The FSA has indicated in writing that it is “Minded to Approve” the Society’s network subsidiary as a prelude to what the Society hopes will be full approval of the newly established organisation.
Mortgage Broking Services Ltd was launched earlier this year to enable financial advisers to comply with changes to mortgage regulation which come into effect this October. The Society network offering differentiates itself from other similar schemes by providing a “fees free” compliance and PI cover regime for appointed representatives using the Society’s lending panel.
The Society gave existing mortgage introducers to the Society an exclusive opportunity to join the network prior to 30 April this year and other brokers were invited to pre-register for any places remaining after the 30 April deadline
The initiative has been well received by the broker market and the Society is well advanced with its plans to recruit an initial target of 50 Appointed Representative Firms.
Mortgage Broking Services Ltd has now been able to finalise its complete proposition to provide “Appointed Representative” status.
The service provides advisers with access to a lending panel representative of whole of market coupled with the ability to liaise directly with the adviser’s choice of lender.
Advisers are not tied to the Society and are free to choose from any lender in the marketplace. Mortgage sourcing is provided, free of charge, through a market leading sourcing system which generates all compliance documents for advisers to use with their clients.
The Society is supporting the service with a Technical Help Desk Service and offers a choice of packager for packaged arrangements from the MBSL Packager Panel.
MBSL is offering the service to appointed representatives on a fees free basis for completions up to and including the 31st December 2004 and thereafter a single deduction of £50 per case for completions after the 1st January 2005. Fees will be mitigated, and in many cases cleared by lender enhancements paid to the network additional to their standard procuration fees.
In the insurance sector, MBSL has created its own panel of pure protection providers.
In addition, the Society is working with AXA and Paymentshield to provide General Insurance covering risks such as Buildings & Contents, Accident Sickness, Unemployment and Permanent Health Insurance.
