Brokers are failing to treat their credit-impaired clients in the same way as other clients, according to a new survey from Mortgages plc, writes Ben Marquand.
The survey questioned 93 intermediaries about their knowledge of the sub-prime market and found substantial discrepancies in the way standard and sub-prime mortgage business is conducted.
It found that 23% of brokers still do not have any dealings with sub-prime lenders, and only 35% of mortgage intermediaries regularly deal with more than three sub-prime lenders when placing credit-impaired business.
The research also revealed that 11% of respondents could not name any lenders specialising in this field with 12% able to name five or more sub-prime lenders.
Julian Wells, marketing executive at Mortgages plc, said: ‘The results are worrying because they give the impression that brokers may just be happy to place an adverse case with a lender rather than looking for the best rate.’The acquisition of Trigold will bring brokers one step closer to e-trading