When it comes to purchasing a property, many people rely on mortgages to fund the purchase. However, obtaining a mortgage can be a complex process, and it’s important to understand the role of the Council of Mortgage Lenders (CML) in this process.
What is the Council of Mortgage Lenders?
The CML is a trade association for UK mortgage lenders. It represents over 90% of UK mortgage lending, and its members include banks, building societies, and other specialist lenders.
The CML’s primary role is to promote the interests of its members and the mortgage industry as a whole. It also provides a range of services to its members, including research, training, and events.
What does the Council of Mortgage Lenders do?
The CML plays a vital role in the mortgage industry, and its activities include:
Policy and lobbying: The CML works with government and regulatory bodies to shape policy and legislation that affects the mortgage industry. It also lobbies on behalf of its members on issues such as consumer protection, lending standards, and affordability.
Data and research: The CML collects and analyses data on mortgage lending trends and uses this information to provide insights into the industry. It also conducts research into topics such as first-time buyers, buy-to-let lending, and the impact of government policy on the mortgage market.
Training and events: The CML provides training and development opportunities for its members, including seminars, conferences, and online courses. It also hosts events for the wider mortgage industry, such as the annual Mortgage Conference.
What are the benefits of the Council of Mortgage Lenders?
For mortgage lenders, the CML provides a range of benefits, including:
Representation: The CML represents the interests of its members and provides a collective voice for the mortgage industry. This can be particularly important when dealing with government and regulatory bodies.
Information and support: The CML provides its members with access to a range of information and support services, including data, research, and training.
Networking and events: The CML hosts a range of networking and events, providing opportunities for members to meet and share ideas with industry peers.
What does the Council of Mortgage Lenders mean for borrowers?
While the CML primarily represents the interests of mortgage lenders, it also has an impact on borrowers. Some of the ways in which the CML affects borrowers include:
Lending standards: The CML sets lending standards for its members, including affordability checks and responsible lending practices. This helps to ensure that borrowers are not offered mortgages that they cannot afford to repay.
Industry insights: The CML’s research and data analysis provides insights into the mortgage industry, which can be useful for borrowers when making decisions about their mortgages.
Consumer protection: The CML lobbies on behalf of its members for consumer protection measures, such as the regulation of mortgage brokers and the introduction of mortgage advice standards.
Conclusion
In summary, the Council of Mortgage Lenders plays an important role in the UK mortgage industry. Its members include the majority of UK mortgage lenders, and it provides a range of services to support and promote the industry. While the CML primarily represents the interests of mortgage lenders, it also has an impact on borrowers through its lending standards, research, and consumer protection measures.