Financial advisors have a role to play

Posted: 12 May 2008 11:40:56 GMT

Independent financial advisors have a role to play in helping homeowners in financial difficulties.

Independent financial advisors have a role to play in helping homeowners in financial difficulties.

That is according to the Association of Independent Financial Advisors (AIFA), which was responding to a new government initiative.

The Treasury has announced a £10 million package, aimed at giving more advice to mortgage borrowers who are concerned about their finances.

AIFA officials have welcomed the move but have also called for the role of financial advisors to be highlighted.

"This announcement is good news for homeowners, but the government should also recognise the key role of financial advisers in assisting those who experience financial difficulties," commented AIFA director general Chris Cummings.

"Advisers can help consumers to adopt better financial management and better all round budgeting. In particular they can help manage debt through talking to the lender, finding an alternative mortgage deal or an alternative financial solution.

"Some lenders are helping by sharing information with intermediaries on homeowners who are getting into arrears problems. Intermediaries can then advise consumers and help prevent them getting into more serious difficulties," he added.

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