The packager lost a significant amount of its business volume when BIA had its trading status revoked by the Financial Services Authority (FSA) when its parent company, Berkeley Berry Birch, went into administration.
It had continued to trade with a number of directly authorised intermediaries since BIA was taken over by the Tenet Group earlier this year, but tfc has now taken full control of the business, thereby strengthening its own proposition.
Wayne Smethurst, senior partner at tfc, said: “We’re still investigating the accounts but it seems that money may be owed to IMB by both the PMN & BIA networks, which may never be recovered. We are looking at ways tfc can help put IMB’s business back on an even keel following the failure of its largest distribution route. While I’m not making any promises yet, we’ll do our best to find a solution that delivers a brighter future for both IMB and its customers.”
A take-over will give IMB access to tfc’s technology systems and its lender panel, which allows it to strengthen its own offering to its customers.
Included within the deal is access to tfc’s branded lending arrangement, tfc Homeloans.
Both IMB and tfc are members of the Regulatory Alliance of Mortgage Packagers (RAMP) and John Rice, managing director of RAMP, said he was delighted with the deal. He said: “I’m really pleased that one RAMP member is helping out another struggling RAMP member and it highlights the benefits of being in an alliance. The long-term future is looking really rosy now for IMB as tfc has fantastic systems and a wide range of products due to its size. Things have been bad for IMB recently but there is a silver lining now and in another two or three months, we will hopefully have a thriving business again.”
