17.5% of UK mortgage brokers say they have been held as ‘data prisoners’ – those effectively trapped to CRM systems by complicated methods and/or extortionate fees to retrieve data – according to research from Smartr365.
Of those who reported experiences as data prisoners, 26% were charged over £1,000 for the return of their data. One in 20 were charged at least £10,000, with one in 50 charged over £20,000.
Despite this, 86% of respondents agreed that a mortgage application journey led by tech is safer than its paper-based equivalent.
Smartr365 says that ‘transparent’ CRM systems provide brokers with a “fair and honest” breakdown of rights and access to their data from the outset. Smartr365 believes that a lack of data transparency is hindering the growth of the mortgage industry.
Thora Kehoe, chief product officer at Smartr365, said: “Wrongful data handling is not only holding brokers to outdated and ill-fitting tech platforms, but also limiting the growth of the mortgage industry. This is a scandalous practice that deserves much more attention.
“We call on all tech platforms to be transparent – in terms of their pricing, offering, and data handling. That almost a fifth of brokers have been unfairly penalised indicates that the problem is widespread, so it’s vital we don’t let this become a chronic issue which stymies the progress of our industry. Let’s stamp out these murky tactics to build a clearer and brighter future for all.”
