Understanding The Process
Being whole of market mortgage brokers allows us to place business with the most appropriate lenders. We are not tied to offering products from a single or group of companies and can go to any lender who offers the best deal. This is without doubt the main advantage in using a Mortgage Broker.
The process starts with a brief chat with one of our fully trained CeMap qualified mortgage advisors who will firstly present a business card and regulatory form called an “Initial Disclosure Document” (IDD). This document has 7 sections, the first of which explains why it is required, then subsequently the range of products we offer in terms of insurance and mortgages, the fact that we will be advising you to take out a particular product, when any of the fees are payable and whether or not they are refundable, who is the regulatory body i.e. the FSA/FCA, how and where to make a complaint and the compensation that can be paid in the instance of a mistake.
We will then proceed to take your basic details via an initial “Fact Find” and from this we can source and supply mortgage figures in the form of a “Key Facts Illustration” (KFI).
The KFI has various parts and to avoid confusion and allow comparability is set out in the same manner whichever mortgage company or broker you visit. It confirms the basic details of the finance and how it has been derived i.e. whether or not the advisor is recommending a particular product, the loan amount required, property valuation, length or term of the quoted mortgage, whether the repayment method is interest only or capital and interest, chosen lender, product type, interest rate, overall amount repayable throughout the mortgage term, monthly payments before and after any preferential period, risk analysis showing the dangers if rates move up, fees being charged, insurances required, penalties payable if you make early repayments, additional features (such as a free valuation or cash back), fee received by the broker from the lender on successful arrangement of the mortgage and finally contact details of our company.
Our advisors will explain in depth each section of the required regulatory documents as mentioned above and will then follow your wishes and without any form of pressure either allow you to absorb and compare the information in your own time or if you would like to continue, will start to complete the mortgage application process on your behalf.
Your fact find details will be entered into our computerized sourcing system to create a more in-depth fact find and then an initialized Key Facts Illustration. This will formulate a record of suitability which will summarize the details of the product being offered and the information presented by you in the Fact Find. It will also be your opportunity to discuss protection requirements in the form of insurances.
Depending on your circumstances and chosen lender, varying amounts of additional documentation and information will be required, which will be listed to you at this stage. Once the outstanding information is received your advisor or their administration assistant will fully submit your details normally on line through to the chosen lender. Providing all the information given is correct, the application would usually be approved by the lender and a final list of any further outstanding information forwarded by them. This information will be submitted to the lender when available, and we will begin processing your case through to formal offer stage. A formal mortgage offer at this stage can take anything from a few days to weeks or even months depending on the lender chosen and when available a copy will be sent to you, your chosen solicitor and to us. We will then check the contents are correct and make any alterations.
The mortgage will subsequently complete in your required timeframe.