TMA Club has revealed that the top three queries their Broker Support Desk assisted Directly Authorised (DA) brokers with in Q2 were related to Residential Adverse Credit, Residential Income support and Residential Foreign National services.

During Q2, TMA Club saw a sustained focus on queries regarding adverse credit, particularly on the residential side, as brokers sought support to advise clients around missed or defaulted payments and County Court Judgements (CCJs) for debt.

However, adverse credit issues relating to defaults from over three years ago are also being reported, highlighting the importance of broker support. In addition to sound financial advice, brokers can provide much needed perspective to customers in difficult financial situations, ultimately resulting in best case customer outcomes and sustained client retention, TMA says.

TMA also saw a large number of queries related to income types, as affordability remained a key obstacle to gaining mortgage approval. In particular, a number of queries relating to clients with multiple income sources, benefit income, and income from BTLs. TMA argues that brokers should place an emphasis on understanding the individual needs of every client to find the most suitable product for them at this time. This means investing appropriate resources into KYC, fact-finding and CRM systems to ensure brokers are working with their customers every step of the way.

Q2 saw a notable increase in the number of applications for residential mortgages from foreign nationals on a visa. TMA believes that a number of socioeconomic factors, including the invasion of Ukraine and impact of Brexit, will be contributing to this trend but the increase has been significant enough this quarter for lenders such as Skipton BS to amend their mortgage criteria to accept more of these applicants.

Lisa Martin (pictured), development director at TMA Club, said: “The argument for seeking independent financial advice when taking out a mortgage is being constantly strengthened by the growing complexity of the mortgage market. Brokers are used to dealing with a broad range of clients and play a critical role in helping borrowers make the most informed decisions possible for their individual financial circumstances.

“Brokers can put themselves in the best position to support their customers by joining a club to ensure they have access to the full range of products to meet their clients’ needs. In addition, TMA’s Broker Support Desk can support member brokers as they try to achieve the best possible outcomes for borrowers.”