Just over 76% of brokers would reconsider their future collaborations with a lender that unexpectedly pulls products from the market, according to a recent Pulse survey conducted by Castle Trust Bank.
The research, part of an ongoing series of Pulse surveys by Castle Trust Bank, found that more than 60% of brokers would be less willing to engage with a lender they perceive as giving inadequate notice for product withdrawals.
Almost 16% stated that any form of product withdrawal would invariably affect their future decision-making concerning the lender.
Despite the predominant sentiment, the survey found that around two thirds of brokers are somewhat sympathetic to lenders having to adjust pricing or product offerings at short notice.
When it comes to what constitutes ‘adequate notice,’ 29% of brokers said that a 48-hour notice would be reasonable for submitting a full application on a product for which they have already received a positive Decision in Principle (DIP). A further 24% believed that a five-day working notice would be sufficient.
The challenges for brokers in dealing with abrupt product changes go beyond mere inconvenience. Over 60% stated that the primary issue is managing client expectations.
A further 55% noted the extra time required to research market alternatives for their clients, while additional administrative burdens and the need to gather supplementary documentation were also cited as significant challenges.
Several brokers have expressed that such uncertainties in product availability have ripple effects that go beyond professional discomfort.
One broker highlighted that the unpredictability translates to “hours of work outside of normal business hours,” impacting their personal lives and family time.
Anna Lewis (pictured), commercial director at Castle Trust Bank, said: “Our Pulse survey gives us insight into the immediate challenges and ongoing concerns that brokers are experiencing.
“While most brokers express a degree of understanding toward lenders needing to make these changes, they unequivocally demand more transparent and timely communication.
“It’s clear that both brokers and lenders need to enhance their lines of communication for the ultimate benefit of the customer in these uncertain times.”
