HBOS subsidiary BM Solutions has launched a complete online application process which it claims can produce a ‘virtual mortgage offer’ in less than one minute.
The development has been designed to allow brokers to complete deals in front of clients. The lender has made the service available across its specialist product range, including sub-prime, buy to let and self-certification deals and, barring a valuation report, expects 80% of applications to proceed without a requirement for further information.
Michael Bolton, director of mortgages at BM Solutions, said: “Lots of lenders talk a good game about supporting brokers, but we are delivering the technology and the support that will make all the difference to intermediaries. Already over 50% of our business is submitted online and within the next 12 months we expect that figure to rise to 90%.”
As a further incentive it is offering £75 on top of the usual procuration fee for every completed case.
Jonathan Cornell, associate at Hamptons International Mortgages, said: “Anything that speeds up the application process is good. But we do have some concerns, such as if everything is done online will we be able to contact them about specific cases? Will BM Solutions still have teams looking after different brokers? And most of the brokers that I know never key in the full application form in front of the client anyway, as they never have all the information to hand.”
Tim Dawson, managing director of rival lender Mortgage Express, said: “We can receive case submissions and do tracking online too, and are also hoping to receive 80%-90% of our business online by the end of next year. This is certainly the way forward, but one of the most important steps in online transactions is case tracking, and letting brokers know exactly where the case stands and we are concentrating on this at the moment.”