Speaking at the AMI Annual Dinner on Thursday, he said the organisation would “continue to fight fiercely for advice remaining front and centre”.
In reference to the Financial Conduct Authority’s (FCA’s) removal of the advice trigger process and encouragement of direct mortgage sales, Montlake said: “More execution-only, through online systems, can lead to wrong consumer outcomes, more confusion, more disenfranchisement from people who get a no and think that is that, less protection at a time when we need to close not expand the protection gap, and it leaves customers at the mercy of others’ intentions with no checks, balances or recourse.
“Customers do not know what they are missing out on.”
Advisers promote growth and solve issues, Montlake said, often finding “solutions where clients think there may be none”.
He added: “We ensure they can get the home they want and keep it if life takes a turn. These advised journeys can still be quick; we can still utilise technology to enhance, not replace, advice. This leads to better outcomes, fewer abortive transactions, and growth in our industry and our economy.”
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Montlake commended Paradigm Mortgage Services for its paper, Mandatory Mortgage Advice for First-Time Buyers: A Proportionate Regulatory Evolution Under Consumer Duty, which called for mortgage advice for first-time buyers to be mandatory.
He said there was a “serious conversation” to be had on the topic, and the idea that more people would be nudged to buy a home without mortgage advice felt like a “triumph of convenience over common sense”.
The AMI continues to build on and enjoy its relationship with the regulator, Montlake added, thanking the FCA for its “time and thoughtful decisions”.
Working toward the same goal
Montlake spoke of the busyness felt by mortgage advisers and business development managers (BDMs) as global events took hold of the market, resulting in “stress, worry, long nights, early mornings, weekends cancelled, family forgotten, clients assured and reassured again”.
He said many firms saw business double in March because advisers were present to support slights.
“We instigate it… we contact our clients proactively who, without us, would simply miss the boat. The industry is busy because of intermediaries. Because we are the ones who care enough to cause ourselves all the worries above and choose to give a damn if clients miss out on a rate,” Montlake added, saying this was the main difference between advisers and direct business.
He showed gratitude for the Mortgage Industry Mental Health Charter (MIMHC) and its founder, Jason Berry, urging advisers to engage with the initiative and saying taking care of those in the sector, particularly during times of stress, was not optional but essential.
Montlake said: “It is time for brokers to stop being shy about the value we bring. We need to come out fighting, proudly and publicly, for the work we do in our clients’ interests.
“We are not just form-fillers. We are translators, problem-solvers, protectors, counsellors, challengers and, on the odd day, miracle workers with a laptop and a caffeine problem. We are the growth engine, the safety net and the conscience of the mortgage market.
“So be proud. Value yourselves. And shout about it.”
