The UK’s leading whole of market equity release experts, Equity Release Group (ERG), have called for early identification of vulnerable customers and greater support, stressing that vulnerability still gets treated as an exception, as opposed to being a core component to the customer experience.
A year on from the launch of the firm’s fully integrated Factfind, the Group’s equity release advisory service firm, Equity Release Supermarket (ERS), identified 46 per cent of their customers as being vulnerable.
The Financial Conduct Authority (FCA) also reported similar concerns this year by identifying that only 40 per cent of vulnerable customers – who may be facing emotional, financial, health-related or other concerning challenges – disclose their personal circumstances to their financial adviser, and even fewer are encouraged to share them.
Mark Gregory, Founder and CEO of Equity Release Group, said:
“Our latest data is a statistic we don’t shy away from, but rather one we need to be incredibly mindful of, and support through systematic change. With the implementation of robust and comprehensive systems, industry wide, we’re confident that this will result in heightened protection for vulnerable customers, as well as empowering every customer along the way. We need this consistency across the industry so that the customer remains front and centre of all we do.
“We want to encourage open, honest and proactive discussions around this, to ensure that our customer journey isn’t merely an exercise but a core component of providing responsible financial advice throughout.
“Both our fully integrated digital Factfind and Product Confirmation Letter (PCL) are built using robust technology, providing enhanced usability and functionality, as well as heightened regulatory factors to take compliance and consumer duty beyond the required guidelines, significantly assisting a potential vulnerable customer.”
The firm’s advisory arm, ERS, are known for their service excellence, holding a 100 per cent customer service rating and 5.0/5 performance score on Feefo.
The Group continue to showcase their commitment to customer well-being. Earlier this year theyannounced a new partnership with the UK’s largest debt charity, StepChange, to become their exclusive equity release and later life lending advice partner. At the heart of the partnership is the ability to aptly support those in a financially vulnerable situation, as well as enhancing StepChange’s range of solutions to customers.
Former Chief Operating Officer at Equity Release Council (ERC) – the industry body for the UK equity release sector – Donna Francis, also joined the firm earlier this year to drive scalability and security across the market, in line with the Group’s ultimate focus which is to strive for elevated industry standards.
Mark added: “Our aim is always to push for greater accessibility and make it easier for people to explore and access all later life lending solutions.
“Delivering a good customer outcome for all, including those who find themselves in a vulnerable situation has taken us time to craft, but we are relentless in our commitment to customer welfare, which goes beyond the realms of Consumer Duty.”
Mark Gregory, Founder and CEO of Equity Release Group.
