Jaedon Green, Leeds Building Society’s director of product and distribution said: “We’ve listened to brokers and introduced these latest cashback products in response to the ongoing pressures within the remortgage conveyancing market.”
He said: “By offering £500 cashback, we’re giving brokers and their customers the option to choose their own conveyancer, which could speed up the process.”
In June, Nationwide withdrew its free legal option for customers remortgaging with the mutual in response to an industry backlash from intermediaries over poor service from firms struggling with heavy remortgage volumes. The mutual also raised its cashback alternative to £500 from £250, in a move welcomed by brokers.
Mortgage Solutions exposed poor service from two conveyancing firms offering major lenders free legal services for remortgages. Breezeplus was one firm used by Nationwide and Leeds BS for its free legals.
In May, the chief executive of volume law firm Breezeplus admitted he had been forced to increase staff levels by 40% after brokers complained about poor service at the firm – including missed completion dates.
In July, another free legal service provider QCAS blamed brokers for affecting service levels and told them to stop calling.
The Leeds deals include a 2.45% two-year fixed rate at up to 60% LTV, a two-year fix at 2.80% to 70% LTV, a five-year fix up to 60% LTV at 2.74% and a 3.25% five-year fix at up to 70%. All deals come with a free valuation and no completion fee.