Richard Angliss Home Buyer Systems Home Buyer Systems The ‘Next Generation’ The ‘Next Generation’ Sourcing System Sourcing System

Product Overview What is a Next Generation Sourcing System?  It is simply what established sourcing systems should have evolved into, driven by regulation  For both Mortgages and General Insurance

FSA Regulation What Is the FSA’s Prime Objective?:  Consumer Protection How Does It Do This?:  Through regulation of the sales process

FSA Regulation How do they expect Principals to manage it ?  Systems and Controls That are:  Effective  Robust  Demonstrable

Regulated Firms What Do Regulated Firms Have To Do?: Establish a compliant sales process for both Mortgages and General Insurance Establish a compliant sales process for both Mortgages and General Insurance  Fully Document it  Have Systems and Controls to ensure all FSA expectations are met  Provide information in form of RMAR

Home Buyer System A System For Industry Professionals by Industry Professionals 26 Years Financial Services experience 26 Years Financial Services experience  Recognised Mortgages would have to be regulated  Previous regulatory experience showed need for sales system that picks up compliance  Knew Systems and Controls Essential  14 Years experience writing systems in Financial Services

What The Experts Say "This is the type of system all brokers need to ensure compliance and reduce the risks of giving advice in a regulated environment“ - Frank Eve, Managing Director, Frank Eve Consulting

Home Buyer System What are the key components?  Point of Sale System  Training and Competence (T&C)  Compliance Monitoring  Embedded Treating Customers Fairly (TCF)  Management Information

Point of Sale System Point of Sale System must have:  A clearly defined easy to use sales process  Factfinding  Affordability assessment  Sourcing  Research  Comprehensive Suitability Letter  Embedded Treating Customers Fairly (TCF)  A clear audit trail – put the file away with confidence

Ease of Use

Mortgage Sales Process Customer Relationship Management

Mortgage Sales Process Sourcing and Research

Mortgage Sales Process Tick Box Compliance

Insurance Sales Process Tick Box Compliance

What Customers Say “Home Buyer certainly assists the professional status of the advisor, and therefore their reputation. Home Buyer’s honest and trust worthy approach underlines their integrity, and the get up and go attitude screams of a dynamic approach to business. They have certainly exceeded my expectations” Lloyd Richards – Managing Director, LPR Mortgages

Training & Competence FSA Expect:  To Find A Full T&C Process Implemented  Evidence that it is being used  Applied to both Sales and Support staff  Results being analysed  Areas of concern addressed  Records being kept

Training & Competence Creating Tests

Training & Competence Creating Tests

Training and Competence Training and Competence Modules

Compliance System Compliance Monitoring needs to be able to check for: Quantity Make sure the sales process has been followed and all documentation issued Make sure the sales process has been followed and all documentation issuedQuality Check the quality of documentation especially suitability/affordability Check the quality of documentation especially suitability/affordabilityRisk Identify and take action Identify and take action

Compliance Officer Control System

Compliance Officer Case Checking

Compliance Officer Quality Checking

Compliance Officer Early Warning System

Compliance Officer Direct Communication

Treating Customers Fairly Embedded Treating Customers Fairly (TCF). Which Means:  TCF must be incorporated in to the point of sale system  TCF requirements must be seen to be followed through  Company’s TCF policy must be demonstrable as part of it’s culture

Treating Customers Fairly Documentation

Documentation

Promotions Management

Treating Customers Fairly Complaints Management

Treating Customers Fairly Follow Up Management

Management Information Key To Demonstrate Management: Key To Demonstrate Management:  Are basing decisions on good data  Have information available to warn of problems or developing adverse trends  Can track results of implementation of plans  Able to track individuals as well as the whole

Management Information Reports Statistics and Risks

Management Information Generation of Management Information

Management Information Graphical Representation of MI

Other Controls Need to be able to store for each AR: Previous Employment History Previous Employment History Qualifications Qualifications Fitness & Competence testing results Fitness & Competence testing results Training Details Training Details All of this needs to be easily accessible for audit

Other Controls Advisor Management

Overview of HBS

System Produced Documents Features

Features Browse Lender Products

Features View Lenders Website

Features Access Lenders KFI’s

The Reality What Is Really Happening?

The Reality What Is Really Happening?

The Reality What Is Really Happening?

The Reality What Is Really Happening?

Home Buyer System Efficiency 100% Checking from Desk Top 100% Checking from Desk Top Early Warning System Early Warning System Robust Systems and Controls Robust Systems and ControlsCost Reduces staff requirement Reduces staff requirement Minimises risk of fines Minimises risk of fines

Home Buyer System Summary Total Process (Mortgage & GI) Total Process (Mortgage & GI) Total Checking Total Checking Cost Effective Cost Effective Can use as a whole or modules Can use as a whole or modules

Home Buyer System A TOTAL SOLUTION FOR THE NEW GI & MORTGAGE MARKET The Next Generation Sourcing System