At present brokers can register with the MCCB under a number of different names, which will result in a registration number for every application. From a compliance angle this means that may still be able to continue trading even if they have the number revoked for any reason.
A spokesman from HLP said: “HLP are calling on the MCCB to refine the accreditation procedure. It is imperative that the mortgage industry is seen to be cleaning up its act. Regulation will keep on coming through so there must be no loopholes for unscrupulous brokers to damage the reputation of the majority of the industry.”
Brad Baker, head of communications at the MCCB, said: “We take things like this very seriously when they are brought to our attention. At the moment is perfectly legitimate for advisers to have more than one registration number, because they may have one number from a network and another sole trading number. As far as loopholes are concerned we are now carrying out vigorous fitness and propriety checks on all new applications and all existing firms are due to be checked at their next renewal.”
