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Woolwich seems to be turning its back on loyal brokers

I would like to draw readers’ attention to a recent move by Woolwich.

On its flagship Openplan offset pro-duct, the lender has increased its margins significantly as well as adding repayment penalties to the product.

This does not surprise me because in the current economic climate it’s something many lenders are doing.

But when I suggested the deal to a client recently, they subsequently discovered that if they went directly to Woolwich they could get the same product 0.5% cheaper and with no repayment penalties.

In a climate in which many brokers are struggling and with the year ahead looking tough, it seems as though len-ders are trying to drive the final nail into our coffin.

This move comes from a lender that has historically done a high percentage of its business via brokers and one we have supported through times when its service has been terrible.

It is now clear that all our support has been for nothing as it seems prepared to turn its back on us.

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