Broker calls for streamlined application processes

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Specialist mortgage broker CLS Money wants lenders to streamline the process between application and offer by reassessing the supporting evidence they request from advisers.

Clayton Shipton (pictured), the Essex-based broker’s managing director, argues that lender turnaround times could be speeded up, if there was more thought given to moving towards streamlining packaging requirements.

He said: “We have certain lenders coming back with 20-25 points that need ‘clarification’, even when they have a passed DIP, proof of income and bank statements. At the other end of the spectrum, another lender on the same case will only ask for one payslip. Which one do you think we are going to want to do business with, when in many cases speed is a critical factor?

“Some forward thinking lenders are already looking to exploit the opportunities offered by Open Banking and one is trialling a process asking for no supporting documentation because everything they need can be verified via Open Banking, with the customer’s permission.

“Of course, there are brokers whose initial case preparation is very poor, and that can tend to clog lenders’ admin systems. However, more needs to be done to find the balance between following sensible credit policy and simplifying the multiple ways lenders expect supporting information to back up mortgage applications.

“In the end, lenders who can satisfy their credit requirements, while simplifying the requirements for supporting documentation, are going to be the winners in the long run and will benefit from the long term support of intermediaries across the UK.”

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