In light of the announcement that the Financial Services Authority (FSA) will begin to visit small businesses to check TCF is being put into practice, Insynergi has advised brokers to keep tabs on any ongoing TCF work in case their business is one of the 25 per cent targeted.
The FSA has given firms until the end of December 2008 to complete all their initial TCF work. By this time the FSA believe all firms should be able to demonstrate that they are indeed treating their customers fairly.
Michael While, director of Insynergi (UK) Ltd, said: “The TCF initiative continues to be a major priority for the FSA and it is clear that it is ramping up its contact with firms to ensure that progress is being made towards the end of December 2008 deadline.
“The last review the FSA carried out with regards to the March 2007 deadline for implementing TCF proved disappointing for mortgage intermediary firms, many of whom were deemed to be behind in their TCF work.
“Firms should not underestimate the seriousness of this up and coming programme of visits and telephone assessments. The FSA will use this contact to make a judgement call on which firms are the biggest risks to its ongoing TCF objectives.
“This is why all mortgage intermediary firms must be able to prove the progress they are making with their own TCF work programmes. It will not be enough to give an oral reassurance; FSA will want to see ongoing TCF review material and the tangible outcomes of these reviews.”
