"This article has sparked a variety of responses which is understandable but lets look at the basics of what Richard is trying to emphasise, yes he is trying to sell his product but at the same time he does make some interesting points. To provide a great service to our clients, this will always pay off in the long run.
With the current climate as it is we have to at least cover our overheads and on-going costs and charging fees is probably the way forward. But of course charging a fee needs to be justified, otherwise as I am sure we all know, the client will go elsewhere.
When it comes to professional services, plumbers, solicitors, Estate Agents, they all charge fees, so why should Mortgage Brokers be any different?
When it comes to charging fees, the way is to go back to basics. I was always taught that when it comes to selling to a new client, the first thing that you sell is yourself, a client will only buy from someone they like. This may sound patronising to some, but I once spoke to a broker who took an internet lead, called the customer who wanted some simple advice over the phone, the broker immediately said before I give you that advice, I will charge a fee, phone went dead.
When you''ve done the factfind and recommended a direct product you can always give the client the option of you doing everything for them, the admin, the applying (client can always apply themselves whilst you are there) and then you explain what your fee will be. That way the client can make the choice.
Obviously not every client will choose the fee route, but at least if they don''t it saves you wasting valuable prospecting time, and if they do, then you and your client have benefited both from good advice.
These are testing times and although there''s a lot of stuff we as brokers are unhappy with, dual pricing being one of them, there''s not a lot we can do about them. The best thing we can do is keep our heads down and continue to provide an excellent service to our clients. This will pay dividends in the long tun.
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