At last the festive period is nearly on us and I am really looking forward to the break to recharge the batteries for 2007 which I think will be a defining year in our sector of the industry. Before that happens however, I have one final article to contribute and I would just like to pass on a few thoughts about how I have seen the secured loan sector change in the last 12 months and how I hope it shapes up for the coming year ahead.
2006 has seen enormous growth in secured loans in terms of lending & new lenders & brokers coming into the market which has all been very positive so far and all of these things have helped to raise the profile of our market beyond recognition. Who would have thought at the beginning of the year that a lender of Kensington’s stature would now be committed to the market or indeed looking around the trade press that probably around 20 per cent of the advertising is now accounted for by secured loan 'Master Brokers' and that there would be a new trade body in the shape of The Association of Finance Brokers. As well as the good things there have been a few things that have brought us down to earth like the bad press that single PPI has received and on the back of this a number of brokers have been fined by the FSA and FISA. However I think that overall the secured loan industry has come out on top and if our company’s figures are anything to go by in terms of growth of business and the number of new introducers we now have added together with the additional lenders that are now in the market covering most potential clients circumstances, the year 2007 is something to look forward to.
All the signs are that it is going to be a buoyant market for us all so let’s hope both lenders & brokers can work together in building the secured loan industry’s reputation even further. It has just recently been mentioned that a proposed trade body for secured lenders is in the making which is good to hear as a strong body such as this together with a strong AFB that would hopefully work together with them would be a really giant step forward in cementing secured loans as a serious sector in the market, and by showing that we can promote self regulation it can only stand us in good stead for any future potential regulation that might be on the horizon. My own personal view on this is that in order for it to happen, then all brokers have got to show an interest in everything that is happening within the industry and to do their bit for moving our sector of the industry forward and not just be concerned about their own business. After all the secured lending market is our business. As I previously mentioned there are a lot of new entrants into the “Master Broker” market and I hope that these companies realise that although we are not regulated by the FSA they should still treat their clients as if they are and when they have been setting up their new ventures I hope that a compliance department is near the top of the list in departments that are necessary within their organisations.
In summarising the past year I would just like to say that even after 23 years in the secured loan industry I still get a real buzz out of it and that if it continues the way it has been then we are in for some exciting times ahead, but in order to benefit we all have to bear in mind that as our sector continues to become more prominent then we cannot lie back on our laurels. After all we have put our heads above the parapet and shouted that we want to look after the potential secured loan clients that belong to someone else so we have to accept the responsibility to look after that client in a regulated and professional way.
So may I wish everybody who is either in the industry or is dealing with it a very happy Christmas and a prosperous New Year and that we will all remain united in continuing to make this a great industry to be part of.
