Off the back of research published by Mortgages plc and Mortgage Promotions last week which showed nearly 60 per cent of brokers were using sourcing systems to produce KFIs rather than using lender websites, Dominic Toller, head of marketing at B&W, said if market indicators had revealed the opposite, the lender would not be willing to dedicate resources to verify its deals on the systems.
Toller said: “If brokers tell us they are using the sourcing systems to get KFIs then we will absolutely continue to verify the products.
“However, it is a lot of work for us as a lender and we have to dedicate a lot of time and resources to make sure the product details are correct on these systems.
“If a substantial amount of brokers and packagers were not using these systems to produce illustrations there would be no need for us to use up all these resources to verify the products on the sourcing systems.
“It just wouldn’t be worth our while. But the indications are that this is not the case at the moment and brokers are happy to get KFIs from sourcing systems.”
But other lenders disagreed with B&W’s stance. Linda Will, managing director of Accord Mortgages, said: “The percentage of brokers coming direct to our site to get KFIs has shot up 50 per cent in the past few months.
“But we have to get distribution from wherever we can and we wouldn’t cut ourselves off from anybody.”
And Jeff Knight, head of marketing services at GMAC-RFC, said: “KFI production is only one service sourcing systems provide.
“We would only stop verifying our products if brokers stopped using sourcing systems altogether.”
London-based sole broker Roy New said: “I can’t understand where B&W is coming from. It has the systems set up now to verify the products. And brokers will always need sourcing systems.”
