Lloyds predicts further cuts to conveyancing panels

Speaking at the Conveyancing Association’s Christmas Reception, Paul Collins, Head of Mortgage Fraud, Lloyds Banking Group, argued that the bank remained committed to maintaining a large conveyancing panel to enable sufficient choice for customers but will be forced to take further action if firms continued to commit fraud.
 
Mr Collins said:
 
“We have this year looked at our conveyancing panel and made changes to create a level playing field so that the firms on our panel are those that are doing a certain level of work with us on a regular basis so that they are familiar with our practices.

"These haven’t been arbitrary decisions we’ve made but ones which we believe will safeguard us and our customers against mortgage fraud.”
 
He also said:
 
“The future for panel management is interesting with some developments already taking shape, such as accreditation schemes, although these will only work if they reach critical mass.

"Furthermore, there is a real need for an industry wide solution to vet and monitor firms whereby banks can retain individual panel eligibility criteria. In the meantime, unless individual firms improve their processes, lenders will be forced to re-assess their panels.”  
 
Eddie Goldsmith, Chairman of CA said:
 
“The issue of mortgage fraud isn’t going to disappear overnight and no-one is naive enough to believe it can be fully eradicated. However, the CA and its members are committed to working with brokers and lenders to improve the situation.

"If our industry works together to raise standards and improve due diligence, this will go a long way in building the confidence of lenders and consumers in the integrity of services provided by the profession.

"As Mr Collins rightly pointed out, if firms fail to address the issue, the future doesn’t look very promising for them.”
 
The CA is working with lenders to ensure that members offer a superior service, can demonstrate high quality standards, competence and probity of staff, financial stability, and good management of staff and administrative processes.
 
The CA held its Christmas Reception on 8th December in London with Paul Collins, Lloyds Banking Group, as its keynote speaker to discuss how conveyancers can work better to reduce fraud levels and remain on conveyancing panels.