Jackie Didcock, regional intermediary sales manager at Skipton Building Society, explained brokers were steering clear of self-cert, especially on employed cases, for fear of FSA recrimination. She said: “It has been noticeable through intermediary feedback that a number of brokers are not prepared to handle self-certification cases, particularly ones where clients are in employment. There is a fear this may be the next big mis-selling scandal so brokers are avoiding the sector.”
However, Roger Bowsher, director of Ingot Financial Services, pointed to TMW’s self-certification mortgage tutorial as a useful tool for clients requiring a self-cert deal. He said: “I use the self-cert tutorial on a regular basis and have submitted five cases to TMW in the last month based on this facility. It is very simple, quick to use and enables me to sit down with my clients and set out a comprehensive budget sheet from which their net disposable income can be determined.
“The tutorial is easy for the client to understand and allows the broker and customer to fully account for any calculations where proof of income is required. This method complements good working practice and justifies product sales.”
Paul Howard, director of intermediary sales at TMW, commented: “I believe it is a useful tool and can help intermediaries work with their clients to arrive at their annual net affordable income. The expenses sheet is particularly good for this and takes into account the cost of living, debts and other financial commitments. Given the FSA’s recent comments about assessing affordability, we think this facility will prove extremely useful to brokers.”
