to amount to around ...
US firm to offer commercial loans via brokers.
Mar 06, 2006 ... Miami-based financial firm Bayview Financial is opening a UK branch of its commercial loans arm InterBay Funding in May. Mortgage Strategy exclusively revealed last November that the US mortgage finance and real estate investment company was looking to expand to the UK. ...
Rate challenges can be misleading.
Mar 06, 2006 ... Mortgage deals that challenge consumers to save money on their repayments have been slammed as sending out the wrong message to consumers. NatWest is offering customers of Halifax, Abbey, Lloyds TSB and Cheltenham and Gloucester #1,000 if it can't lower their monthly repayments ...
IN BRIEF: BBB to go into administration.
Mar 06, 2006 ... Berkeley Berry Birch is to go into administration following the proposed sale of network Berkeley Independent Advisors to Tenet Group. The Financial Services Authority gave BBB until February 27 to prove it was able to plug the #11m capital adequacy deficits of ...
IN BRIEF: Website assistance.
Mar 06, 2006 ... IFA Promotions has rebranded its website, as it encourages brokers to set up their own websites. Karen Barrett, marketing director at IFA Promotions, says brokers could ...
Property clubs off the hook.
Mar 06, 2006 ... The Financial Services Authority has decided against tightening the regulations involving property investment clubs. Last year the regulator considered expanding its remit to include property investment clubs after calls to protect consumers from unscrupulous clubs that charge ...
Win Guinness in TMP St Patrick's Day competition.
Mar 06, 2006 ... The Mortgage Partnership has launched a 'Spot the Leprechaun' competition as part of the run-up to St Patrick's Day celebrations. In association with Irish-owned Capital Home Loans, TMP is inviting brokers to visit its website www.themortgage-partnership.com and enter to win a ...
Details could be left out of HIPs.
Mar 06, 2006 ... A loophole in the Home Information Pack regulations means a property could be marketed with an incomplete HIP 14 days after the provider has started to gather information for the pack. This news comes at a time when the mortgage industry has its daggers out for HIPs, branding them a ...
HIP consolidation predicted.
Mar 06, 2006 ... e.surv predicts a major consolidation of providers will accompany the implementation of Home Information Packs in 2007. Richard Sexton, business development director at e.surv, says: "Pack providers have overestimated the market and there will be consolidation even before the ...
Kensington launches range to offer brokers choice.
Mar 06, 2006 ... Kensington Mortgages has launched a broad product range called Kensington Choices. Rates have been rates reduced by up to 1.60% in certain categories and there are two product sets - Simple Choices and Extra Choices. Simple Choices, based on simplicity and ease of ...
Societies keen on white label plan.
Mar 06, 2006 ... TML Financial Solutions says it has been approached by a large number of societies enquiring about its affinity programme that offers firms a white label solution for sub-prime business. The move by TML, part of the Kensington Group, to offer organisations a simple way of ...
IN BRIEF: Treat retention fees with care.
Mar 06, 2006 ... Mortgage Next is recommending that brokers carefully consider the implications of lender retention strategies before taking up offers of ...
IN BRIEF: Rents rise.
Mar 06, 2006 ... Rents are rising as tenants return to the lettings market, says the Royal Institution of Chartered Surveyors in its lettings survey. Chartered surveyors report the ...
IN BRIEF: Banks are top choice for advice.
Mar 06, 2006 ... Banks and building societies are top choice for financial advice, with more than 26.4 million adults using them to get help with ...
IN BRIEF: GMAC-RFC appointment.
Mar 06, 2006 ... GMAC-RFC has appointed Helen Mason as corporate accounts manager. Mason joins from BM Solutions and will be responsible ...
GMAC considers instant offer.
Mar 06, 2006 ... GMAC-RFC is rumoured to be launching an instant offer by the end of this year. This comes on the back of the company confirming that it is looking at automatic valuations. GMAC-RFC was one of the first companies to introduce automated online systems. ...
Hamptons unveils expansion plans.
Mar 06, 2006 ... Hamptons International Mortgages has unveiled details of its growth plans for 2006. The parent company - Hamptons Estates - plans to relocate to prestigious premises in London's Grosvenor Square, across from the American embassy. It has recently opened offices in Edinburgh and ...
Build-to-sell deals unveiled.
Mar 06, 2006 ... BuildLoan, the intermediary arm of self-build specialist BuildStore, is starting to lend on self-build properties for selling on. John Hay, head of product development at BuildStore, says the products have been designed to fill a gap in the market. BuildLoan will ...
Oryen to pilot generic applications.
Mar 06, 2006 ... Packager Oryen is to pilot an online generic application later this month. Subject fields on the form will automatically pre-populate with information, meaning brokers have to only key in information once when they complete the initial online enquiry at point-of-sale. ...
Bolton charges #10,000 per day for consultancy.
Mar 06, 2006 ... Celebrity Big Brother's Chantelle is #5,000 cheaper than Michael Bolton, who is offering his services for #10,000 per day as chief executive at MBAC Consulting, it emerged last week. The consultancy firm's website has now been launched at www.mbac- consulting.co.uk advertising ...
IN BRIEF: Bird flu cover.
Mar 06, 2006 ... Britishinsurance. com is advising consumers that with the threat of bird flu, they must ensure they are covered by their payment protection policies. Simon Burgess, managing director of Britishinsurance. com, says: "We'll ...
IN BRIEF: Fast-track legal service launched.
Mar 06, 2006 ... Irish Title and London & European have launched a fast-track legal process to speed remortgages. The process controls and manages ...
IN BRIEF: SPML extends end dates on deals.
Mar 06, 2006 ... Southern Pacific Mortgages Limited has extended the end dates on its fixed and discounted rates. SPML's two-year discounted rate has been raised from 0.85% to ...
Would you shop for your mortgage on the internet?
Mar 06, 2006 ... Consumers are increasingly doing their shopping online so it's no surprise that mortgage companies have also got in on the act. Internet applications save lenders money and represent a large market share for brokers. But are consumers as confident shopping online for a mortgage as they ...
ANALYSIS: Market Watch.
Mar 06, 2006 ... Swaps rose fairly substantially last week. * One-year money is up 0.03% at 4.66% * Two-year money is up 0.08% at 4.68% * Three-year money is up 0.09% at 4.70% * Five-year money is up 0.08% at 4.65% Despite this, it was an extremely ...
When justifiable for brokers to recommend single premium ASU cover?
Mar 06, 2006 ... SPASU should be sold in accordance with FSA guidance and on a yearly basis, otherwise it is unlikely to have a future, say our experts Has there ever been a product more maligned and yet still on sale to consumers? Single premium accident, sickness and unemployment ...
ANALYSIS: All change on the lending front in 2006.
Mar 06, 2006 ... The specialist mortgage markets are all the rage for new entrants and hardly a week goes by without talk of another new lender. The sub-prime and buy-to-let markets have been the areas arousing the most interest in the past couple of years. There are obvious reasons for this, with ...
ANALYSIS: Some politicians are financially literate.
Mar 06, 2006 ... Every so often a news story renews your faith in mortgage advisers and lenders. You find out that someone has been benefiting from regular advice and have been able to remortgage quickly and without fuss. Presumably the charges were reasonable enough to persuade them that it ...
ANALYSIS: Loose talk costs clients dear in the longer term.
Mar 06, 2006 ... Loose accusations of irresponsible lending are a pet hate of mine. They appear frequently in the media, yet are hardly ever supported by evidence. Whether they come from ill-informed journalists or competitors looking to score PR points, they are normally just the sort of ...
ANALYSIS: This industry needs more girl power.
Mar 06, 2006 ... If you're reading this the chances are you're over 45 and male. Nothing wrong with that you may think, but it's worrying for the future of the intermediary market. Anyone who goes to a financial conference or a mortgage do will know that young females are few and far between ....
ANALYSIS: Help your clients ask all the right questions.
Mar 06, 2006 ... AMI and Mortgage Strategy have developed the Release it Right campaign to enable firms to approach this area of business in a more professional manner. But it is not only firms that have a duty to behave properly - there is also the question of how clients prepare. ...
ANALYSIS: Flirting is natural but crudity demeans us all.
Mar 06, 2006 ... The Apprentice is back on TV, and Sir Alan Sugar is madder and badder than ever. The new series has caused controversy already, with Sir Alan growling that the women in the boardroom have misused their feminine wiles. In case you have not seen the programme, it follows the ...
ANALYSIS: Keep communications clear and simple.
Mar 06, 2006 ... Companies are increasingly recognising the value-adding potential of effective communications. Favourably received external communications can positively influence customer opinion. Internally, information can motivate employees. Happy staff make better company ambassadors who are more ...
ANALYSIS: This will be another good year for B2L.
Mar 06, 2006 ... This year has started with a strong buy-to-let market. I have read numerous industry articles by lenders and letting agents and most agree that buying a home to let out is still an attractive commercial proposition. Last year, Council of Mortgage Lenders statistics showed growth ...
ANALYSIS: Arithmetic favours the secured loan option.
Mar 06, 2006 ... All markets evolve and the secured loan sector is no exception. Often seen in the past as the Cinderella market compared with first charges, this is certainly not the case any more. The secured loan industry has delivered growth with, among other things, improved ...
ANALYSIS: Identify your HIP opportunities now.
Mar 06, 2006 ... I came across an interesting statistic recently but can't remember where I read it so sorry, unvalidated data is about to be quoted. The gist of the research was that approximately 30% of home owners move house within three years of remortgaging. Why? I haven't got a clue. ...
ANALYSIS: Lenders will enter a buoyant sector.
Mar 06, 2006 ... Last week brought more great news for the equity release market with New Life Mortgages announcing a rate cut on its high LTV product. This followed hot on the heels of news regarding the adjustment in Mortgage Express' rate for its product. This brings the two rates ...
ANALYSIS: IQ could be the next challenge for CII.
Mar 06, 2006 ... In the words of David Bowie, things are ch-ch-changing in the world of critical illness insurance. What with the Association of British Insurance's guidance on clarity and its review of CII, there is no doubting the product's positive push into the 21st century. This is ...
ANALYSIS: Give FTBs a break from confusion.
Mar 06, 2006 ... A number of recent surveys point to the same thing - consumers find mortgages completely confusing. Mortgages are the hardest banking product to understand according to a study commissioned by comparison website Moneyexpert.com and market research group Defaqto. Separate ...
LETTER: We do not intend to sell cover through the back door.(Letter to the Editor)
Mar 06, 2006 ... From Jeff Knight I wish to reply to Nigel Pamment's letter in the February 27 issue. First, I would like to stress that GMAC-RFC has no intention of selling ASU and buildings and contents cover to intermediaries' clients through the back door. We offer block buildings and ...
LETTER: High street lenders are the worst PPI culprits.(Letter to the Editor)
Mar 06, 2006 ... From Michael Nicholls I'd like to comment on Isabelle Kassam's column that seems to point an accusatory finger at brokers selling PPI cover (Mortgage Strategy February 20) She completely ignores the biggest kids on the block - the good old high street lenders. We ...
LETTER: Richard Griffiths' being so wrong damages everyone in industry.(Letter to the Editor)
Mar 06, 2006 ... From Richard Coulson At Home of Choice we are not journalists but if we were, we'd want to get our facts right. We do have a compliance director, one of the best in the industry, and he thinks getting the facts right is pretty important too - vital, he says, if you're going ...
LETTER: Commission does not justify selling single premium MPPI.(Letter to the Editor)
Mar 06, 2006 ... From Chris Shelton I have been an avid reader of Mortgage Strategy's letters pages of late, some fantastic topics of debate being on the agenda. First came Home Information Packs, which are causing widespread concern, and now we have single premium MPPI. It was ...
LETTER: Get the facts straight about the Abbey charges incident.(Letter to the Editor)
Mar 06, 2006 ... From Jayne Reynolds In the interests of accuracy I would like to point out that Peter Mounty's column in the February 20 edition contained a number of incorrect statements. In particular, Mounty refers to "Abbey's recent courtroom defeat" and says, "the court ...
LETTER: Talk to us about free range HIP opportunities for brokers.(Letter to the Editor)
Mar 06, 2006 ... From Alan Dring I'd like to thank Tom Gardiner for what I interpret as a complimentary assessment of the articles I am doing in Mortgage Strategy in the February 20 issue on the letters page. It would be good to catch up and chew the cud, as I believe that as I ...
LETTER: Lenders and providers that dismiss Wales will lose out.(Letter to the Editor)
Mar 06, 2006 ... From Julia DeBattista On a holiday in Las Vegas, my husband did a bungee jump and the event was videotaped. On watching the recording I was amused when, just as he was about to jump, my husband shouted: "This one's for Wales!" to which the American gentleman with the video ...
LETTER: FSA should help raise the profile of equity release.(Letter to the Editor)
Mar 06, 2006 ... From Andrea Rozario I have been in the mortgage industry on and off for 13 years and last year took the plunge and decided to work in equity release and specialise in this area, as you need to concentrate your efforts in keeping abreast of the products and compliance. ...
LETTER: I should have the option of recommending equity release.(Letter to the Editor)
Mar 06, 2006 ... From George Chappell As an IFA and mortgage adviser I can see the benefits of equity release. While it may not be right for every client, it will be for some. This is why I am an adviser - to advise clients on the options and their pros and cons. I passed CF7 last ...