Later life lending platform, Air, is highlighting the crucial role of suitability reports in delivering later life lending advice and good customer outcomes in response to feedback from advisers.
It has launched a new Suitability Report ahead of potential regulatory change as a result of the FCA’s Future of the Mortgage Market Discussion Paper which closed to consultation last month.
A key question highlighted in the paper was "How effective and holistic is advice on later life lending? How can our rules support borrowers to access more effective information or advice to support their needs?".
It helps advisers meet the responsibilities of Consumer Duty around ensuring customer understanding by breaking advice into focused, bite-sized documents, ensuring client needs, recommendations, and risks are presented in clear, accessible language.
Air has designed the report to support transparency, reduce the risk of misunderstanding, and help all clients — especially those in vulnerable circumstances — to make informed decisions with confidence. Used in conjunction which tools such as Air’s Navigator, it can illustrate how all options have been considered and explain why a certain recommendation has been made.
Key changes include the ability to add more personalisation and to create shorter and more digestible documents for clients which improve the presentation of key information and are written in plain language.
Ben Halhead, director of innovation at Air, said: “The new Suitability Report marks a major step forward in later life lending advice delivering a stronger process for advisers designed for advisers.
“At Air we are focused on ensuring later life lending advisers provide consumer-focused, comprehensive advice that considers all available options and the suitability report helps deliver that in line with the FCA’s discussion paper.
“By breaking advice into shorter focused documents, clients can more easily digest important information leading to more informed conversations and greater confidence in the advice provided.
“Clarity and reassurance are paramount to fulfilling the expectations of Consumer Duty and will be central to expected changes to the mortgage market regulatory framework.”
