If secured loans are an alien subject, it is easy to pigeonhole the whole secured market into one simple “I don’t do that stuff”. The fact is however, they span the whole market, from prime rates of 5.45%, all the way to heavy adverse products with many useful niche’s along the way.
With the secured loans sector set for a shift in regulation this spring one would hope those in the industry will be spending the next few months getting their houses in order. MMR has been an undoubted distraction and Networks in particular seem to have some way to go to be able to say they are fully switched on to secured loans. Worryingly, I do not believe they are all doing enough to change that.
The regulation of the secured loans market is something that has been on the cards for some time. Back in 2006, the Association of Finance Brokers was formed due to such regulations coming.
If your Network hasn’t got a handle on Secured Loans – Are you at risk?
From 1st April loan brokers will be required to verify that all introducers for regulated secured loans have their interim FCA permissions.
I don’t want to scare brokers away from secured loans but there has never been a more important time to ensure a few basics are reflected upon and corrected.