Mortgage Regulation A Success
The Financial Services Authority today reported that its investigation into the level of unauthorised mortgage brokers has been largely successful, with most brokers complying with FSA regulations...
The aptly named Mortgage Day commenced on 31st October last year, and gave the FSA regulatory powers to investigate mortgage brokers countrywide, including the authority to close down businesses not playing by their rules, or to advise them on how to rectify mistakes so that they would be within the agreed guidelines.
Clive Briault, FSA Managing Director, said: "Our findings based on contact with more than 600 firms including 450 visits around the country are very encouraging.
"The vast majority of mortgage brokers are well informed about the need for them to be authorised by the FSA if they undertake regulated activities. We found only 11 brokers who should have been authorised, but were not. Seven of these have now applied for authorisation, and four are no longer undertaking regulated activities.