‘End-to-end mortgage solutions’ could end up being problematic for mortgage advisers in the future if they result in a significant growth in robo advice propositions, says Knowledge Bank’s Nicola Firth.
Firth was speaking at today’s FSE Wales show, the premier exhibition for the financial services industry in Wales and the West, which is being held once again at the Celtic Manor Resort, near Newport, South Wales.
She said: “Everyone appears to be chasing an end-to-end mortgage solution at the moment, but I would say there should be an element of be careful what you wish for. Are you not talking about an automated advice model?
“Robo advice is a big topic. I get asked all the time, ‘Are they really going to take our jobs? If pushed into a corner, I would say no because human interaction is so important when getting a mortgage.”
She warned advisers not to “put their heads in the sand” with robo advice. “Look at the investment that is going into it – millions of pounds are being spent – and there’s no question that it’s coming.”
Firth said that advisers need to marry up the benefits of using technology with being left behind in the market. She highlighted how the technology is available to use now including CRMs, product sourcing, criteria searching systems, and lender interfaces.
“My advice would be don’t stand back and wait and see what happens,” she said. “Don’t wait and see who emerges as a contender. You need to engage and ask yourself, will it help me earn more, can it increase my productivity, and does it save me time?”
She added: “Advisers should not be put off by complexity. You’ll be surprised at how easy most of these systems are to use; take time out to see what’s available. Every single tool you need is already out there.”
FSE Wales provides visitors with access to over 40 of the industry’s biggest, best and brightest exhibitors including lenders – both mainstream and specialist, distributors, networks, insurance providers, technology companies, and many more.
Lenders attending FSE Wales include sponsors’ One Savings Bank and Metro Bank, plus Accord Mortgages, Barclays, Coventry Building Society, Family Building Society, Foundation, Kensington, Keystone, Magellan, Masthaven, Nationwide, NatWest, New Street, Paragon, Secure Trust Bank and The Mortgage Works.