View more on these topics

Scarborough pulls plug on specialist lending arm

Scarborough has pulled the plug its specialist Leeds-based lending arm Scarborough Specialist Mortgages.

The decision follows market changes which have impacted mortgage origination and trading within the industry.

Existing SSM pipeline cases will be accepted and intermediaries have been notified of both the SSM product withdrawal and the cut-off point up to which applications will be accepted.

All existing SSM loans will continue to be administered by the Scarborough Group.

A small number of SSM-related roles are directly affected by the decision and those staff have been notified. A consultation process is now taking place.

Simon Evans, group relationship manager at Scarborough, says: “SSM has proved very successful since it was launched to originate high quality specialist mortgages.

“But we have to accept that the world has changed since last autumn and our business needs to respond accordingly.

“Given the much-reduced appetite for originating mortgage lending and trading mortgage assets, we have responded to market trends currently and as we expect them to unfold over the coming months.

“In the meantime, we remain committed to working with intermediaries to offer varied lending solutions through Scarborough Building Society.’

One source says: “Ever since the plug was pulled on Amber the worry has been that the others would start to fall like a deck of cards.

“With renewed FSA pressure it’s not going to be long before you see other
society specialist lenders go to the wall too.”

Recommended traffic up 104% in January has noticed a 104% increase in home mover traffic in 2008 with particular interest being shown in rental properties.After a lull at the end of 2007, January visits to soared 104%, with unique users up 90% compared to the previous month and 15% from January 2007. also delivered 38% more leads from […]

Service to help brokers meet TCF regulations

Brokers can monitor their compliance with the Financial Services Authority’s Treating Customers Fairly initiative with a new health check offer from compliance specialist MS2M.The service is based on a questionnaire that uses a traffic light system to help brokers identify the systems and processes they need to review to ensure full compliance with the regime.MS2M […]

AToM makes 48-hour fees pledge

All Types of Mortgages has guaranteed to pay proc fees to brokers within 48 hours of confirming mortgage completions.AToM will make twice-weekly BACS payments to ensure it can meet its promise.Richard Hearn, managing director of AToM, says: “That we are able to do this demonstrates the strength of our proposition, even in these trying times.“Brokers […]

Stock Picker

End of year results from HSBC rounded off the banks’ reporting season last week. Despite record write-downs, the group still managed a £1.1bn increase in pre-tax profits to £12.2bn, with growth in Asia and emerging markets offseting weaknesses in the US. The profit share generated by the North American market collapsed from 21.1% to just […]


News and expert analysis straight to your inbox

Sign up