(LtoR): Martin Gilsenan, Sales Director of Omni Capital; Gareth Lewis, Head of Sales at Precise Mortgages; Marc Goldberg, Director of Lancashire Mortgage Corporation; Mark Posniak, Head of Marketing and Operations of Dragonfly Property Finance;,  and Duncan Kreeger, Director of West One Loans.

Duncan said to the AOBP brokers: “We pay you guys the introduction fees. You have to think about from your perspective what you are getting paid that fee for.

“In my mind having had more experience in this area than I would necessarily like, I think it’s important for you to think carefully about the people you are introducing for loans.” He also added that he hopes lenders continue to improve collaborating to tackle fraud.

The majority of the lender panel was in agreement that lenders and brokers need to pull together to protect the industry from fraud and improve vigilance. 

The subject of conversation then moved to whether unencumbered properties and overseas investors are seen by lenders as flags for fraud.

The panel was split in opinion; with Gareth stating he wouldn’t regard those factors as a red flag, whereas Mark Posniak, said he would.

Mark said: “I do consider a foreign national, unencumbered property where you cannot follow your money a very high red flag, yes. That’s a no for us. If it’s a foreign national not in this country, encumbered property and they’re going to take their money outward, I’m out.”

Marc Goldberg’s answer met applause when he asserted lenders must be conscious of fraud whether lending £3,000 or £3 million. He said: “There’s so many red flags these days”

Marc added: “The answer to that is we treat every application as fraudulent. As a lender you have to have measures in place which make sure that you are doing everything to make sure that application is not fraud. You have your CCA regulated cases and then you have Mr and Mrs Fraud for £20,000.”

Martin Gilsenan and Duncan both agreed that lenders must question all details in the case rather than make snap judgements on one fact. Martin said: “When it comes to unencumbered property, it’s the next part of the jigsaw that would put the red flag on it and alert you to the potential fact that there may be a fraud.”

On the topic of whether lenders meet their borrowers in their efforts to fight fraud, Marc Goldberg said it would be increasingly hard to meet all borrowers especially considering that Lancashire Mortgage Corporation completes around 400 loans a month.

After talking about topics such as fraud and 85 per cent LTV rates, the Q&A moved to the transparency of fees and then to KFIs.

The need for an industry wide standardised KFI for non-regulated bridging was agreed on by the entire lender panel.

In his speech, Duncan commented on the recent rise in house prices. He said: “It is not a bubble, nor is it a boom; it’s simply the market recalibrating itself for a steady upward trend.”

The event was well received by attendees. Richard Beenstock, Managing Director of Ortus Secured Finance, the AOBP’s newest associate lender, said: “It’s been a good event. We can take the feedback discussed and take it back into our sector and apply it.”

On discussing the occasions where members of the lender panel would support each other in the Q&A session, Jon Salisbury, the new head of Sales for Ortus secured finance said: “That’s the signature of a strong industry, of people helping each other out.”

The event was the first of its kind to be led by new AOBP Chairman, Rob Jupp of Brightstar Financial, who said at the event: “I am delighted to be in this role.”  Rob added it was a real pleasure and privilege to take over the fastest growing trade association and being able to working with the Regulator at the ‘top table’.

The AOBP is in its fourth year and now has a market trend report on the bridging industry’s progress, looking at LTVs, interest rates and loan sizes; but broken down by types of finance. The body has 650 broker members, 23 associate members and 24 affiliate members.

Former AOBP Chairman Sidney Cohen received a token of gratitude from the executive committee in the form of a commemorative plaque.



The AGM held approximately 120 guests at the Westbury Hotel, London, and took place on the Thursday 24th October