TECHNOBUREAUCRACY AND CITY LIFE (and commissions). The Broker acts to filter and controll the rate and type of applicants - his ability to do this to the satisfaction of Building Societies is a further necessary aspect of his relationship with them. Mutual trust arising out of the busines relationship develop these conditions » ( 46). The Broker, therefore can obtain access to morgages for clients which he considers to be a worthwhile risk. The Broker also offers to look after many of the arrangements involved in the actual transaction of the sale. For those who find it impossible to obtain finance for the purchase of property, they must turn towards the « finance houses». « Finance houses exist as independent units though many are linked directly to the major clearing banks. The clearing banks have in fact used these subsidiaries as a way of penetrating what was a lucrative property market. Furthermore, because these subsidiaries were not obviously linked to a particular bank they could involve themselves in activities which would not be appropriate for the parent organisation. The smaller finance houses not related to clearing banks are generally within a web of companies which quite frequently includes property development companies. The aims and purposes of these houses are generally not independent of these other companies - each one assisting the other where necessary » (47). These organisations lend money at an even more exorbitant rate of interest than the building societies and the terms of the loan include punitive clauses to deal with either nonpayment of the loans and/or persons wishing to finish off paying the mortage early. Since the « clientele » of the finance houses consists of people who have no choice they are usually forced to accept any terms. At the top end of the housing market other methods are found to provide extra finance for clients who cannot obtain the full loan amount they desire from building societies. Any advances made by building societies of over £ 20,000 are legally regarded as « special advance». The insurance companies, therefore, provide « topping up loans » of several thousand pounds so as to boost building society mortgages beyond the £ 20,000 special advance limit. The interest rates of the« topping (46) WILLIAMSP.: op. cit., pp. 49-50. (47) WILLIAMS P.: op. cit., p. 48. 29
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