He claims that CML is right to have mounting concerns about fraud given the rising figures, and it is up to individual conveyancing firms to ensure they raise their standards and ultimately improve the reputation of the industry.
The CA has an ongoing dialogue with lenders and stakeholders on the issue, having met with them this year to understand what steps can be taken to ensure its members are operating at required quality levels.
The CA will be looking to work closely with lenders and brokers in the coming weeks to agree measures that can be put in place to improve the quality and reliability of services on offer.
Eddie Goldsmith said:
“The CA fully shares the sentiments and concerns of the CML regarding mortgage fraud and over the coming months, we will be working with brokers, lenders and 3rd party stakeholders to improve the situation.
"None of us are naive enough to believe mortgage fraud will ever disappear entirely but licensed conveyancers and solicitor firms need to be doing a lot more to raise standards and improve due diligence.
"The CA and its members recognise that lenders will only want to work with conveyancers who offer a superior service, can demonstrate high quality standards, competence and probity of staff, financial stability, and good management of staff and administrative processes.
"So it’s a simple case of failing to act could jeopardise a firm’s position on lenders’ panels.”
In 2010, in an attempt to reduce fraud, a number of major lenders announced a move to reduce the number of conveyancing firms on their panels. The CA believes it is likely that further culls will take place and the firms at risk will be those who cannot demonstrate that they have undertaken all relevant procedures to minimise mortgage fraud.
The CA is holding a Summer Reception on 11th May with Michael Coogan, Director General of CML, as its keynote speaker, to discuss the challenges facing the industry and how lenders and conveyancers can better work together to tackle problems such as fraud.
The CA is the only trade body in the residential property sector which specifically represents the interests of both licensed conveyancers and solicitors firms in the UK who fall into the category of ‘Serious Conveyancers’.
Since the launch of the CA in September 2010, the CA has developed a significant presence in the sector and has expanded its membership of like-minded firms, which now includes a large proportion of the UK’s major conveyancing firms.
