Consumer Duty – What You Should Expect From Positive Lending
What is Consumer Duty?
This is the Financial Conduct Authority regulation that will set higher standards within the industry and put customer needs first. The aim is to fundamentally improve how firms serve consumers and give customers good outcomes.
What are the 4 Outcomes?
- Products and services
- Price & Value
- Customer Understanding
- Customer Support
What do these mean to you?
Products & services:
These must be designed to meet consumer needs: perform as they should; use appropriate distribution channels and have adequate product governance.
Products must offer fair value, and this must be assessed regularly.
Consumers must have the right information at the right time; information must be clear and transparent; appropriate for the average consumer and consider vulnerabilities.
Consumer support must be responsive, accessible, and appropriate. There should be no delays in claims or complaints handling. Performance must be reviewed regularly.
Price & Value:
Positive Lending is constantly reviewing the mortgage marketplace to ensure we offer the very best options to our clients. We do remove products and lenders from our panel and regularly discuss product structure with lenders where we see a gap in the market.
We regularly assess our fee structure against the market and ensure best value for money that we possibly can. We do not buy leads in and pass this cost to consumers. We operate a flat fee system and do not charge percentage fees.
We do not take a commission on survey fees and will always tell you when a lender is offering a free or reduced valuation fee.
We will explain our fee structure as well as any other fees you are going to face before you make a decision regarding the borrowing and will always disclose the commission we earn.
Introductions to Positive come from professionals within the industry who do not have the qualifications, permissions, or authorisation to advise within the specialist mortgage market.
Where we are not the right business to be offering the advice we refer to business partners, so you get the very best specialist advice.
Customer Understanding:
Your Positive adviser will discuss your requirements and personal circumstances before making a recommendation to you. Alternative options will be raised and discussed so you fully understand the options available, and the risks associated with whichever product you are seeking.
We will never overstate the benefits above the potential risks and will confirm our recommendation in writing.
We will never ask you to make a decision until you have had the opportunity to ask questions and are completely happy with the outcome.
Customer Support:
You will always have a dedicated case handler, but cover will always be in place for holidays or other absences.
All staff have a direct dial line and personal email address but there are also group lines and emails if you need it.
What are the 3 cross cutting rules / obligations
In each of the above outcomes every firm must:
- Act in good faith towards retail customers
- Avoid foreseeable harm to retail customers
- Enable and support retail customers to pursue their financial objectives
At Positive Lending we passionately believe we offer all the above to every client. Our advisers are focused on getting the best possible product available based on lender criteria to fit individual circumstances.
This may not be the lowest rate in the market, but it will certainly be the lowest rate that can be achieved based on lender criteria that fits your situation.
Vulnerable Customers
Not everyone is the same and we understand that we are only involved because you want to borrow money. However, some of our customer’s circumstances are such that they need additional help or support, and we will do everything that we can to ensure we meet your needs.
We understand that there is a difference between wanting to borrow money, perhaps for a fabulous home makeover and needing to borrow money, perhaps to restructure finances to improve monthly disposable income.
Whatever you need the money for we will support your personal circumstances and needs. We have a vulnerability champion within the business who will happily talk to you to find out what help you need. Ian Pitcher, our Vulnerability Champion can be contacted on 01202 850842 or by email at [email protected]
Whatever your personal circumstances tell us and what we can do to make the process as smooth as possible.
