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Nationwide confirms it will return incomplete paper applications

Nationwide has confirmed it will return paper applications to brokers who fail to complete them with the required information.

The lender is adopting the tougher stance from Wednesday May 16 to ensure brokers continue to be provided with a high standard of service.

The changes come after Nationwide identified 40% of paper applications have critical information missing. It says it has resulted in significant resources having to be allocated to chase the missing data.

Mortgage Strategy revealed that Nationwide was considering the move last week with 88% of brokers supporting the move in an MS straw poll.

Ian Andrew, managing director of group Intermediary sales at Nationwide, says: “We receive a high number of paper application forms, but the quality of completion has deteriorated.

“Our processing teams are spending too much time chasing brokers for missing information, which impacts on our ability to process those cases which are fully completed. This is unfair on the many brokers who take the time to fully complete our forms. At a time when our mortgage volumes are extremely high, this is beginning to impact our overall service levels.”

As well as online applications, Nationwide also receives a large amount of paper-only applications for second properties, shared ownership, equity share schemes, Right to Buy, and NewBuy.

Brokers submitting cases with critical data missing will be called by Nationwide to give them the opportunity to provide the information required to process their case. If the broker cannot provide the missing information, then the application will be returned.

Andrew adds: “We are giving two weeks’ notice of our intention. I would urge brokers to use this time to check our website or speak to their local BDM if they have any queries about what an incomplete form looks like.”

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  • Anonymous 1st May 2012 at 2:20 pm

    It would be nice if Nationwide would update their systems to permit the affordable housing schemes being submitted on line. They have been doing these schemes for years and yet they still haven’t updated their systems, this would erradicate the problem anyway and means faster case submission which is a benefit to all.

  • Joe jones 1st May 2012 at 1:47 pm

    I have to say thats fine..however TMW 1 year ago should hold there heads in shame I had 6 different case handlers on one case which caused an absolute nightmare to the point that my client made a complaint.. Really horrendous reflection on brokers who do a good job. I am a former HM forces soldier and been generally shocked at the poor so called service levels within some of these corporate giants… Professional lenders or high street banks ..What a joke.

  • not 1st May 2012 at 1:32 pm

    Seems anything out of the norm needs to be submitted via paper application for Natiowide. Would be helping themselves if they managed to deal 100% online.

  • mr sceptical 1st May 2012 at 1:22 pm

    they are unlikely to respond mr Anonymous, they are too busy selling PPI claims or unfair bank charges to read this piece.

  • Charles Bunbury 1st May 2012 at 12:16 pm

    Reverse cost to broker, pay peanuts make billions while brokers increase our mortgage books value is name of game being played by lenders. This is one of the reasons why I ignore proc fee and run from lenders charging up 3.5% application fee when placing mortgage business.

  • I hate paper 1st May 2012 at 12:07 pm

    Why any broker would want to complete a paper app is beyond me in any case.

    It has long been the case that an electronic app has been dealt with more speedily than a paper app – the processors have all sorts of issues, not just with having incomplete information, but not being able to read what’s written on a paper app due to many people’s poor handwriting.

  • shock horror 1st May 2012 at 11:44 am

    Awaiting the first broker who kicks off at this and is upset at having to do their job properly.

    Come on

    Let’s have it…..

  • Dazed & Confused 1st May 2012 at 11:35 am

    Silly me…I would have thought that it would have been the actions of a prudent lender to have automatically returned any incomplete applications in any case!

    Face it, this is hardly rocket science is it?

    The lender has a list of information that it requires, you complete the paper application covering ALL the relevant sections, you include ALL supporting documentation, check everything through, make sure everything that should be signed has been signed and then drop it in the post…it is what we always used to do before the broking world became so entangled with computers. We used to call it ‘packaging the case’.

    Mind you, that was in the good old days when the lenders would lend and the BDM’s actually understood the market place not just targets!