How will Consumer Duty affect self-build homes?

Knowledge Bank is hosting a specialist one-off Criteria Clinic on how Consumer Duty will affect borrowers choosing to build their own homes.

The Criteria Clinic is being put on in partnership with self-build and custom-build specialist BuildLoan.

Borrowers building their own homes may fall into the category of ‘vulnerable’ in a different way to that which brokers are used to hearing about. This Criteria Clinic will help to give brokers the skills to tackle that, by identifying potential areas of vulnerability and things to be considered.

Knowledge Bank announced a specialist Consumer Duty tool back in March, helping brokers and lenders to identify whether a borrower may be vulnerable as early as criteria search stage.

In addition to BuildLoan, four self-build focused lenders from the BuildLoan panel are taking part in the criteria clinic, including Chris Blewitt from Darlington Building Society, Julie Bourne from Hinkley & Rugby Building Society, Stu Bryce from Chorley Building Society, and Steve Calvert from Furness Building Society.

The Criteria Clinic is taking place next Tuesday 13th June from 10-11am and brokers can register here.

Nicola Firth, CEO at Knowledge Bank, said: "There is only just over a month to go until Consumer Duty regulation comes into force. While much has been said about how to identify areas of vulnerability in mainstream and later life lending, there has been nothing so far about how it will affect those borrowing money in the lesser-known areas of lending such as self-build. This criteria clinic will rectify that by looking at this area in detail and the criteria around it."

Chris Martin, head of product and lender relationships at BuildLoan, added: “Building a home is one of the most complex projects many people will undertake, and having the right finance in place to make sure the build can be successfully completed is massively important. Knowledge Bank’s specialist Criteria Clinic in conjunction with BuildLoan will be invaluable in guiding brokers through what they need to think about when finding the right solution for customers and how this links with Consumer Duty.”