Yorkshire mulls proc fees for retention business

Yorkshire Building Society 2016

Yorkshire Building Society is reviewing whether to reintroduce procuration fees for retention business.

The lender, which stopped paying the fees in 2009, will make a formal decision about restarting in the next three months.

A Yorkshire Building Society spokeswoman says: “It is something we are reviewing at the minute, we are looking into the possibility. But we have not decided yet.”

The lender’s intermediary arm, Accord Mortgages, offers a retention-only range but does not market better rates for renewal customers.

L&C Mortgages associate director David Hollingworth says: “I think this is great. This will be an area that lenders are increasingly looking at.

“Keeping hold of your existing customers will be even more important in today’s market and recognising brokers role in that will be a growing trend.”

Yesterday Skipton said it was launching a pilot scheme to pay brokers proc fees for retention business. The six-month pilot will be with Connells and London & Country, although it will be rolled out to the rest market later this year.