New research shows many borrowers do not fully understand how broker fees and commissions are structured or communicated.
The latest research from Boon Brokers reveals a clear demand for client fees and commission explanations that go beyond FCA requirements. Consumers are calling for clear, jargon-free guidance they can actually understand.
The survey of 1,000 recent borrowers across England found overwhelming support for greater clarity around mortgage broker fees and commissions.
96% of respondents want brokers to provide both written and verbal explanations of commission and fees before an application.
67% say they did not receive a full written breakdown of commission earned and 66% stated that they did not have a full understanding of both broker commission and fees.
85% of respondents do not believe brokers should charge both a client fee and receive commission.
87% say transparency strongly influenced their trust in brokers, however 25% of respondents said client fees and commission were mentioned only briefly or not at all.
Boon Brokers commented: "With client fees and commission forming the backbone of a broker’s income, borrowers want to understand the ins and outs of how brokers are paid, ensuring advice is truly independent and transparent.
"The research raises a stark question: is it fair that borrowers continue to make the most important financial decisions in a market where broker fees and commission are often unclear or poorly explained?"
