https://www.beaconfinancialtraining.co.uk/wp-content/uploads/2020/06/cemap-online-and-classroom-training-uk.jpg Garnier, MP for the Conservative Party and a member of the Treasury Select Committee (TSC), is pressing for a review within parliament of the impact of the Mortgage https://www.beaconfinancialtraining.co.uk/wp-content/uploads/2020/06/cemap-online-and-classroom-training-uk.jpget Review (MMR).
The review was carried out by the Financial Conduct Authority (FCA) in order to ensure that lending was being appropriately approved, and that borrowers’ affordability was being correctly assessed.
Mortgage brokers have been complaining that most lenders aren’t correctly adhering to the intermediate arrangements laid out within the MMR, fearing the regulator may disapprove and enforce action.
Some say that the stringent affordability checks are being applied in all instances, leading to some people being rejected even when they are looking at downsizing or changing to a rate that will reduce their repayments.
The transition arrangements set with the MMR in fact mean that lenders are able to waive the usual affordability process, if the borrower has a history of prompt and timely repayments, and are not looking at increasing their borrowing.
“The narrative from the regulator is there will be very, very heavy comeback. If you are the regulated and the narrative from the regulator is zero tolerance then you have zero leeway.”
Your role as a mortgage advisor is vital in gathering the correct information from your customer. Once you have completed your CeMAP training and passed the associated exam, you will be able to conduct in-depth interviews to establish your customers’ needs, and advise on an appropriate mortgage solution.