NatWest has suspended new mortgage applications from the network Financial Ltd following a FCA recruitment ban for four and a half months, Brian Galvin has said.
The managing director of Financial Ltd said: “It is both unwarranted and unnecessary. There is no for it. I understand that there is a revised focus for lenders post-MMR and our focus is to sort it out and I am confident the suspension will be overturned. Until then it is business as usual.”
In July, the City watchdog barred the Cheltenham-based network from recruiting for four and a half months after it ruled it had not ensured sufficient supervision and control mechanisms were in place to stop its appointed representatives from mis-selling products and advice.
Mr Galvin said that no notice was given and that it was only made aware of the suspension by one of its ARs. The firm, he said, was focused on getting the suspension overturned.
Right of Reply
A spokesman for NatWest Intermediary Solutions said: “Following the announcement by the FCA regarding the recruitment suspension imposed on Financial Ltd, NatWest Intermediary Solutions will no longer be able to accept new mortgage applications from any Appointed Representative of Financial Ltd.
“As a responsible lender we take seriously the findings of the FCA and will undertake a full review of Financial Ltd.
“Mortgage applications that have already been submitted to us will be able to proceed to completion. We have written to all members of Financial Ltd to explain the situation.”
