Treating Customers Fairly Broker Fee Structure For Niche Advice
Relates to New cases from as at 06.13.2017
In the interests of being fair and consistent with our customers the table below details our standardised approach to charging for our advice and service.
The figures are per property. We will NOT charge fees upfront or on Offer. We charge solely on completion when our customers have received a tangible outcome for their fee.
Mortgage Charges
The process should be efficient and without complications, hence a lower charge. We will not charge any broker fees for product transfers where one of our existing clients opts to stay with the same lender but decided for us to negotiate a better rate for them.
£499. A fixed fee, payable on Completion. We do not charge for product transfers for all existing clients.
Sophisticated requirements customer
Higher degree of Risk and greater workload. Specialist and Private banks can be more difficult to analysis and research.
• Interest only on residentials
• Foreign nationals with Visa
• Self-employed trading less than 2 years
• Non Standard buy-to-let Mortgages
• Very minor adverse
• Commercial Mortgages
• Using a Specialist/Private bank
New customers
A fee of 0.5% of loan size, payable on Completion. Based on a loan size of £200,000 this equates to £1,000.
Returning customers
£499. A fixed fee, payable on Completion.
Complex requirements customer
More work involved and less likely to be successful. In some cases this involves multiple Decision-In-Principles duplicating workload in order to cascade the best option for the customer. It is dependent on credit scoring which may be difficult to read and can lead to abortive work.
• Missed Payments
• Complex HMOs
• CCJs
• Defaults
• Pay day loans
• Debt Management
• Offshore company buy-to-lets
• Expat Mortgages
• Foreign nationals without Visa
• Bridging or Development Finance
New customers
A fee of 1% of loan size, payable on Completion. Based on a loan size of £200,000 this equates to £2,000.
Returning customers
A fee of 0.5% of loan size, payable on payable on Completion. Based on a loan size of £200,000 this equates to £1,000 if the case has become more simplified from the original request. Otherwise, a fee of 1% of loan size, payable on payable on Completion. Based on a loan size of £200,000 this equates to £2,000.
Secured Loans
More work involved and less likely to be successful. In some cases this involves multiple Decision-In-Principles duplicating workload in order to cascade the best option for the customer. It is dependent on credit scoring which may be difficult to read and can lead to abortive work.
• Secured loans
New & Returning customers
A fee of 2.5% of loan size, payable on Completion on all Residential Mortgages. Based on a loan size of £40,000 this equates to £1,000. For Buy to let Mortgages we charge a broker fee of 4%. Based on a loan size of £40,000 this equates to £1,600
Insurance & Protection
We offer products from a range of insurers for Non Investment Life Insurance, Critical Illness Cover, Income Protection, Accident Sickness & Unemployment and Home Contents Insurance
We do not charge a fee for these type of products. We may also be paid commission from the provider.
We believe our mortgage broker charges are very competitive for the level of expertise and knowledge. Where a percentage of the loan size is charged there is no minimum or maximum payment. In addition to our charge we may also be paid commission from the provider.
Where possible we will look to reduce our charges for customers that are looking to remortgage the finance we have provided. Details on where this applies are covered in the table. The rationale for the reduction is we are much closer to them at outset i.e. ‘Know your customer’ ground work has already been done and they have had a proven mortgage serviceability track record under our watch.
Customers will who have a ‘genuine hardship’ will be have their fee agreed on an individual basis.
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