"Much of the content in CeMAP and similar qualifications is irrelevant and too theory-based"
CeMAP is the industry standard qualification, representing the starting point for the majority of mortgage advisers to launch their career.
However, many brokers believe the qualification is due an update and have singled out the lack of practical based modules.
Mortgage Introducer reached out to advisers to discuss the subject.
How could broker qualifications change for the better?
Natalie Anderson (pictured left), mortgage and protection adviser at Connect Mortgages, said CeMAP or an equivalent qualification is usually just the first step in becoming a mortgage broker, but it is not the sole determinant of success. Experience, product knowledge, and relationship building, she said, are also crucial aspects of being a successful broker.
“Much of the content in CeMAP and similar qualifications is irrelevant and too theory-based; industry qualifications should ideally strike a balance between theory and practical application,” Anderson said.
She added that there also needs to be more focus on protection as part of the mortgage qualification, as it should be an essential part of the mortgage advice process.
“Expanding the curriculum to include this would be beneficial; I also feel that there is a need for greater regulation in the sale of protection products,” Anderson said.
In general, the mortgage industry, like many others, she said, evolves over time, and the qualifications and regulations governing it should adapt accordingly to better serve both industry professionals and consumers.
Simon Bridgland (pictured right), broker and director at Release Freedom, believes that being a broker is simply about relationships - forging new ones and building on those that are existing.
Rather than the primary focus for prospective brokers being on theoretical applications, Bridgland agreed with Anderson that greater emphasis is needed on the practical elements, including the outcomes of advice.
Bridgland added that brokers perform a client service, so he believes theory should be second to practical knowledge.
“Of course you need to know your onions, but it is how a service is delivered which is the most important part of it all,” Bridgland said.
Greater focus by companies on delivering a stunning, customer-focused service, he added, should be the driving force, and understanding the mechanics of a financial instrument should be a given.
Do broker qualifications need to be updated?
Scott Taylor-Barr, financial adviser at Barnsdale Financial Management, said there are number of elements that need a rethink within broker qualifications.
“For example, many of the questions asked at both level three certificate and level four diploma are outdated and not relevant to the modern world,” he said.
Taylor-Barr added that many qualified brokers will recall learning about the inner workings of with-profits endowments and unit-linked life assurance to pass exams, despite neither being a feature of the market it was supposedly preparing them for.
“It also seems odd, given how much weight is placed on the role by the regulator, once you have passed your exams there is no mandated CPD for the mortgage advice role, yet there is for insurance advice,” Taylor-Barr said.
As such, he believes changes need to address the relevance of the knowledge new brokers are asked to learn to pass the exams, and steps taken to ensure that, once qualified, brokers maintain that level of relevant knowledge year after year.
What do you believe needs changing within the current inner workings of broker qualifications? Let us know in the comment section below.
