ING Direct has launched its mort-gage range to the broker market through a pilot scheme with Legal & General.
L&G’s network has agreed a pilot with ING Direct to distribute its range of mortgages initially to appointed representatives of the network.
If the ARs recommend an ING product they will advise customers to apply direct but will still receive a proc fee for introducing the business.
Julian Hartley, mortgage direc-tor at ING Direct, says: “We have been successfully offering our products to customers who are happy going direct but this pilot allows us to test the effectiveness of an alternative distribution channel.
“While we are making our pro-ducts available to L&G’s ARs this is a pilot and not a full launch into the intermediary market.”
The range includes fixed, tracker and standard varia-ble rate mortgages.
It is offering a two-year fixed rate at 3.04% up to 60% LTV with a £945 product fee and a two-year tracker deal at 2.49% up to 60% LTV with a £795 fee.
Ben Thompson, director of mortgages at L&G, says: “We’re pleased to be in a position to bring another lender to our panel, particularly one as innovative as ING Direct.
“It’s part of our ongoing project to reinvigorate the market with lenders providing fresh impetus to the industry.”
He adds: “This is only a pilot and we are working with ING Direct to expand volumes in a con-trolled and sensible way. The quality of the business and additional distribution were key attractions for ING Direct.”
Robert Sinclair, director of the Association of Mortgage Intermediaries, says: “It’s good to see direct lenders are starting to see the light and distribute products via brokers.
“A lot of direct lenders have run marketing campaigns that are designed to drive consumers to call centres. Some have now realised that this only targets a certain demographic and are starting to take a different approach.”