Dawn Dennington

Sunday Group

Standardisation of processes within the industry would assist in raising standards and providing better customer service – a key aim of the FSA.

Competitive differences within the industry need to be put aside to develop a common set of standards encompassing disclosure, accuracy of data and the tracking of commissions. Independent industry forums led by organisations such as the Association of Mortgage Intermediaries and Origo should encourage communication and collaboration while harnessing a wealth of industry experience.

Integration of effective technology solutions and replacing manual processes could make significant cost savings for the industry and make life easier for advisers. Bringing together providers, intermediaries and technology companies to agree how a common set of standards could be achieved is only the start of the process to ensure a common language and that industry standards become reality.

Mark Leaper

Vesta Packaging

Adopting common technology standards sounds good in theory, but poses a lot of practical problems. For example, there has been demand for platforms such as Mortgage Trading Exchange to be made available to the whole of the market, but that would not necessarily help brokers.

By using packagers, brokers get priority treatment because packagers have on-site lenders’ underwriters and they can also present a broker’s case as part of a group of cases to the lender. The packager is also able to offer exclusive products that it has arranged with a particular lender. This would not be possible. with a common sourcing system and I fear that, with many of these systems, applications would just go to the back of the queue.

The mortgage packaging industry is one of the most efficient of all service sectors – all companies operating in it have developed the best technology for their needs and those of their customers. The last thing that the industry needs is even more intervention by an outside body in the name of some vague ‘technology good’.

Louis Kaszczak

First Active

The current fragmentation in technology means that we have not got the best solution for lenders, intermediaries or consumers. Lenders have to duplicate effort in developing multiple solutions and intermediaries do not always have easy access to providers’ products and services – meaning borrowers missing out on the most suitable products.

A common standard would support cohesiveness and efficiency in the provision of services and the sale of products for the entire industry. It would benefit borrowers in terms of greater product availability and give brokers the ability to provide a more efficient service.

For true common standards, the precedent comes from the world of technology where standards are developed and agreed by non-commercial working groups that engage an entire industry, while not being driven by the commercial aims of one participant over another.

John Whitehead

Client Data Systems

Open standards in themselves will have no direct benefit to the intermediary but the indirect benefits could be huge. Adopting open standards will improve the speed, reliability and practicality of communication so that intermediaries are able to obtain KFIs, decisions in principle and submit applications more easily.

Product providers will be able to provide this without spending huge amounts on development but will they do want to do it? Some of the bigger lenders have historically been more interested in driving business through their own websites and providing internet functionality that makes them more attractive than their competitors. They may be afraid that if the industry adopts open standards they could lose this advantage.

The Origo standards in the life and pensions industry have proved a huge success, and it is now essential that open standards are properly developed by the industry as a whole and not just by lenders. Fortunately, AMI is involved in representing intermediary interests in this area.

Richard Wood

Mortgage Intelligence

The advantages of common standards to the mortgage intermediary are real-time sourcing of products and KFIs direct from lenders via a choice of platforms and systems. Products and KFIs will be up to date as there will be no need for these to be put onto sourcing systems by the lenders. There will be pre-population of lenders’ sites with data from intermediaries’ back-office systems and these systems can also have integrated case-tracking with lenders.

As both intermediaries and lenders have a considerable vested interest in the successful adoption of common standards, the strategy for this development should be led jointly by AMI and IMLA. Successful implementation requires a body with experience in this area, such as Origo, working closely through forums that bring together distribution and lenders, and the development of a common agenda between all stakeholders.

Mark Smith

Genesis Home Loans

Within the broker market the adoption of technology standards would lead to increased servicing competition and provide a more level playing field for intermediaries. The smaller players in the market would be able to compete and provide service on the same level as larger brokers.

With items such as tracking standards, lenders could significantly reduce the traffic through their call centres while, at the same time, brokers could provide more up-to-date data to service their clients more effectively.

However, I do not believe any one type of organisation could successfully lead the strategy. The only real method of achieving coherent ratified standards in short timescales would be to utilise small working groups focusing on specific projects. These should be driven based on real industry needs and led by an independent body such as Origo, which would not be looking to gain market advantage out of any initiative.