Packager BDS Mortgage Desk is looking to extend its satellite packaging operation to include 20 brokers.
Currently BDS has five brokers who deal with the packaging themselves before submitting cases to the appropriate lender through BDS. Phil Jay, managing director of BDS, said allowing brokers to deal with all the post application paperwork themselves would give them greater control of individual cases. However, he said brokers would not be better off simply going direct to lenders as BDS could offer the brokers better service and give them access to the deals it had in place with lenders because of the combined volume it was supplying.
Jay also said BDS was looking to take on principal status under forthcoming Financial Service Authority regulation, allowing non-compliant brokers to continue earning from mortgage business after Mortgage Day.
Jay said lenders such as GMAC RFC, Mortgages plc and Platform were happy to allow BDS to offer this control to their brokers. However, he said other lenders such as BM Solutions had not been so keen.
Matthew Grayson, spokesman for BM Solutions, said: ‘At the moment we are looking at, although not offering, satellite packaging. We are currently looking at the regulatory and compliance issues attached to satellite packaging. Clearly there is no point in getting involved to discover that post N4 it raises more questions that it answers.’