View more on these topics

Capital Fortune slams lenders for pulling fixed rates

Capital Fortune Independent Mortgage Advisers has hit out at top lenders for withdrawing their current fixed rate products despite the recent interest rate hold.

It says existing deals are to be replaced with higher rates across the board, significantly increasing the cost of borrowing and despite the Bank of England agreeing to put rates on hold earlier last week.

Top lenders including Northern Rock, Nationwide, Portman, Halifax, Bank of Scotland, Chelsea, Coventry, UCB and Abbey have announced rate withdrawals and introduced almost identical products with an increased premium of between 0.1% and 0.3% across the board.

Rob Killeen, founder of Capital Fortune, has made a formal request to the Financial Services Authority to investigate the recent hikes.

He says “There appears no reason for these further moves and customers across the land will now be subject to even higher borrowing costs.

“It is the duty of all financial organisations to treat customers fairly and the FSA should investigate why all the big players have chosen to increase their rates in tandem and almost on the same day. It is unacceptable.”

He says the free market is designed to bring about competition and
such a universal change across the market could give consumers the
impression that lenders are deliberately price fixing.

Capital Fortune has informed all its current customers of the product
withdrawals and is negotiating with the lenders to show flexibility and extend their imminent deadlines.

Recommended

Enterprise’s fees promotion goes on

Enterprise has extended its fees-free campaign until the end of July.The promotion is available on all standard remortgages in England and Wales across Enterprise’s 14 panel len-ders, provided sub-prime sourcing system Edge is used to source solutions and checklists.Applicants will receive free valuations as well as free legals, provided by Goldsmith Williams.Jason Badla, director of […]

Bankhall sorts out expense claims

Bankhall has appointed GlobalExpense to manage its employee expense claims process. The GlobalExpense system is web-based and more accessible than competing software solutions that need to be downloaded onto PCs.

BBA lending figures point to July rate rise, says RICS

The Royal Institution of Chartered Surveyors says lending figures from the British Bankers’ Association suggest a rate hike in July is inevitable.Oliver Gilmartin, senior economist at RICS says: “The latest lending figures confirm the Monetary Policy Committee’s concerns that the housing market has been resilient in 2007 making a further rate hike guaranteed in July. […]

HML signs deal with Nua

Homeloan Management Limited has signed of a five-year servicing contract with Nua Homeloans in the Republic of Ireland. HML will service Nua’s range of products originated through its intermediary channels and will handle all post completion administration.Nua, a joint venture between Finance Ireland and Investec, will offer loans to customers in the specialist mortgage market, […]

Bridging is no longer a dirty word

It’s not that long ago that short-term finance, or, perhaps more specifically, bridging finance were viewed as dirty words by mortgage brokers. The rates on offer were punishing, meaning there were only a handful of situations where it would be appropriate to arrange one. Some lenders didn’t exactly uphold great reputations for service standards either; […]

Newsletter

News and expert analysis straight to your inbox

Sign up