FSE2014: Buy-to-let abusers will be deauthorised
Addressing delegates at the Financial Services Expo in London Reynolds said the topic of abusing buy-to-let was now a “common topic down the pub” and he urged brokers to ask the right questions of their clients.
Reynolds said: “Ultimately they are your FCA permissions. They are your client, not anyone else’s.
“If you knowingly get caught, you will be deauthorised.
“It is now becoming the topic round the table at the pub. You need to be asking the right questions and if someone is trying to do that don’t do it.
“It’s an intent to take money for the wrong reason.”
He reckoned times have changed when it comes to brokers and clients abusing buy-to-let.
He added: “Two years ago there was an assumption that it was an industry thing – I think some found out and deauthorised them.
“We’re in a market now where you don’t have to do business with every client that walks through the door.”