Mortgage Strategy
18 March 2002

  • ...but the future could bring storms Mortgage lending levels in £millions

    18 Mar 2002

    What lies ahead for the mortgage broker? This is a question I am often asked and one that is very pertinent to me, both in my position as CEO of an intermediary-focussed flexible mortgage lender and chairman of IMLA. After all, a life without the mortgage broker could prove very dull indeed. Although many may not wish to admit it, it has been veritable boom-time for the mortgage broker recently. One could even go as far as saying they have 'never had it so good'. Last year saw ...

  • A roof over everyone's head

    18 Mar 2002

    Inflation-busting increases in house prices have left low earners trailing, struggling to raise the money to buy a property of their own. Many are facing permanent exclusion from the housing market. The problem is particularly acute in London and the Sout East but has spread to costly cities such as Bath and Edinburgh, and even certain northern strongholds, for example, Leeds. Many wannabe first-time buyers are simply priced out of the property market by the cost of even the most basic ...

  • Abbey criticise insurance premium fee charges

    18 Mar 2002

    Abbey National has criticised insurance providers charging interest or administrative charges on borrowers who changes their premiums on a monthly basis. Policyholders who choose to pay monthly instead of annually can incur additional costs as high as 24.9% APR of the total premium in some cases. The research, conducted by Abbey National, also revealed that charges are often made in the form of interest, with companies such as the AA and Churchill charging APRs of 24.9% ...

  • All that lenders need for an easy completion

    18 Mar 2002

    Q: How is Alltel structured? A: Alltel Mortgage Solutions (AMS) is a UK company based in Bingley, West Yorkshire with offices in Barnet, Hertfordshire. AMS employs more than 600 mortgage professionals and is part of Alltel Information Services - the largest US provider of software and processing services to companies servicing residential mortgage loans. Alltel has an established presence in the UK and European financial services markets and includes National Australia Bank (Clydesdale ...

  • Alliance & Leicester discounts not available to intermediaries

    21 Mar 2002

    Two new discounted products from Alliance & Leicester are not available to intermediaries, and can only be obtained through direct channels. The three-year product offers a 2.06% discount off A&L's basic variable mortgage rate (5.95%), a current rate of 3.89% and an arrangement fee of £350. There is an early repayment fee of six months' gross interest during the discounted period. The five-year product offers a 1.86% discount, a current rate of 4.09%, and ...

  • APS launches the UK's largest direct mortgage lenders panel

    20 Mar 2002

    APS Europe, the newly established Manchester-based direct submission club, now has the largest lender panel in the UK with 35 banks and financial institutions together offering a wide and varied range of mortgage products. APS Europe provides mortgage and bridging loan services to IFAs and other introducers for property transactions in the UK and Europe. Direct submission simply means that APS, rather than the introducer, conducts all of the research, undertakes all the ...

  • Bank of Scotland outperforms domestic lenders in Ireland to claim top award

    19 Mar 2002

    Bank of Scotland Mortgages Direct was this week named "Service Excellence Provider of the Year", in the residential mortgage market, at the third Annual Independent Mortgage Advisers Federation Service Excellence Awards. The award was presented to Mark Madle, manager, business development of Bank of Scotland Mortgages, at a ceremony in the Davenport Hotel, Dublin. Independent Mortgage Advisers Federation (IMAF) president Michael Dowling says: "Irish lending institutions ...

  • Bolton attacks sub-prime product 'bias'

    18 Mar 2002

    Michael Bolton, head of mortgage marketing at Birmingham Midshires Solutions, has slammed "excessive fee-paying" by sub-prime lenders and severely criticised "product bias" amongst mortgage intermediaries who operate in the sector. But Bolton, speaking at a conference on efficiency and excellence in mortgage processing at London's Waldorf hotel last week, said regulation would help to mop up the bad reputation sub-prime had attracted. Bolton told Mortgage Strategy: "Mortgage ...

  • Capital Home Loans notch up self-cert proc fee

    18 Mar 2002

    Capital Home Loans have announced they will pay intermediaries an increased proc fee of 0.85% on their self-certification homeloans. CHL registered a 20% increase in applications for self cert prior to this increase and CHL expects this to grow as a result. CHL are offering 1.25% above base rate self-cert tracker at up to 90% loan-to-value, while first-time buyers can borrow up to 85% LTV, with no requirement for a reference from an existing landlord. Applicants must ...

  • Carpetbagger set to abandon campaign

    20 Mar 2002

    The carpetbagger who is trying to force Nationwide, the UK's biggest building society, to convert into a bank looks set to call off his campaign, The Times reported last week. Andrew Muir, a director of a financial recruitment firm, says that he will abandon his demutualisation bid if he fails to secure financial backing. He may also scrap plans for election to Nationwide's board of directors. Mr Muir has already spent £2,000 on his campaign and he has twice ...

  • CETA enters non-reg insurance market

    22 Mar 2002

    CETA, the UK's largest general insurance network, has launched a new service for its members which will enable them to source life products from a select panel of insurers. The decision to enter the non-regulated insurance market is part of CETA's on-going strategy of extending the marketing opportunities available to its members. CETA believes that following the demise of endowment mortgages, where life cover was built into the product, there is a growing need ...

  • CII research results now available online

    20 Mar 2002

    A new facility by the Chartered Insurance Institute (CII) is to bring the results of its research to computer screens around the world. CII Research Online is a new service allowing users to download CII research reports quickly and inexpensively via the Institute's website at www.cii.co.uk. The CII is also releasing its latest research paper as an online download version only. 'Occupational injury compensation and rehabilitation' takes the form of a discussion ...

  • Competition Commission report on SMEs 'disappointing', says Which?

    19 Mar 2002

    ABA, the bank auditing service from Which?, has expressed disappointment that the Competition Commission's report on the supply of banking services to small and medium-sized enterprises doesn't go further to give SMEs a better deal. Ian Foyster, managing director of ABA says: "We are glad the government has accepted the Competition Commission's recommendations, and welcome some aspects of the report, such as payment of interest on current accounts and the abolition of ...

  • Current account complacency

    19 Mar 2002

    Research by Bank of Scotland reveals Scotland's 3.1 million personal current account holders and 300,000 business current account holders are losing over £100 million per year by holding current accounts with other Scottish banks where they pay higher interest on overdrafts and receive lower interest on credit balances. Since the launch of Bank of Scotland's new personal current account almost 10,000 customers have already opened accounts with Bank of Scotland to benefit ...

  • Days to qualification: 296

    18 Mar 2002

    Q. My client is concerned that all personal information held about her by her mortgage lender is not released to any other person or organisation. I've reassured her that her lender is a subscriber to the Mortgage Code, which prevents disclosure of her personal information. What else should I be telling her? A. No information about a customer's accounts, or their name and address, will be disclosed to anyone else, including companies within the lender's group. Section 7 of ...

  • Days to regulation: 703

    18 Mar 2002

    Q. I've heard a lot about third-party administration companies. But, with pending regulation by the FSA, how useful will these really be to lenders and, more to the point, how useful will they be in the long run? A. Outsourcing - or third-party administration - has been around in the UK mortgage market for over 20 years. The value of assets under administration has grown rapidly in the past two years to a figure approaching £200bn today. This growth reflects the industry's ...

  • Decisions Decisions for Yorkshire BS

    18 Mar 2002

    Yorkshire Building Society and Legal & General have launched a complete range of on-line mortgage functions available exclusively to users of Legal & General's Mortgage Decisions service. Yorkshire Building Society can submit on-line mortgage Approvals In Principle (AIPs) available to Legal & General's network of mortgage advisers for the first time. Having organised an AIP on-line, advisers can now submit applications for Yorkshire Building Society's mortgages ...

  • E-conveyancing receives £1.5m boost

    22 Mar 2002

    HM Land Registry's pioneering programme to develop and pilot a totally re-engineered system of conveyancing for England and Wales has been awarded over £1.5 million under the Invest to Save Budget(ISB) initiative. The aim of the electronic conveyancing programme is to introduce, over the next five to ten years, a radical overhaul of the systems for buying, selling and registering property in England and Wales. The opportunity which technology provides will be ...

  • Egg No 1 Financial Services Website in Europe

    22 Mar 2002

    Egg has topped the latest Site Audience Survey into Unique Users of European financial services domains. The world's fastest growing internet audience measurement service, Nielsen//NetRatings, recorded that Egg has topped its independent financial web rankings in the UK, yet again, whilst also outscoring all its European counterparts for the first time. The February unique audience of egg.com was 1,100,189, a 28% increase on the figure for December 2001 (786,020) ...

  • Ethics boys set to put a little something back

    18 Mar 2002

    A new firm of ethical IFAs has been set up on a not-for-personal-profit basis and intends to donate monies to charitable causes. Trust Financial Planning will offer day-to-day financial planning advice, eventually building a business whose assets will be held in trust, with no individuals or group of individuals holding an interest in the organisation. This 'Trust trust' will return money to the non-profit sector and will invest in other Trust business, creating a cycle of donation. The ..

  • Exclusive 1.98% TMO self-cert discount

    21 Mar 2002

    The Mortgage Operation has launched a Verso self-certification stepped discount product with a current pay rate of 1.98%. Richard Stokes, product development manager, says "This exclusive product has a 4% discount for the first three months, which significantly reduces the applicant's mortgage payment at a time when they most need money in their pockets. There is then a generous 1.25% discount for the remainder of the first three years. After this time the broker can re-assess ...

  • Finding the mortgage everyone can afford

    18 Mar 2002

    Inflation-busting increases in house prices have left low earners trailing, struggling to raise the money to buy a property of their own. As we reveal in our cover feature, starting on page 20, many are facing permanent exclusion from the housing market. Wannabe first-time buyers are being priced out of the property market by the cost of even the most basic accommodation. With the average national wage now £21,800 and the average UK property costing five times as much, the figures ...

  • FSA extends deadline

    18 Mar 2002

    The FSA has extended the deadline for IFAs, banks and intermediaries to respond to its plans to depolarise the industry, writes Harriet Williams. The government watchdog has granted firms 11 extra days to submit responses. The original deadline for responses to the CP121 consultation paper was set as 19 April but this has been pushed back to 30 April following a request from the Association of Independent Financial Advisors to extend the deadline by a month. FSA spokeswoman Louise ...

  • GMAC buys French property information firm

    19 Mar 2002

    US-based GMAC Institutional Advisors LLC and its subsidiary, GMAC Commercial Mortgage Corporation have acquired GRECAM, a French provider of market surveys and information for property professionals, National Mortgage News reports. The Paris-based GRECAM, which employs eight people, plans to expand its activities in France and Europe in conjunction with GMAC Institutional Advisors as a result of the acquisition. Realpoint - a division of GMAC Institutional Advisors ...

  • GMAC-RFC underwriters forced to work overtime

    18 Mar 2002

    GMAC-RFC is asking underwriting staff to put in overtime to cope with a deluge of mortgage applications that threatens to delay turnover. The lender claims that it is currently working with a backlog of one day but it has decided against recruiting new staff on the basis that business volumes go down as well as up. It aims to get back on schedule by getting the most from existing staff and systems. Gina Collman, head of corporate communications, says: "Any backlog is due to the ...

  • Halifax Estate Agents launches online services

    19 Mar 2002

    Halifax Estate Agents has launched online services through its new website at www.halifaxestateagency.co.uk. The site enables those looking for a new home to quickly search through all of the properties listed with Halifax Estate Agents in their 370+ offices throughout England, Wales and Northern Ireland by using the company's unique HomeFinder system. Customers can view properties online, print off sales brochures or request to have brochures posted to them. If the customer ...

  • Hanley to set up rival to Marketplace

    18 Mar 2002

    Hanley Building Society is to establish an IFA network following the appointment of former Bradford & Bingley regional business director David Webster as chief executive. Webster, who joined the society last month, plans to recruit five new IFAs at the Stoke-based outfit to mirror the Marketplace model operated at Bradford & Bingley. Webster told Mortgage Strategy: "Though there is huge difference in scale and the aspirations of Bradford & Bingley, the principles of ...

  • Homes-for-sale shortage fuels property boom

    20 Mar 2002

    New figures suggest the housing boom is showing no sign of slowing down, with a shortage of properties for sale continuing to push prices up. The Royal Institution of Chartered Surveyors says the thriving housing market and a rapid turnover of properties have led to a shortage of suitable homes on the market. It says the number of houses available for sale has fallen to its lowest level since the beginning of 2000, with surveyors in England and Wales having an average ...

  • IMLA snubs Namba to help start new trade body

    18 Mar 2002

    IMLA is set to establish an independent trade body for mortgage brokers after ruling out support for the National Association of Mortgage Brokers and Advisers and its founder, Julian Jennings. Writing in this week's Mortgage Strategy about the future of brokers and the need for a trade association, Tony Ward, chairman of the Intermediary Mortgage Lenders Association, says: "I am keen for IMLA to play an active role. While IMLA is not structured to take on the role of a mortgage ...

  • Inflation fall wards off rate rise fears

    20 Mar 2002

    Inflation fell below the Bank of England's 2.5% target last month, which makes it unlikely that interest rates will rise soon. Data from the Office for National Statistics showed the underlying rate of inflation fell to 2.2% in February, reversing some of the 0.7% rise in January, which took inflation to 2.6%. The headline rate, which includes mortgage interest payments, fell to 1%, from 1.3% in January. The bigger-than-expected fall brings underlying inflation ...

  • Insurers demand government action on flooding

    21 Mar 2002

    An insurance trade body is calling on the government to do more to protect the 1.8 million homes and businesses which are at risk from flooding. The Association of British Insurers has accused the government of undermining initiatives by homeowners to be better prepared for floods by not having a co-ordinated flood defence strategy. Speaking at a conference at the Royal Institution of Chartered Surveyors, the ABI's property and household manager, Jane Milne, said while ...

  • Intermediary Response

    18 Mar 2002

    It always pains me to think how people are able to get themselves into such a mess by borrowing 'unnecessarily', especially where credit cards are concerned. I believe credit card borrowing to be the biggest scourge in our society today. I remember the times when in order to get a 'simple loan' one had to have a long-standing account with an institution and possibly have even been a saver. Now it would seem that the more loans one has, the more are offered. I think this is ...

  • Kensington joins Scottish Life lender panel

    18 Mar 2002

    Scottish Life Mortgages has signed Kensington Mortgage Company to its panel of 14 lenders. Steve Scholes, director at the Leeds-based packager, says: "We go from prime to sub-prime and KMC adds to the whole spectrum of where we can place business. KMC can offer competitive products both in terms of rate and service." Scholes declined to comment on whether the appointment of KMC would result in the removal of an existing lender. But he says: "We are continually reviewing the level ...

  • Lender response

    18 Mar 2002

    Rolling up unsecured debt into a borrower's mortgage, as a means of reducing overall monthly payments, needs to be carefully considered as it involves the roof over their heads. However, this would appear to be a case where remortgaging could prove highly beneficial. Credit cards are the most expensive form of consumer borrowing, with many still charging an APR approaching 20%. At this level the couple could be paying out nearly £600 a month in credit card repayments, which would ...

  • Lenders and intermediaries uneasy about the outcome of regulation, CML poll reveals

    19 Mar 2002

    Most lenders and intermediaries do not believe that new rules to be overseen by the Financial Services Authority will provide a sensible and cost-effective regulatory framework, according to a computerised poll carried out during a CML conference on mortgage regulation. The poll, conducted among 200 delegates at the beginning of Friday's conference at the Victoria Park Plaza Hotel, London, found that 74% of those attending did not believe the new rules would produce a sensible, ...

  • Lenders report slight weakening in mortgage market

    21 Mar 2002

    Mortgage lending rose at a slightly slower pace during February, according to the British Bankers' Association, Building Societies' Association and Council of Mortgage Lenders. The BBA says net lending, which takes into account redemptions and repayments, grew by £3.93bn, compared with January's record monthly rise of £4.04bn. The BSA says net mortgage advances rose by £568m during February, down fractionally on January's figure of £569m. ...

  • Letter: Changing the status of advice

    18 Mar 2002

    Ruth Kelly surprised many people with the announcement on 12 December that the FSA's remit would be extended to cover mortgage advice and intermediaries. So now, more consultation! HM Treasury has published the proposed amendments to the Regulated Activities Order, which covers the scope of the regulation, and has asked for feedback to a number of questions. While this may not automatically go to the top of the reading pile, it is the document that defines the new regulated activities ...

  • Letter: Fighting the demons

    18 Mar 2002

    It amazes me that with all this need to 'protect the public' we appear to be heading for a bureaucratic nightmare. There could be no mis-selling if there were no mis-sellable products. To enforce effective regulations you should go for the lowest common denominator, not the brokers but the lenders. All products should be approved by the FSA and it would be responsible for any bad products. No sub-prime unless the customer qualifies. All, and I do mean all, fees connected with any ...

  • LMC steps up sub-prime pace

    18 Mar 2002

    London Mortgage Company has entered the sub-prime and buy-to-let arenas in a bid to cash in on two of the industry's most lucrative niche areas. Mayfair-based LMC has had a successful first-year trading in seconds and the move into first mortgages comes on the back of growing support from the intermediary sector. The company has secured continuous funding from parent Matlock Bank and will offer a range of niche products with a lending target of £100m, including seconds. The ...

  • London's sinking feeling

    18 Mar 2002

    Satellite images have revealed large areas of subsidence across areas of London that lie along the routes of the Jubilee Line Underground Extension. The pictures show that these areas, which contain some of the most expensive property in London, including the Houses of Parliament, have sunk by an average of between four and five millimetres in five years. The damage runs from Bermondsey through London Bridge to Waterloo and Westminster, and from Battersea to Putney. The areas highlighted ...

  • Mortgage Promotions increases fees for members

    20 Mar 2002

    Mortgage Promotions has increased the fee that it pays its members for loans through The Mortgage Business. Mortgage Promotions now pays its members 0.5% of the advance (maximum £2500). Philip Green, TMB national accounts manager, says: "We have been impressed with the growth of Mortgage Promotions and are happy to support the membership with a new improved fee." Nick Baxter, director of Mortgage Promotions, says: "The fact that more than 640 member firms ...

  • My mortgage week - Michael Bolton

    18 Mar 2002

    Monday: Baby Olivia joined the Bolton household earlier this year and there has rarely been a quiet moment since. After a hectic weekend, I set off (very early) to London for a meeting with Grenville Turner, head of intermediary sales at Halifax. On the journey down, I make calls to Sue Clarke, who heads my marketing team, and Steve Sandiford, who heads my product management team. It's a good opportunity for us to set out our stall for the week ahead - we're halfway through our spring ...

  • N&P in bid to keep customers

    20 Mar 2002

    Norwich and Peterborough Building Society is writing to borrowers whose mortgage terms are coming to an end in a bid to stop them leaving. The building society saw total mortgage advances grow by 24% to £376 million during 2001, but this rise was off-set by redemptions of £335 million as the competitive remortgaging market led to customers taking their business elsewhere. Net lending increased by just £41 million. The society has started calculating ...

  • Nationwide link up with GMTV for tots campaign

    19 Mar 2002

    Nationwide Building Society has joined forces with GMTV to launch a child safety scheme in time for the Easter holidays. GMTV's 'Tag your Tots' initiative will give away half a million child identity wrist bands, to help cut down the time lost children spend apart from their parents. Starting on 18th March, GMTV will launch a week-long series of programmes highlighting issues of child safety. Wristbands will be available from all Nationwide branches and agencies ...

  • Network grounded by regulation delay

    18 Mar 2002

    Home Loan Partnership has blamed the delay in mortgage regulation for the sluggish take-up that has seen its membership numbers fall 25% behind target. HLP has so far signed up 220 brokers since its launch last year - short of its 300 target. The company was set up to help brokers meet compliance requirements after N3, then scheduled for 2002. Intermediary firms register under HLP's MCCB number and thus avoid Mortgage Board visits as HLP inspectors take control of fitness and competence ...

  • New discounted rate mortgages from Alliance & Leicester

    19 Mar 2002

    Alliance & Leicester has launched three new discounted rate mortgage offers, all available up to 95% LTV. The three-year product offers a 2.06% discount off A&L's basic variable mortgage rate (5.95%), a current rate of 3.89%, and an arrangement fee of £350. There is an early repayment fee of six months' gross interest during the discounted period. The five-year product offers a 1.86% discount, a current rate of 4.09%, and an arrangement fee of £295. ...

  • New mortgage range from Leeds & Holbeck

    21 Mar 2002

    A new three-year fixed rate is among a new range of mortgages launched by Leeds & Holbeck Building Society. The new mortgage has a rate of 4.74% fixed until 1 June 2005 on loans up to 90% LTV, with no extended lock-ins. Borrowers can make capital repayments of 10% during each year of the fixed rate period. The completion fee is £299. Charges for early repayment is three months' interest at the SVR (currently 5.75%) for the first year, two months in the second ...

  • Norwich Union launches marketing partnership with Emma's Diary

    20 Mar 2002

    Norwich Union has launched a new marketing partnership with Emma's Diary, the UK's leading pregnancy guide for mums to be. Emma's Diary is a free pregnancy guide given out to expectant mothers by their Doctor or midwife, and contains everything a mother and father-to-be need to know to guide them through pregnancy, birth and early childhood. Emma's Diary is distributed by 94% of Doctor's surgeries and received by 77% of the UK's expectant mothers. The ...

  • Norwich Union tie up insurance awards

    18 Mar 2002

    Norwich Union has been named Best UK Insurance Fund Manager 2002, for the second year running in Standard and Poor's Funds Awards 2002. Norwich Union collected three further first-place awards, in the S & P Five Year UK Insurance Category, the S & P Ten Year UK Insurance Category, and also in the S & P Ten Year Insurance Fund Property Sector Brian Bussell, director of propositions and e-commerce at Norwich Union says: "We are delighted to have won these four prestigious ...

  • Number of experienced buy-to-let landlords grows

    20 Mar 2002

    The number of experienced buy-to-let landlords is growing and they intend to increase the size of their rental portfolios, although they are less optimistic than they were last autumn. This is the finding of the latest Paragon Mortgages Property Investor Confidence Tracking (PICT) Index. It has dropped from 123.8 to 116.6. However, it is higher than the inaugural Index last June that stood at 112.1 Buy-to-let landlords expect to increase their portfolios by 25%, from ...

  • Outlook bright: some danger of rain...

    18 Mar 2002

    I'm a positive thinker but I can't think of any time in the last 15 years when the mortgage intermediary sector has faced such diverse challenges, need for change and threat of discontinuity than is the case today. Right now the industry outlook is like a typical English summer - you bask in sunshine but can't relax too much because the rain clouds might not be far away. Over the next year we will see a number of market changes - most the result of lender actions, the market's ...

  • Paradigm offers mortgage outsourcing

    18 Mar 2002

    New research reveals that 30% of IFAs are considering pulling out of the mortgage industry due to the heavy costs associated with regulation. Some 22% are concerned that they could lose investment and pension business as a result of being involved in protracted mortgage negotiations, and 43% would consider outsourcing their mortgage business to a reputable third party. The research was commissioned by Hampshire-based Paradigm Consulting, a new organisation that promises ...

  • Pat's my boy for MS

    18 Mar 2002

    Patrick Ponsford has been made publisher of Mortgage Strategy and sister title Fund Strategy. Tim Potter, publishing director, says: "Patrick's promotion reflects the tremendous success of both publications." Mortgage pundits all agree Mortgage Strategy is "the best" magazine in the industry. Ron Howell, sales director at First National Mortgage Company, says: "Mortgage Strategy is the best magazine in the mortgage market." And Mike Fitzgerald, sales director at Brentford-based ...

  • Platform seeks correspondent-lending Guarantee

    18 Mar 2002

    Platform Home Loans is close to clinching a correspondent-lending deal with Birmingham-based packager National Guarantee. Correspondent lending accounts for a growing portion of business at Platform, which is looking to add another two companies to its stable of five correspondents by the end of the year. Guy Batchelor, Platform's sales and marketing director, says: "Correspondent lending is an important part of our distribution. We are talking to National Guarantee, who were ...

  • Platinum deal for Mortgage Brain and Misys

    18 Mar 2002

    Financial services software provider Misys has signed up Mortgage Brain to provide mortgage sourcing for its Platinum Mortgage Club. Misys will offer advisers from Kestrel, Countywide, IFA Network and Financial Options networks Platinum Club membership for £10 a month. The fee will include charges for MCCB registration or renewal and access to the Mortgage Brain sourcing system. The club will launch on 1 May. Andy Young, head of mortgage services at Misys, says: "We are talking ...

  • Pru backs Premier Mortgage Services

    18 Mar 2002

    Prudential PLC has thrown its backing behind Premier Mortgage Services, quashing rumours that the subsidiary was set to be dropped, Mortgage Strategy can exclusively reveal. Industry rumours suggested the subsidiary would be closing its doors in June but, in a letter from John Malone, national mortgage manager of Prudential Mortgage Services (pictured), Premier's future is made clear. Malone writes: "Despite much rumour and speculation about the existence of Premier Mortgage ...

  • Raise 'rent a room' threshold to free up rented accommodation, says ACCA

    19 Mar 2002

    Homeowners struggling to meet high mortgage payments can supplement their incomes by renting a room and benefiting from tax relief, while at the same time making affordable rented accommodation available for essential service workers, says the Association of Chartered Certified Accountants (ACCA). Encouraging homeowners to rent out rooms will free up much needed accommodation in the major cities of the UK, where teachers, nurses and policemen, for example, are finding it difficult ...

  • Reduced internet loan rates at The Royal Bank of Scotland

    20 Mar 2002

    The Royal Bank of Scotland has reduced the interest rates for those who choose to apply for loans via the internet, with rates of 8.1% APR now available. The Royal Bank also provides a fully automated decision online, and can arrange for loan funds to be credited to a customer's account in as little as 48 hours from the time the loan is approved. The new rates cover loans from £2,000 to £15,000. For loans of £12,500 to £15,000, a rate of 8.10% ...

  • Royal Bank of Scotland launches intermediary mortgage campaign

    20 Mar 2002

    The Royal Bank of Scotland has launched a discounted mortgage, priced at 3.45%, as part of a new campaign to target the intermediary mortgage market. The Limited Edition Discount Mortgage, which cuts the Royal Bank's mortgage rate by 2.5% until June 2003 and offers further discounts until June 2004, is just one of a range of products offered exclusively through the intermediary channel. The mortgage is available to first-time buyers, movers and remortgagers up to ...

  • Self-cert reaches at all time high

    22 Mar 2002

    Figures released today by UCB Home Loans, Nationwide's specialist lender, show that its self-certification lending to the self-employed and to other people on variable incomes hit record levels in 2001. UCB Home Loans' completed £1.12 billion mortgage lending during the last calendar year, a 21% increase in the number of mortgages to 13,710. The average loan size for a residential self-certification mortgage was £96,300, against an average purchase price ...

  • South East voted number one place to live

    19 Mar 2002

    The South East, the area traditionally viewed as the engine room of the UK property market, has recovered from its autumn slump and regained its crown as most desirable place to live, according to the latest findings from Alliance & Leicester's quarterly movingimproving index. One in five (20%) prospective homebuyers in Britain say they will be looking to buy in the South East over the next year. This figure is up from 12% in the autumn, overtaking the South West, which topped ...

  • Ten-year fixed rate mortgage from the Co-operative Bank

    19 Mar 2002

    The Co-operative Bank has launched a ten-year fixed rate mortgage, with an interest rate of 5.69% until April 30 2012. It offers borrowers flexibility in repayments, plus ecologically friendly features. It is available for house purchase and for remortgaging, with a maximum advance of 95% LTV. For remortgages, the Bank will pay legal and valuation fees. Interest is calculated on a daily basis. Borrowers can create a 'flexible fund', which can then be used to pay ...

  • This week's problem case

    19 Mar 2002

    Mr Patel, aged 40, is an electrician and earns £14,000, with regular overtime worth £5,000. Mrs Patel, aged 39, earns £13,000, with a further £3,000 of regular overtime. They have three children. The Patels currently have a mortgage of £50,000 with a building society. They do not have any savings and they have various credit card debts amounting to £35,000. Their house is valued at £90,000. They would like advice on how to make ...

  • This week's problem case

    18 Mar 2002

    Mr Patel, aged 40, is an electrician and earns £14,000, with regular overtime worth £5,000. Mrs Patel, aged 39, earns £13,000, with a further £3,000 of regular overtime. They have three children. The Patels currently have a mortgage of £50,000 with a building society. They do not have any savings and they have various credit card debts amounting to £35,000. Their house is valued at £90,000. They would like advice on how to make ...

  • This week's problem case

    18 Mar 2002

    Mr Patel, aged 40, is an electrician and earns £14,000, with regular overtime worth £5,000. Mrs Patel, aged 39, earns £13,000, with a further £3,000 of regular overtime. They have three children. The Patels currently have a mortgage of £50,000 with a building society. They do not have any savings and they have various credit card debts amounting to £35,000. Their house is valued at £90,000. They would like advice on how to make ...

  • Two new fixed rate bonds from Leeds & Holbeck

    20 Mar 2002

    Leeds and Holbeck Building Society has issued two fixed rate bonds. Savers taking out the new products will have access to part of their money during the fixed rate period. The products are a two-year bond, fixed until 31 May 31 2004, paying 4.75% gross annual interest (4.55% gross monthly), and a five-year bond, fixed until May 31 2007, paying 5.5% gross annual interest (5.3% gross monthly). Minimum investment in both accounts is £100, to a maximum of £250,000. ...

  • UK consumers remain bewildered by cash machine charges

    19 Mar 2002

    A recent survey carried out for Nationwide Building Society shows that many card holders still limit their use of cash machines for fear of incurring a hidden fee. Key findings were: 50% of people using cash machines usually, or only ever use a machine that belongs to their own bank or building society; 55% of people who only ever use their own bank's or building society's cash machines said they did so to be certain of not being charged; 69% said they would use more cash ...

  • Yorkshire allows Decisions online

    18 Mar 2002

    Yorkshire Building Society and Legal & General have launched a complete range of online mortgage functions available exclusively to users of Legal & General's Mortgage Decisions service. Under the new system Yorkshire will make online mortgage approvals in principle (AIPs) available to Legal & General's network of mortgage advisers. After organising an AIP online, advisers will be able to submit applications for Yorkshire mortgages over the internet directly into ...

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