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Bigger proc fees do not mean higher adviser satisfaction – research

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  • 05/06/2019
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Bigger proc fees do not mean higher adviser satisfaction – research
Lenders offering the highest procuration fees tend to have average or below average levels of adviser satisfaction, according to research by Smart Money People .

 

It found that lender criteria was a far more important subject for brokers in the first half of 2019, with the sentiment around business development managers (BDMs) improving from the second half of last year.

The latest Mortgage Lender Benchmark found the overall satisfaction of brokers with the lenders they do business with fell slightly to 81.6 per cent, with specialist lenders particularly targeted.

The research found that brokers at larger firms were slightly more satisfied with the lenders they deal with.

Brokers in firms with 19 or less advisers had an average lender satisfaction rating of 80.7 per cent compared with 82.3 per cent for brokers in firms with 20 or more advisers.

The analysis suggests that an easy application, speedy process and good underwriting are the key elements lenders should focus on to increase their net promotor scores (NPS). The highest rated for its NPS was Accord Mortgages.

Although not appearing in the top ten most commented on themes in H1 2019, both communication and clarity of criteria remain important factors.

 

Specialist lenders performing poorer

Process remains the achilles heel of most lenders, with specialist lenders in particular performing significantly poorer in H1 2019.

The research found that the sentiment across product and lending has also fallen some 15 per cent across specialist firms, from 93 per cent to 78 per cent.

However, while brokers continue to value the criteria and flexibility offered by these lenders, they are a lot less happy with the product range, rates, clarity of criteria and fees on offer.

Overall, Mortgage Lender Banchmark Broker Rated awarded Halifax as best bank, while Pepper Money was awarded as best specialist lender.

 

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