Nationwide’s guarantor deals will be direct-only and brokers will now have to go through The Mortgage Works brand.
A spokesman for Nationwide says brokers can still use the TMW brand.
He says: “The number of guarantor cases is low and it makes sense to rationalise them through TMW. Nationwide continues to be supportive of the broker market with a specific range of intermediary-exclusive mortgages – TMW Prime.
“Nationwide is absolutely committed to the guarantor market, which is why it has a unique proposition through TMW with the Limited Liability guarantor product range. Combined with the Full Liability guarantor product range, this means we have one of the most comprehensive guarantor mortgage ranges exclusive to intermediaries.”
But Aaron Strutt, communications manager at Trinity Financial Group, says the rates are worse for TMW.
He says: “The TMW deals have 1% arrangement fees and early repayment charges on fixed deals are 5%. The direct deals won’t have that 5% penalty.”
TMW’s range includes full liability products with rates starting from 2.94%.
Limited liability products, which are designed to assist those looking to guarantee a smaller proportion of the loan, have rates from 3.19%.