Yorkshire Building Society has named its new subsidiary Accord Mortgages – an intermediary-only channel to be launched in March 2003.
Accord is headed by Linda Will, who takes the role of managing director and previously worked on the society's e-commerce capability. Mark Underhill joins as commercial director from Yorkshire's product development team and current intermediary sales manager Rachel Court becomes sales director.
David Anderson, chief executive at YBS, is Accord's non-executive chairman. The current YBS intermediary sales team will transfer to Accord employment.
The subsidiary's product range is not finalised, but will include prime products that broadly mirror the YBS range. But it could also involve specialist products that are outside the current YBS proposition, such as buy-to-let. Accord will not offer sub-prime mortgages.
The subsidiary will be managed as an independent business and will have its own underwriting team.
As revealed in Mortgage Strategy, to route broker business through Accord, YBS will no longer pay procuration fees on its products as of April 2003, when fees will only be available through Accord. Initially Accord expects to do the bulk of its lending on exclusives through selected brokerages. Iain Cornish, general marketing manager at YBS, says: “Service is a critical thing. We don't want that to give way by immediately launching best buys to the whole marketplace.”
Kevin Morgan, director of Hertfordshire-based EZI UK, says: “It's being prudent in releasing new subsidiary products to big players initially – ultimately it will be its loss if it doesn't extend it to the rest of the market.”