Brokers have called for an industry-wide solution and feel the storage problem has been compounded by the large numbers of lenders and networks still insisting on paper-based evidence, even where electronic records have been filed.
A significant number have called for the establishment of a secure storage facility to hold older records given the uncertainty over how long firms should hold their records for. Others said some of their practices have had to change to fit in with other requirements from lenders and networks.
Mike Sammon, manager at Thornley Grove Financial Services, admitted the increased reliance on technology had been wasted in the area of record-keeping, with networks still requiring paper-based evidence.
He said: “It’s strange because even though everything seems to be on computer now, the networks are still asking for quotes, KFIs, and so on in a paper form.”
“We’re running out of space and in the next four to six weeks, we are going to start scanning all our documents and even when we’ll be doing that the networks will still be asking for paper copies,” he added.
Mark Loydall, director of Cambourne Financial Planning Limited, added that his records had to be stored offsite with space running out.
However, Cath Hearnden, director of My Mortgage Direct, argued a uniform system would not succeed. She said: “How records are kept is completely down to each firm and because different firms offer different propositions, their records all need to be tailored to their own needs. A number of firms are offering programs to help with record-keeping but firms need to consider what is best for them and their business.”
