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Halifax attacked over client retention

A broker claims that Halifax has gone back on an informal agreement with advisers over client retention.

Sole broker Danny Lovey urged the lender to be more transparent over a verbal agreement that he says was made around two years ago.
He claims the agreement was that when a borrower is coming to the end of a deal, Halifax would give the broker until six weeks before the mortgage ends to contact the client.

Lovey says it was agreed that, if the broker had not called the client before this six-week cut-off date, then Halifax would contact the customer directly. Lovey claims Halifax has broken the agreement.

On February 21 he accessed a Halifax client tracking system, for a client whose deal ended on April 30.

He wrote to the client on February 29 outlining potential options. Lovey then spoke to the client and was told Halifax had already contacted the customer to offer deals.

Lovey claims Halifax must have called the client more than six weeks before April 30 – therefore breaking the agreement he says was made.

He says: “I don’t know if Halifax has decided to cut out the brokers, but if it has, it does not realise the damage this is doing to the broker and lender relationship.

“I just want brokers to be treated fairly. I am saddened because up until now, Halifax’s service has been good, and the products have been right for the client.”

Paul Silcock, national intermediary account manager for Halifax, says: “We put brokers at the heart of everything we do. We also urge brokers to contact customers as soon as possible.”

He says Halifax’s systems allow brokers to process a client’s mortgage up to 13 weeks before the deal ends.

Silcock, who did not confirm if the agreement with brokers had been made two years ago, adds: “Regulation stipulates that we must issue a letter to the client, four weeks before their deal is due to end, to confirm their new monthly payment.

“No other formal agreement is in place.”


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