Do Mortgage Brokers Charge A Fee And How Do I Check If They Are Registered?

Some mortgage brokers will charge a fee to shop for a mortgage, but others do not but earn a finder's fee or bounty from the lender to whom the client is referred.

Until fairly recently it was possible for just about anyone to call themselves a mortgage broker. But changes in 2004 brought mortgage brokers under the regulation of the Financial Services Authority (FSA) and they have clamped down hard. All registered mortgage brokers are now listed on the FSA web site and it is important for consumers to ensure they are dealing with a properly accredited firm as they do not have access to statutory redress and compensation if they deal with unauthorised firms.

The mortgage broker checker is simple and easy to use. Simply enter the company's name and its postcode and details of the company's FSA registration is retrieved for the user to view.

The information that can be accessed includes whether the firm is authorised to trade as a mortgage broker, if they previously traded under another name, any limitations that are imposed and their range of powers.

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