You are here: Home - News -

TSLE2018: Brightstar’s Jupp defends falling second charge fees

by:
  • 01/02/2018
  • 0
Second charge fees have come down 30 to 40% since the implementation of the Mortgage Credit Directive (MCD), said Rob Jupp, responding to a question from the floor at The 2018 Specialist Lending Event.

The rules implemented on 21 March 2016 created a level regulatory playing field for mortgages and second charges as the loans were removed from the credit regime and put into the mortgage structure.

A delegate at Aintree asked the lending panel, chaired by Jupp, why second charge fees are ‘so high?’

Jupp said: “Fees have come down, in fact.”

He added Brightstar had done a lot of work with its network partners and has found in the last one and a half years the finance costs had reduced by 30 to 40% since the European regulation hit.

Lucy Barratt (nee Hodge) director of Vantage Finance, said nearly all mortgage brokers will have reduced their fees in the last 12 months.

She added: “A simple true cost assessment would help brokers weigh up the best deal for the client.”

There are 0 Comment(s)

You may also be interested in

Bridging

Keep up-to-date with all the breaking bridging and short-term lending news and analysis, from regulatory changes to product innovation and inside market knowledge. Take a look at our broker and lender case studies showing short-term finance in practice.

Commercial

Find all the news, opinion and analysis for property finance brokers specialising in commercial and semi-commercial mortgages, alternative and development finance for commercial investments in residential projects.

Second charge

Stay up-to-date with the latest news, analysis and opinion on the secured loan market as it evolves into a mainstream finance option following European regulation on 21 March 2016.

Complex buy-to-let

Whether it’s a complicated asset or a complex customer, you’ll find out all the breaking buy-to-let news in this section. From limited companies to portfolio landlords, student lets to a House in Multiple Occupation, we’ve got all bases covered with our up-to-the-minute news, analysis and opinion.

Mortgage Solutions

Find all the breaking news, analysis and industry comment on Specialist Lending Solutions' sister site, Mortgage Solutions
Read previous post:
risk-assessment
Exclusive: Shawbrook recalibrating risk appetite after FCA second charge review

Shawbrook Bank has confirmed it has been reviewing its second charge lending policy following the Financial Conduct Authority’s (FCA) study...

Close