From Richard BoundyI prefer not to jump on bandwagons but the letter from Peter Willingham of Accelerated Mortgages (Mortgage Strategy October 31) stirred me into action. Paragon is the most arrogant, ruthless and intermediary-averse lender in the market. Not only does it not pay me for further advances, applied for by my portfolio clients, it won’t pay me. Worse, it still expects me to provide insurance information and intervene in the case of further underwriting requirements. It will also constantly contact me on pending further advance completions to ensure cases will complete. Last week I had six faxes on three further advances and if they complete I get paid diddly squat. Worse than this, it charges to transfer products for clients pre-completion. This is fine, especially if a fixed rate product is being replaced with something else, but when you phone its sales support desk to be told product A is available and then on application find it isn’t, why should the client be charged 50? I have fought this policy and lost so I will be paying for my client. If the client applying for a further advance decides to change the product selection not only do I not get paid, I pay them. The local BDM is uncontactable and never contacts my office, despite my efforts to place in 2004-2005 over 25m in new business. I know this makes me small fry but a product update shouldn’t be beyond them. I have a buy-to-let website called www.portfolioreview.co.uk designed to help landlords understand their finance and insurance options. I get over 20 leads a week and every time I come across a Paragon borrower, I take pleasure in placing them elsewhere.
The Derbyshire is launching a standalone sub-prime brand today. Industry sources say the society had a choice of three names – Pepper, Salt or Butter – and has decided on Salt. From near-prime to heavy sub-prime, products will be available through a limited number of packagers but the aim is ultimately to go direct through […]
The government today published its proposed council housing subsidy allocations for individual housing authorities for 2006-07. As far as possible the same formulae will apply for 2007-08. Authorities have until 10am on December 12 2005 to comment on the draft determinations and until December 2 2005 to comment on the data. The proposal will, on […]
BDS has announced a service for mortgage brokers through a partnership with overseas mortgage specialist Mortgages 4 You.Through the BDS contact line, brokers can access specialists in the provision of mortgage solutions for clients wishing to purchase overseas property. Mortgages 4 You has established relationships with numerous lenders in Spain, France, Portugal, Florida and Cyprus […]
Lifetime Insurance Mortgage Experts now offers a secured loan service, in partnership with Norton Finance. Secured lending grew in 2005 to an all time high of 8.9bn in August, and the number of people choosing a secured loan as opposed to a further advance or remortgage has also risen. LIME says many clients are tied […]
Jim Grant – Senior Product Insight & Technical Support Analyst We look at how higher DB transfer values could cause a lifetime allowance issue and how that affects the advice process. Advisers are receiving an increasing number of requests from clients looking to transfer their pension from final salary schemes to personal pensions. This is a […]
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