The London Institute of Banking and Finance Certificate in Mortgage Advice and Practice (CeMAP®)
Our CeMAP® programme consists of the Financial Services, Regulations and Ethics (FSRE) qualification, plus units 3-7 of the Certificate in Mortgage Advice and Practice (CeMAP®). The FRSE replaces units 1 and 2 of the CeMAP®.
Financial Services, Regulations and Ethics (FRSE) - learning outcomes
On completing this unit, you will understand:
- the UK financial services industry, in its European and global context
- how the retail consumer is served by the financial services industry
- the regulation of financial services
- the Financial Conduct Authority’s responsibilities and approach to regulation
- the principles and rules as set out in the regulatory framework
- the legal concepts relevant to financial advice
- the different types of risk and how they relate to institutions and individuals
- the skills required when advising clients
- the Financial Conduct Authority’s principles based approach to promote ethical behaviour
- the Code of Ethics and professional standards
- the differences between ethical and unethical behaviour.
CeMAP® Unit 3
On completing this unit, you will:
- know the regulatory definition of different types of mortgages, Buy to Let mortgages, Consumer Buy to Let mortgages, second charges and equity release
- know the house-buying process, the key parties involved and their roles.
- know the process and implications of buying property at auction
- know the common types of borrower and how their main mortgage related requirements may differ and what factors may disqualify people from borrowing
- understand the main requirements of the Mortgage Conduct of Business Rules and the legislation affecting mortgages
- understand the economic and regulatory context for giving mortgage advice.
CeMAP® Unit 4
On completing this unit, you will:
- understand the role of a mortgage adviser
- understand the purpose of additional security, including the role of guarantors
- understand the fees and charges involved in arranging a mortgage
- know the principal types of property defect that surveys can identify and understand their implications when seeking a mortgage
- understand the principal factors affecting the value of property
- understand the different forms of valuation and survey
- understand the need to obtain Local Authority planning consent for house development/extensions.
CeMAP® Unit 5
On completing this unit, you will understand:
- the key features of the different types of mortgage repayment options and their benefits and drawbacks for different types of borrower
- the key features of the different types of mortgage product and interest rate options
- the main features and functions of different forms of life assurance and other insurances.
CeMAP® Unit 6
On completing this unit, you will understand:
- the principles and procedures associated with raising additional money and the circumstances when further borrowing might be appropriate
- the principles, procedures and costs of transferring mortgages
- the principles of using mortgages within debt consolidation arrangements.
- the implications for the borrower of the non-payment of mortgages, other breaches of the Mortgage Deed, non-payment of building insurance and the options available
- the legal rights and remedies available to lenders in respect of non-payment from borrowers
- the main provisions made by the State to assist consumers in difficulties over the repayment of mortgages.
CeMAP® Unit 7
On completing this qualification, you will understand how to:
- analyse consumers’ circumstances and suitable mortgage solutions taking account of any existing arrangements
- apply suitable mortgage solutions to specific consumers’ circumstances.
The London Institute of Banking and Finance Diploma for Financial Advisers (DipFA®)
DipFA® is a benchmark qualification that meets the standards required for those giving professional advice on retail investment products. It is recognised by the industry’s regulator, the Financial Conduct Authority (FCA).
If you have chosen the combined CeMAP® and DipFA® programme, the completion of the FRSE qualification in the CeMAP® means you can move straight to unit 2 of the DipFA®.
Unit 2 – Advanced Financial Advice (AFA) – learning outcomes
On completing this unit, you will understand:
- the UK taxation system in relation to individuals and trusts
- taxation of investments in relation to individuals and trusts
- the role and relevance of taxation in the financial affairs of individuals and trusts
- personal taxation in relation to investment advice
- the macro-economic environment and its impact on asset classes
- the main characteristics and behaviours of asset classes
- the merits and limitations of the main investment theories
- the principles of the time value of money
- the nature and impact of the main types of risk on investment performance
- the characteristics and behaviours of investment products
- the principles of investment planning
- the investment advice process
- the performance of investments
- the areas of need for financial protection planning
- the consumer and retail market factors and trends relevant to financial protection
- the main sources of financial protection
- the role and limitations of state benefits for financial protection
- the range and application of life assurance policies to meet financial protection needs
- taxation treatment of life assurance and pension-based policies
- the range and application of income protection insurance
- the range and application of critical illness insurance
- the range and application of long term care insurance
- the main features of other insurance based protection policies
- the needs and priorities in selecting appropriate financial protection solutions
- the political, economic and social environmental factors which provide the context for pensions planning
- how the HMRC taxation regime applies to pensions planning
- the relevant aspects of pensions law and regulation to pensions planning
- the structure, relevance and application of the state schemes to an individual’s pension planning
- the structure, characteristics and application of Defined Benefit (DB) schemes to an individual’s pension planning
- the range of Defined Contribution (DC) scheme options as they apply to an individual’s pension planning
- the options and factors to consider for drawing pension benefits
- the aims and objectives of retirement planning including the investment issues
- the process of gathering client information for holistic financial planning
- how to formulate and communicate holistic financial advice
- how to create, implement and maintain financial plans.
