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NatWest shuns brokers to launch Help to Buy 2 direct-only

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  • 02/10/2013
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NatWest shuns brokers to launch Help to Buy 2 direct-only
NatWest will only offer Help to Buy mortgage guarantee products through direct channels when the lender launches its range of 95% LTV mortgages later this month.

Prime Minister David Cameron brought forward the launch date of the scheme three months from January and participating lenders are now expected to launch products next week.

State-backed Lloyds Banking Group will offer mortgages through Halifax while Royal Bank of Scotland will distribute Help to Buy products through both RBS and NatWest brands.

However, Mortgage Solutions understands RBS/NatWest will initially restrict Help to Buy mortgages to direct to consumer channels only, which means brokers will only be able to place Help to Buy 2 cases through Halifax for Intermediaries from the launch date.

In a blog for Mortgage Solutions yesterday, Mike Jones, intermediary director at Lloyds Banking Group restated the key role brokers should play in explaining Help to Buy to consumers.

An RBS spokesperson offered no reason for the decision but said the lender expected to offer Help to Buy products through NatWest Intermediary Solutions by the end of the year.

Ross McEwan, incoming RBS group CEO, said of the scheme: “Despite the economy recovering, we know many families are finding it tough to get a mortgage deposit together. We are committed to helping as many people as possible across Britain to get on with their lives, to buy their first home, to move to a bigger house as their family grows.

“That’s why RBS fully supports the Help to Buy mortgage guarantee scheme and we welcome news that it will be launched soon.”

Lloyds Banking Group confirmed to Mortgage Solutions that it would offer products through direct and intermediary channels from launch.

Both substantial lenders are expected to launch 95% products shortly for the first time since lenders tightened criteria following the credit crunch.

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