COMPLIANCE UPDATES

IMPORTANT: CHANGES TO THE PROCESS HALIFAX & BM SOLUTIONS REGISTER ADVISERS/BROKER FIRMS

The Lloyds Banking Group which includes lenders such as Halifax and BM Solutions have recently introduced changes to their process of registering appointed representatives from the Connect Mortgages network to their broker panel. These changes will affect advisers looking to register for: (i) the first time, as well as
(ii) advisers already registered

The new process requires two dedicated Connected Administrators (one primary and one deputy) to be registered as the administrator for the appointed representative firm via their lender-issued Panel Number. Therefore, if you feel that you will need to use a lender from the Lloyds Banking Group in the near future, then please contact the Connect Mortgages Registrations Team or Members Support at the earliest opportunity. For further information on what you need to do, please read on.

HSBC UK – Fraud Newsletter

Unsurprisingly, the top reason for cases being declined in H1 2021 has been Income & Employment Fraud (Staged Income) including both employed and self-employed applicants (over 70% of all prevented cases).

HSBC Fraud Newsletter – H1 2021

HSBC announce the launch of a new Fraud bi-annual newsletter for Intermediary partners. We hope that you will find the information included useful.

IMPORTANT CONTRACTUAL UPDATE

Some of you are maybe aware from our previous communication that the FCA has chosen to introduce a new fee for all Appointed Representatives of all networks. At the point of our last communication, this was just a consultation; it has now been confirmed.

Member Support and Placement

Due to the increased demand for support, we have decided to separate the two functions within the help desk. We now have new Member Support and Placement phone lines and email inboxes to provide dedicated support for our Appointed Representatives (AR). 

Updates to PI and Interest-only mortgages

I am pleased to confirm that despite the turmoil in the market we have recently successfully renewed our Professional Indemnity insurance cover for the next 12 months. You will find the summary certificate in BOX in the Compliance folder should you wish to refer to it…

HSBC Provide guidance on some increasing areas of fraud

Q4 has seen a considerable increase in prevented fraud volumes in comparison to the rest of the year. The Stamp Duty holiday has certainly driven an increase in application volumes for FTB and home movers. It is these types of application that tend to lead to more staged income due to clients looking to secure a purchase.