NBS pushes to cap financial brokers’ fees
Financial brokers are pushing their clients towards greater risks when selling them mortgages, says the central bank NBS, which wants to re-open discussion on capping their fees. NBS says mortgages sold by the brokers are riskier than those sold directly by banks, and the brokers are not even able to negotiate better interest rates for their clients. They account for about 60% of all new mortgages. NBS thinks capping their fees would mitigate the risk that brokers will recommend too high loans (with higher fees) to clients. The previous government tried to cap the fees but abandoned the plan after pushback from brokers. The new cabinet wants to return to the issue once the pandemic ends.