How can lenders better support brokers?

It’s been a tumultuous couple of years in the mortgage sector and the relationship between lenders and brokers has only moved further to the forefront as a result. With swift rate changes and product updates, brokers have had to react quickly to keep pace with their partners’ decisions.

So what could lenders be doing to actually make life easier for the brokers who are actively working to introduce their products to their client base?  

How can lenders support brokers?

Peter Stamford (pictured left), mortgage expert at The Mortgage Uni, said among his preferred lenders, two distinct characteristics consistently stand out.

“The presence of an intuitive digital platform for easy access and navigation, and the availability of a designated Business Development Manager (BDM) reachable via call or email,” he said.

Stamford added that the significance of a user-friendly platform cannot be overstated; while it may not dictate the ultimate choice of lender for the borrower, he said it certainly influences his decision-making process as an adviser.

Stamford said those who have invested in robust back-end systems, sparing him the ordeal of juggling multiple identification numbers, deciphering complex passphrase requirements, or memorising intricate sequences of digits, inevitably earn his preference.

“A streamlined and efficient digital interface not only enhances productivity, but also contributes to a smoother borrower experience, reinforcing client satisfaction and loyalty,” he said.

Equally paramount, Stamford added, is the presence of a named BDM within the lending institution.

These individuals, he said, serve as invaluable resources, providing prompt responses to queries, especially those pertaining to non-standard criteria.

“The ability to swiftly engage with a knowledgeable BDM fosters a sense of confidence and assurance, particularly in navigating intricate lending scenarios or addressing unique client needs,” Stamford said.

The trust and rapport built through ongoing communication with these dedicated professionals, he said, solidifies affinity towards certain lenders, underscoring the importance of relationship-building in the advisory landscape.

In essence, Stamford said affinity towards preferred lenders is rooted in the fusion of technological innovation and personalised support.

“A seamless digital experience coupled with responsive, relationship-oriented BDMs not only streamlines the lending process, but also elevates the overall advisory service delivery, enriching the borrower-advisor interaction and fostering enduring partnerships within the lending ecosystem,” he said.

What support do brokers need from lenders?

Scott Taylor-Barr (pictured right), principal adviser at Barnsdale Financial Management, said a crucial aspect lacking in many lenders’ services is the absence of personalised, face-to-face, or telephone support from a designated contact.

“Establishing a relationship with a single point-of-contact within a lending institution yields substantial benefits for both brokers and lenders alike, surpassing the efficacy of impersonal LiveChat interactions or call centre rotations where one speaks to a different representative each time,” he said.

The significance of this personalised touch, Taylor-Barr believes, cannot be overstated. Building a rapport with a named contact, he said, not only fosters trust and familiarity, but also facilitates smoother communication and problem-solving.

Having a reliable liaison within the lender’s organisation, he added, streamlines the lending process, enabling quicker resolution of issues, clarification of queries, and tailored support for specific client needs.

“This personalised approach enhances the overall customer experience, contributing to greater satisfaction and loyalty on both sides of the lending relationship,” Taylor-Barr said.

However, Taylor-Barr said it is disheartening to observe a trend among many lenders where the pursuit of cost savings has led to the reduction or elimination of dedicated relationship teams.

While this approach may yield short-term financial gains, he said its long-term ramifications are concerning.

“Without adequate support structures in place, lenders risk eroding the very foundation of trust and partnership that underpins successful lending relationships,” Taylor-Barr added.

Moreover, as business volumes continue to grow, he believes the absence of dedicated relationship teams may prove detrimental to both customer service quality and operational efficiency.

The potential need to lower margins on interest rates in order to sustain business volumes, Taylor-Barr said, could further exacerbate financial pressures, ultimately nullifying any perceived cost savings achieved by downsizing relationship teams.

“Overall, the value of personalised, relationship-based support cannot be overstated in the lending industry,” he said.

How do you believe lenders can better support brokers? Let us know in the comment section below.