MOMENTUM RELEASE NOTES V9.04

MOMENTUM RELEASE NOTES V9.04 Date : February 2014 Version : 1.0 Author : Sam Farrow

CONTENTS MOMENTUM RELEASE NOTES V9.04 1 CONTENTS 2 INTRODUCTION 3 SCOPE 3 General Enhancements... 3 1. Application Management... 3 2. Sales Process Enhancements... 6 3. Contact Management... 7 4. System Enhancements... 7 Mortgage Market Review Enhancements... 8 1. Initial Disclosure... 8 2. Execution Only Sales... 8 3. Direct Sales... 12 4. Employment and Income... 13 5. Income Verification... 13 6. Expenditure... 13 7. Affordability... 14 8. Lender Eligibility... 15 9. Record of Suitability... 15 10. Product Transfer... 16 11. References to The Money Advice Service... 16 12. Reporting... 17 Lead and Opportunity Enhancements... 18 13. Pre-Version 9 - Leads and Opportunities... 18 14. Version 9 - Lead Enhancements... 19 15. Version 9 - Opportunities... 21 16. Version 9 Multiple Concurrent Cases... 23 2

INTRODUCTION This document provides details of new features included in Momentum version 9.04, covering General enhancements to Momentum functionality New features added to cater for the introduction of Mortgage Market Review regulations being enforced by the FCA in April 2014 and a number of fixes to address known issues Leads and Opportunity Enhancements SCOPE GENERAL ENHANCEMENTS 1. APPLICATION MANAGEMENT CONFIGURABLE GRID The configurable grid functionality present in the Momentum Contact and Task Management screens has now been added to the Application Management screen. This versatile feature allows the Application Management screen to be pre-configured to show different views of Application data. These views can be saved at all levels of the hierarchy so that they are displayed automatically each time the screen is viewed. Users can also configure ad-hoc views when necessary. APPLICATION MANAGEMENT THIRD PARTY DETAILS The Application Management screen gives the user a view of applications that are in progress. As third parties such as solicitors are often involved in the processing of applications, it is useful to be 3

able to view third party details in the Application Management screen and to be able to search and filter the screen to show details relating to a specific third party. Third Party columns for Solicitor, Valuer and Affiliate been added to the Application Management grid along with a new Third Party filter, listing third parties that are available to the user PROCESSING OF CLIENT ADMIN FEES An automatic system prompt to ensure the collection of upfront fees during the Application process has been added to Momentum. The pop-up displays the following fields which are configurable at all hierarchy levels: Source Campaign Solicitor Provider Service Centre Is there an upfront fee? (dropdown) o o No - A text box appears for the user to state why there is no fee Yes - A workflow email is sent to a central team (a single, System Management defined email recipient) to inform them they need to take the payment Campaign Codes are displayed in a dropdown list. Options displayed in the dropdown can be managed by users with the appropriate rights (see Campaign Management below). In System Management, if the user has Permission 6074, it is possible to configure when these popups appear at the Submitted, Exchanged or Completed stages for Mortgages and at the Submitted 4

or Completed stages for Insurance. It is possible to enter the email address of the recipient of the Fee Required workflow email at firm/company level. Default values for Campaign Code and/or Introducer details are pulled through from Contact/Opportunity details. Details entered at the Opportunity level take precedence over those at Contact level if both exist. The Solicitor field defaults to the value set in the Third Parties tab within an Application record but, as this is a drop down control, an alternative can be selected if necessary. CAMPAIGN MANAGEMENT In version 9, it is possible to record details of Campaigns against Opportunities, Leads/Clients and Applications. Therefore, users need to be able to add and amend details of Campaigns in Momentum. A Campaign Management sub-tab has been added to the System Tab in System Maintenance, visible with Permission 6074. This allows users to create and manage Campaigns Campaigns can be marked as Active or Inactive, with Active Campaigns being listed in Contact Details, Opportunities and in the Application Checklist. Users with Permission 6072 are able to change Campaign Codes assigned to Clients or Opportunities or in the Application Checklist during the sales process, and users with Permission 6071 are able to add Campaigns to the system during the sales process by clicking on the Add button alongside the Source Campaign field 5

2. SALES PROCESS ENHANCEMENTS ATTACH MULTIPLE DOCUMENTS Users now benefit from being able to add multiple documents to Momentum in one action. Once a user has added their first document, they are able to add further documents without returning right back to the start of the process by using the Save & Add Document' button. 6

3. CONTACT MANAGEMENT CONTACT MANAGEMENT THIRD PARTY DETAILS Details specific to some Categories of Contact e.g. the Sub-Category and Company Name fields that are present in an Affiliate record, are now available in the Contact Management Column Selection dropdown, i.e. it s now possible to view the Company Name of an Affiliate in the Contact Management grid, improving the usability of this screen. 4. SYSTEM ENHANCEMENTS SUBMISSION AUDIT EVENTS Changing the recently introduced Application Submission Date Field in the Application Overview screen now triggers an Audit Event Application Status Date changed from dd/mm/yyyy to dd/mm/yyyy Audit Events are also generated for the existing Expected Exchange and Expected Completion Date fields. SETTING THE STATUS OF APPLICATIONS IN COMPLETED CASES There is sometimes a need to set the status of an Application within a closed Case to Lapsed/Lapsed at Inception/Not Taken Up Momentum has been amended to cater for this requirement. The ability to set the status of Applications within a closed Case is controlled by a new Permission (6073). 7

MORTGAGE MARKET REVIEW ENHANCEMENTS 1. INITIAL DISCLOSURE REFERENCES TO THE IDD' The Initial Disclosure Document (IDD) for mortgages is to be replaced with a requirement for firms to disclose key messages to the customer, including the basis of remuneration and limitations to the product range offered. The IDD can still be used however. Momentum has been enhanced to offer alternative disclosure options to cover key messages/terms of business for all types of sales and references to the Initial Disclosure Document/IDD throughout the system have been renamed, for example in the Case Details screen and the Disclosure Document Configuration screen: LEVEL OF SERVICE - REFERENCES TO WHOLE OF MARKET As a result of MMR regulation, organisations may no longer choose to use the term Whole of Market. Momentum has been enhanced to cater for this change in terminology. The Level of Service options can now be configured by an organisation in System Configuration and the IDD tab displayed at multiple hierarchy levels 2. EXECUTION ONLY SALES INITIAL DISCLOSURE Execution only sales involving interactive dialogue will only be allowed for mortgage professionals, high net worth mortgage clients, or business borrowers. Clients will have to positively elect to proceed with an execution only sale and will quote certain facts (e.g. interest rates, loan amount, interest rate type, term, amount to borrow, etc) to proceed and the consequences of execution only must be explained in every instance. The Initial Disclosure screen in Momentum has been amended, with the now obsolete Non-Advice fields and controls being replaced with Execution Only options instead. 8

Users/organisations can define their own 'Execution Only Statement' which is included in the momentum generated disclosure documentation to indicate that the client is happy to proceed with Execution Only sale. CONTACT AND CASE CATEGORISATION Checkboxes have been added to the Contact and Case Detail screens to enable users to categorise clients and the types of sales taking place. These checkboxes are a visual aid to help ensure that the right level of service is provided, but they are also available as filters and columns in the Case and Contact Management screens and in the Reports module to allow full management of different types of clients and cases. 9

The setting of the Execution Only checkbox automatically configures the following areas of Momentum to help guide the user through the advice process for this type of sale. FACT FIND The Fact Find should not be available for users to complete in Execution Only cases. If necessary, a high level basic data capture form can be uploaded to Momentum instead. Despite the fact that no Product Requirements are recorded in the Fact Find, Product Requirements are created in the background enabling the user to add Quotes to a Case ILLUSTRATION DETAILS An Execution Only checkbox to the Illustration Details screen. If checked, the Recommended checkbox in the Illustration Details screen is disabled. The Execution Only checkbox is ticked by default if a Case is flagged as Execution Only in the Case Details screen This checkbox is used in conjunction with the Chosen checkbox to progress an Execution Only sale. 10

DOCUMENTATION It is not necessary to complete a RoS for Execution Only Sales; therefore the requirement to complete this section of the Case Details screen has been removed for these cases. Users are able to manually upload a Statement of Service document instead, if necessary. COMPLIANCE A new Execution Only Risk Rule has been added to Momentum so that organisations can opt to submit these cases for Case Checking automatically 11

3. DIRECT SALES INITIAL DISCLOSURE Under MMR advisors do not have to sell direct only deals. But if they choose not to sell them they must state this in the initial disclosure. The Momentum disclosure screen has been enhanced to record whether or not the advisor will give advice on Direct Only deals This information is included in the automatically generated disclosure. ILLUSTRATION DETAILS A Direct Sale checkbox has been added to the Illustration Details screen so that users are able to add Quotes to Momentum for the purpose of having a full record of the advice process and so that details of the Quote can be included in the RoS 12

APPLICATION STATUS For Direct Only sales, it needs to be possible to indicate that an Application will not be completed by the Adviser but that it will be passed on to a Direct Provider to be completed. A new Referred Application status caters for this, allowing Direct Only Cases to be created, progressed and closed without skewing Sales figures. 4. EMPLOYMENT AND INCOME SELF CERTIFICATION References to Self Certification have been removed from the Momentum Fact Find and Illustration Details screens 5. INCOME VERIFICATION Income Verification is now covered more comprehensively in the Momentum Fact Find, with details of multiple incomes being recorded and displayed in the printed Fact Find 6. EXPENDITURE Under the MMR, the onus for ensuring a client can afford a mortgage is with the Lender. However, intermediaries may still be required to demonstrate that applicants are eligible for the mortgage being recommended. Different aspects of client expenditure have to be considered - Committed Expenditure, e.g. loans, 13

credit cards, child support, etc; Basic Essential Expenditure e.g. utility bills, council tax, insurance, etc; and Basic Quality of Living costs e.g. clothing, household items. The Fact Find and Fact Find Print have been enhanced so that each Expenditure Item can be classified in this way This enhancement caters for the fact that different Lenders may categorise expenditure items in different ways. A Statement/Checkbox has been included in the Fact Find to be used by Adviser and Client to confirm that the expenditure details are correct. This helps to ensure that eligible applications are submitted 7. AFFORDABILITY The Affordability Calculator and Protection Shortfall Calculator available in the Quotes screen have been enhanced to cater for MMR expenditure classification. AFFORDABILITY SCREEN COST ITEMS CLASSIFICATION Cost items in the Affordability Calculator screen have been aligned with the items recorded in the Expenditure screen in the Fact Find A pdf version of the Affordability screen is automatically produced each time the Affordability screen is closed so that a record of affordability can easily be saved against the Case 14

MORTGAGE CALCULATORS Rises in interest rate should be taken into consideration when considering affordability, so the Interest Rate Change calculator has been added to the Affordability screen along with Overpayment and Reduced Term mortgage calculators 8. LENDER ELIGIBILITY There needs to be evidence within a Case that the borrower meets the Lender s eligibility requirements. The Eligibility Criteria Report is imported from Trigold and categorised with a new Document Type of Eligibility Document. 9. RECORD OF SUITABILITY FURTHER ADVANCE MMR rules state that Advisers are required to explain to clients that it may be appropriate to take a further advance with the existing lender rather than take out a mortgage with a new lender. The Momentum generated RoS has been enhanced to cover this. BRIDGING LOANS Under MMR rules, where advice is given, the adviser must consider why a residential mortgage is not appropriate for a client and a bridging loan is more suitable. The advisor must also consider whether it is appropriate for the customer to make regular payments and whether it is appropriate for the customer to access finance quickly. A Bridging Loan specific Suitability Letter can now be generated by Momentum. It includes text to confirm why the residential mortgage option was discounted, and the outcomes of discussions around payments & access to finance. 15

DEBT CONSOLIDATION When a firm provides debt consolidation advice, the advisor must take into account the costs associated with increasing the period over which a debt is to be repaid; whether it is appropriate for the customer to secure a previously unsecured loan; and, where the customer is known to have payment difficulties, whether it would be appropriate for the customer to negotiate an arrangement with existing creditors rather than to take out a regulated mortgage contract. The debt consolidation section of the Fact Find has been updated to include text relating to these considerations. Additionally, a compliance prompt is displayed automatically when converting a Debt Consolidation Quote to an Application Debt Consolidation - Ensure that you fully discuss with the customer the implications of this course of action and fully document the key issues in your Suitability Letter (e.g. Increase in term of loan and switch to secured debt) LENDER ELIGIBILITY There needs to be evidence within a Case that the borrower meets the Lender s eligibility requirements. A section has been added to the RoS to state that the Adviser/Client believe they fulfil the Lender s eligibility requirements 10. PRODUCT TRANSFER A new Product Transfer option has been added to the Purpose of Mortgage option list displayed both as a Product Requirement in the Fact Find and as a dropdown in Illustration Details screen 11. REFERENCES TO THE MONEY ADVICE SERVICE The Attitude to Risk sections in the Product Requirement screens and the Printed Fact Find now refer to the 'Money Advice Service' rather than FCA 16

12. REPORTING The Momentum Reports module has been enhanced to cater for the new Client and Case categories HNW, Execution Only, etc. Client and Case options have been added to the column selection groups in the Advanced configuration tab 17

LEAD AND OPPORTUNITY ENHANCEMENTS The management of leads and opportunities is an important part of many organisations business. Version 9 of Momentum includes a range of new features that have been introduced to help users and organisations manage leads and opportunities more effectively. Below is a brief summary of existing leads and opportunity functionality, followed by details of the new features and enhancements. 13. PRE-VERSION 9 - LEADS AND OPPORTUNITIES In Momentum, a Case is a container for the sales process. A Case is used to group together: Product Requirements Fact Find information Quotes Applications Documents Tasks Notes Fees Audit Events In pre-version 9 Momentum: There is one active Case per sale and this can cover one or more Requirements, e.g. Mortgage only, or Mortgage, Protection and General Insurance Cases are submitted to Compliance for checking either as a result of Risk Rules being triggered or at preconfigured stages in the sales process A Case can be closed at the end of the sales process If a further sale takes place for the Client then a new Case is created Over time, a Client may build up a history of Cases, but it is only possible to have one active Case. This limitation can cause problems in situations where a client has separate concurrent objectives, e.g. Remortgage with husband/wife and Buy-to-Let with a business partner Lead functionality is limited to differentiation between Prospects and Clients simply by setting the Status of each Client, i.e. Prospect or Client Opportunities can only be identified by: o o Running a Sales Opportunity Report which shows which product types have been sold within a period. These reports don t take existing provisions into account Reviewing automatically generated Tasks that indicate when the Initial Rate Period is approaching 18

14. VERSION 9 - LEAD ENHANCEMENTS New Lead functionality allows Leads to be managed much more effectively in Momentum. These changes constitute the first step towards comprehensive Campaign Management within Momentum. CONTACT DETAILS A new Contact category of Lead has been added to differentiate between prospective clients and actual clients A warmth rating is used to indicate the likelihood of successful Lead progression, and Lead Statuses allow the progression of a Lead to be accurately managed, tracked and reported on in Momentum CONTACT MANAGEMENT A standard Lead tab has been added to Contact Management to allow users to easily view, manage and progress new Leads 19

Further Lead tabs can be configured, if necessary, and, as with all configurable grids in Momentum, exported to Excel as reports. WORKFLOW New options have been added to Action Menus throughout the system to simplify Lead processing. Users can change statuses, create Tasks to re-contact or call back clients, or refer Leads to other Momentum users or to third party affiliates. 20

15. VERSION 9 - OPPORTUNITIES A new type of record within Momentum, Opportunities facilitate the identification, creation and progression of Client s requirements. Opportunity records can easily be added in many screens within Momentum by using the Add Opportunity Action Menu option or button, both of which launch the Opportunity Details screen OPPORTUNITY DETAILS Closely linked to existing Discussion Areas, details of Opportunities are gathered in a simple to use data capture screen Details of multiple opportunities can be captured 21

And details are automatically fed through to a corresponding Case and Fact Find to initiate the sales process. Opportunities can be added to a new Case or to an existing Case using the Convert to Case Action Menu option. CONTACT MANAGEMENT Details of Opportunities are displayed in the Opportunities tab in the Contact Management screen User defined Opportunities tabs can be created using the filter and column selection controls and data can be exported to Excel for reporting purposes. The Convert to Case Action Menu option is use to progress an Opportunity to a Case, thereby initiating the advice process. CONTACT AND CASE DETAILS Summary views of Opportunities relating to a Case, an individual Contact or multiple Contacts are available throughout the system in standard Momentum grid views. Not only are they visible in the Contact Management screen, where details of opportunities relating to multiple users or contacts can be viewed, they are also visible at Contact and Case level in the context of an individual Client 22

16. VERSION 9 MULTIPLE CONCURRENT CASES The way in which new Opportunities are handled and managed varies from organisation to organisation, with advice being undertaken by multiple advisers or teams specialising in different areas. As a result, Momentum has been enhanced to allow multiple cases to be created and progressed simultaneously for a single client. In version 9 it is possible for: Multiple advisers to access a Contact/Client at the same time, thereby allowing more than one Opportunity to be progressed at the same time by different advisers/teams Contacts/Clients to have more than one active Case. This is necessary in order to make it possible for more than one Adviser to progress Opportunities and complete the sales process at the same time Multiple users to work offline by changing the way in which Momentum Briefcase works. Cases are now transferred to Briefcase rather than Contacts. 23