| Q1. What is an Appointed Representative (AR)? |
| A. An Appointed
Representative is a person or a firm that is able to sell
regulated products although they are not authorised in
their own right. They can do so because they gain exemption
from direct authorisation when another directly authorised
firm, known as a Principal, agrees to take responsibility
for their activities and conduct. Therefore a prospective
Appointed Representative will undergo fitness and propriety
checks and will have to follow the rules and procedures
as set by the Principal firm.
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| Q2. Who is HomeLoan Partnership? |
| A. HomeLoan
Partnership is the trading name of HL
Partnership Limited, a company that is independently owned
by private investors, all with extensive industry experience.
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| Q3. How much will membership of HomeLoan Partnership cost? |
A. Retention is calculated as a percentage of the chargeable turnover of your firm. This is on a graduated scale, reducing as turnover increases to reward productivity. You can call us to check the retention rate that would be applied to your firm. Retention is charged on procuration fees and commissions but not from broker fees.
(See Q8 if your firm has trainees.)
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| Q4. How does this compare with what other networks charge? |
| A. We are very competitive with other networks. Think in terms of value rather than price. Some networks charge flat monthly fees regardless of how large or small your business is. Others also charge a flat fee for every mortgage transacted regardless of the size of the loan. Such fees are likely to attract VAT. We feel our simple approach is both tax efficient and fair to all sizes of business. You only pay according to what you receive in commissions and procuration fees.
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| Q5. How soon will I be paid my Procuration Fee/Commission? |
| A. Subject to an agreed minimum credit balance, fees/commissions will be processed each Monday based on payments received up to the preceding Friday and B.A.C.S. transferred to your account.
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| Q6. How does the cost structure affect me if my production varies from that used to calculate fees? |
| A. The percentage
retained by HomeLoan Partnership will
be reviewed quarterly based on actual experience. Adjustments
can then be made for the next quarter; there will be no
retrospective adjustments.
|
| Q7. How will employing more advisers affect the charging structure? |
| A. You will benefit from a decision to grow your business by adding more advisers. As your turnover increases, the percentage network charge will drop. |
| Q8. Will there be extra costs for supervising trainees? |
| A. Yes. There will
be an additional retention of £90 per month plus
2% of fees and commissions generated by trainees until
they are assessed as competent with the appropriate qualifications.
|
| Q9. Why should I join HomeLoan Partnership? |
| A. HomeLoan
Partnership is a well established network that
can boast many years experience of running a dedicated
network for mortgage professionals. This gives us the
advantage of having worked closely with mortgage intermediaries
and the regulators, both the MCCB and latterly the FSA.
You will have a wide lender panel representative of the
whole market that is actively managed to get you the best
deals. Unlike the networks owned by insurance companies,
you will be able to recommend insurance and protection
products from top named providers chosen carefully for
their competitive premiums, commissions, integrated software
capability and service standards. We believe in offering choice to members,
hence our decision not to restrict you to in-house packaging.
|
| Q10. Will HomeLoan Partnership be responsible for PII cover? |
| A. Yes. Professional
Indemnity insurance cover will be arranged by HomeLoan
Partnership in accordance with FSA requirements.
|
| Q11. Will I have to pay extra for this? |
| A. Yes. In line with
most network propositions, PII insurance premiums (where
applicable) are additional to the standard network membership
costs. PII is charged at 1% of business turnover.
|
| Q12. Can I continue to use the term 'Independent' as a member of HomeLoan Partnership? |
| A. Yes. By being
an AR of HomeLoan Partnership you will
have access to all types of mortgages. The Initial Disclosure
Document that you will supply as an AR will also give
clients the option of paying your fees themselves instead
of being remunerated by the lender. This will normally
satisfy the definition of 'independent' as stated in the
FSA Rules.
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| Q13. Can I only use the lenders on the HomeLoan Partnership panel? |
| A. Yes, however the panel is very broad and in exceptions where you identify a better lender, permission to use a non-panel lender can be obtained from HomeLoan Partnership at no extra cost. |
| Q14. Do you have an approved panel of packagers? |
| A. Yes. The main packager panel includes The Finance Centre, Solent Mortgage Services, Complete and The Business Mortgage Company.
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| Q15. Do you offer any other services? |
| A. Yes - We call
these ancillary services and include wills & trusts, secured loans, commercial loans, lead generation,
website design, solicitors referral service, back office technology and many more.
Full details can be found within our website.
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| Q16. Who owns the client? |
| A. You always retain
ownership of the client unless you choose to sell your
client bank to another Appointed Representative of HomeLoan
Partnership, when you retire, for example. However,
HomeLoan Partnership will have an ongoing
regulatory responsibility, as determined by the FSMA (2000).
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