Mortgage Solutions understands that Woolwich requires applicants for its mortgages who have an online current account with another bank to provide bank statements endorsed by a stamp and a sign-off from a branch.
However, HSBC will not provide this stamp and sign-off for its online current account customers unless they agree to meet with an in-branch mortgage adviser.
Several brokers contacted Mortgage Solutions to say they were angered at the opportunistic practice from the lender, who has been vocal in its attitude to brokers.
Chris Cummings, director-general at AMI, said HSBC was showing a lack of respect to its customers and to the broker community.
He said: “If a customer is asking their bank to provide such a simple service like this and the bank uses that request to their advantage to try to sell their own products, it is abuse.
“It is unfair if a customer has gone through the process of finding a mortgage through an intermediary and HSBC aims to puts itself between a customer and an intermediary for their own gain. They should respect the wishes of their own customers.”
John Malone, managing director of PMS, said: “I think it is sharp practice and is another removal of the broker position. Enough is enough. It may not be illegal but it is certainly unfair for a bank to be doing this. Brokers will suffer.”
However, a spokesperson for HSBC, said: “It is perfectly good business sense to ask your customers whether they have considered your mortgages. It is perfectly possible and acceptable for our branch staff to discuss mortgage options with our customers.”
More to follow………………….
