Tyrie says HBOS report must include review of FSA conduct
It is clear that the FSA has been a reactive regulator. They were very quick to fine and ban Peter Cummings but haven’t admitted their own faults. I agree that the FSA’s role should be scrutinised. Peter Cummings was only following the lead of all other lenders in their “no worries” aggressive lend and invest strategy.
It was unfortunate for him that the next in line or his predecessor did not take the hit! Ultimately it was the role of the FSA to keep an eye, not just lenders and brokers who again and again are picking up the blame. New regulator with the same staff will have no real effect.
Moby
14 Sep 2012 | 09:25
Market watch: Analysis of the incentives clampdown
I wish I shared your optimism about the banks not going to allow these sorts of sales incentives to continue. As long as people’s jobs rely on achieving sales targets, pressure will be put on individuals to sell to targets, irrespective of whether it is the right thing for the customer.
I can assure you that morning sales meetings are happening – targets are being set for the day, and phone calls are being demanded to update area offices on the daily sales achieved. Maybe the people at the top of the Banks – don’t know what’s happening? I somehow doubt it, although they try to justify it in the name of customer service.
Alan
13 Sep 2012 | 10:39
Shadow housing minister slams Grant Shapps’ record
Young couples paying over the odds for a rental property cannot get a mortgage. Anyone want to tell our great leaders that?
Whilst funding is tight, a large part of the problem is that the FSA are so busy covering their backs they will not let lenders lend to perfectly good clients! Who has not had a case of a quality client with a reasonable deposit that is paying £xxx in rent but who does not qualify for a mortgage several hundred pounds a month cheaper because of affordability?
Ian
10 Sep 2012 | 16:51
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