RBS IP rebrand will force existing borrowers to go direct
Share
The rebrand of Royal Bank of Scotland Intermediary Partners to NatWest Intermediary Solutions means that existing customers will have to contact RBS direct in order to port their current rate.
RBS announced its move to rebrand RBS IP to NatWest Intermediary Solutions last month.
It meant that subsidiary broker brands RBS, First Active, and the One Account stopped operating as of the end of January.
Previously each brand represented a certain type of mortgage: RBS was for purchases and home movers, First Active handled remortgage business, the One Account dealt with current account mortgages, and NatWest predominantly managed buy-to-let cases, though some mortgages were distributed through Countrywide under the NatWest brand.
It has now emerged that the rebrand will have a knock-on effect.
With effect from February 12 existing customers with RBS, First Active, and the One Account still within the deal period who want to port their mortgage will have to go to RBS direct.
For example, this means that borrowers who took out a two-year fixed rate deal with First Active a year ago and now want to move house will have to go direct to keep their existing deal.
Brokers wanting to submit pipeline house move applications for the affected brands will have to do so by February 12.
Borrowers who have already reverted to the SVR, or who are willing to pay early repayment charges, can still arrange to port their mortgage through brokers.
NatWest borrowers are unaffected by the changes.
As part of the rebrand the repeat proc fee paid to brokers on First Active remortgage cases without additional borrowing will come to an end on March 31.
A spokesman for NatWest Intermediary Solutions says that brokers were notified of the changes for existing customers on January 28.
He says that the rebrand will ultimately lead to a more streamlined application process and that it will make it easier for brokers to place new mortgage deals under the one NatWest brand.
View results 10 per page | 20 per page
Most popular
Most commented
-
Automated lending systems are holding back housing market
-
Action taken against two brokers for mortgage fraud
-
Star Letter - Unless lenders start to act prudently funds will continue to be limited and expensive
-
Intermediaries must fight for themselves
-
Seven in 10 keep banks in the dark over financial problems
Readers' comments (11)
Tim Robinson | 2 Feb 2010 2:17 pm
Another example of those banks that we, the brokers, have supported in the past turning their backs on us.... disgraceful behaviour....
Unsuitable or offensive? Report this comment
Graham | 2 Feb 2010 2:17 pm
Once again, brokers continue to be shafted by RBS and this latest move has put the plug in!
Unsuitable or offensive? Report this comment
Anonymous | 2 Feb 2010 2:21 pm
Frankly this makes little difference as anyone tied to RBS Group would find that the product offering direct is substantially better than via the broker route anyway. RBS has been the worst duel pricing offender since this outrageous practice came into play - supporting the broker channel ? I don't think so.....
Unsuitable or offensive? Report this comment
George Williamson | 2 Feb 2010 2:26 pm
I am an ex-RBS employee and my business partner is ex-NatWest. We know that RBS have one common mortgage platform that supports ALL RBS brands (RBS, NatWest, First Active, The ONE Account, Ulster Bank, Coutts, Adam & Co, Direct Line, RBS International) and so this is NOT an admin/system problem. This is a deliberate action to again cut out the broker from the RBS propsition. The RBS Direct option is via a telephone call and will NOT provide advice to customers. In essence, they are refusing to provide advice to customers, while not allowing this as an option via Brokers - so much for TCF.
Unsuitable or offensive? Report this comment
Anonymous | 2 Feb 2010 2:35 pm
Contempt contempt contempt!
Unsuitable or offensive? Report this comment
Anonymous | 2 Feb 2010 2:37 pm
Again, this is another lender saying "we are committed to our brokers, etc, etc" but what what they really mean is "we do not appreicate you in anyway shape or form. We understand that you provide us with the vast majority of our new business and have stuck by us during the recent difficult times, but we are going to s**t on you now from a great height!"
Actions like this encourage us to use other lenders if there are similar deals available. It is also encouraging advisors that try to avoid charging fees (like me) to charge fees. It only takes a short time to damage a relationship, but a very long time to repair it. RBS seem to be doing their utmost to ruin the broker/lender relationship here and they will realise this when business levels fall off the edge of a cliff. Like with other lenders in the past, they will realise their mistake and come groveling back cap in hand. Who makes these decisions? Surely no one in their Sales & Marketing Department because this is no way to increase business levels.
Surely this is an area the FSA should investigate as it doesn't seem to meet the TCF regime if they are forced to go direct even if the customer does not want to, but I wouldn't imagine this will not happen, as per usual.
Unsuitable or offensive? Report this comment
John | 2 Feb 2010 2:47 pm
What more do you expect from a Bank that has for a long time been in the Vanguard of the dual pricing fiasco.
Making it easier for brokers to place business with NatWest brand?
I have banned the RBS/NatWest call 'em what you will Business Development Manager from my offices...maybe others should do the same. If they want to sell direct to the public, lets force their hand!
Unsuitable or offensive? Report this comment
Anonymous | 2 Feb 2010 3:49 pm
I have already banned the bdm from even phoning me until dual pricing stops, also please can everyone remember that tcf does not apply to lenders only to brokers. FSA and Lenders are best friends.
Unsuitable or offensive? Report this comment
Anonymous | 2 Feb 2010 10:28 pm
Bring back 'Fred The Shred' so he can carry on and bury the bank once and for all.
Unsuitable or offensive? Report this comment
Anonymous | 3 Feb 2010 9:52 am
This is becoming a recurrent theme with RBS. First Active bursts on to the scene, claiming to be the Holy Grail for brokers - takes our customers and shows us two fingers. Now we get this. It would be less obvious if they just phoned us and asked us for a copy of our database! Take your fist out RBS and let us get on with making a living!!!
Unsuitable or offensive? Report this comment