It’s good to talk, argues Richard Hurst, director of the Charlbury Group
As tales of the recession continue to blight the lives of many throughout the country there is no doubt in my mind that there is a tremendous opportunity for mortgage brokers to add value to their clients.
The old BT ad campaign ‘it’s good to talk’ certainly hits the nail on the head in today’s market. Experienced, professional mortgage brokers have over recent years built up strong client banks and databases even though they may not have ‘work’ them previously. When business is brisk and the phone is constantly ringing with new enquiries then there is little need to undergo direct marketing initiatives. However, if enquires have slowed it’s the perfect time for brokers to seize the initiative and make contact with former clients.
The level of household debt across the country is unprecedented and with a recession of this magnitude few are spared. We live in a world where swathes of workers from all walks of life and across most professions are probably encountering difficulties not experienced for 20 years. What they may not realise is that there are still options available to help them manage their financial position. I’m not going to suggest that mortgage product availability is anywhere near the level it has been in recent years but there are still over 3,000 schemes available. People will inevitably be paying more that they perhaps need to for their current products and so an evaluation of their current situation is certainly a good starting point.
Call up your former clients, compose a letter for a mail-merge from your database and re-establish contact. For many people experiencing financial hardship there is a risk that they simply avoid thinking about the problem and therefore miss out on the opportunity to correct it. The offer of a chat about their current circumstances or perhaps a full financial review will help shift the emphasis from the problem to finding solutions. There is no doubt in my mind that if a broker can ‘be there’ for their clients in the bad times, they will certainly be remembered in the good times.
That’s not to say that there will always be a simple solution. Brokers may find that traditional debt consolidation options such as remortgaging are simply not available but that also doesn’t necessarily mean the end of the advice process. Debt management modules like the one recently launched on TrigoldCrystal enable brokers to demonstrate that they have explored the immediate options available to their client and where these options are either unavailable or inappropriate allow them to refer the client to specialist debt manager.
Like any other time in the industry there is never one size that fits all and so, as in previous years, it’s the role of the broker to really get to the heart of the needs and requirements of their clients. Comparison websites can certainly answer some questions in a simple, binary yes/no format but the skill that brokers offer is establishing what question to ask in the first place. There are a lot of people that would benefit from help and advice from a professional mortgage adviser although they may not know it yet!