News
Mansfield Building Society introduces product transfer proc fee
Mansfield Building Society has introduced a 0.2% procuration fee for product transfers for all mortgage deals in its range.
Through the product transfer process, existing Mansfield Building Society borrowers can choose exclusive mortgage products from four months prior to their current deal expiring. There are no fees involved with switching products.
An enhanced procuration fee will be paid to key club and network partners.
The society’s products for existing borrowers will be available for review on its intermediary site and through selected broker sourcing systems.
Tom Denman-Molloy (pictured), intermediary sales manager at Mansfield Building Society, said: “We are an intermediary-focused lender, and I believe that product transfers play an important role in the mortgage market.
“Allowing intermediaries to be involved in the product transfer process is a recognition of the value that intermediaries provide to mortgage borrowers throughout the mortgage lifecycle.”
Going digital
Sponsored by Halifax Intermediaries
Although a 0.2% procuration fee for product transfers is in line with other lenders’ remuneration for switching business, brokers argue that a PT proc fee should be equal to the fee they are paid for purchase business; a policy that Halifax and Family Building Society have already adopted.
Brokers say only equal fees would fairly reflect the level of work necessary to comply with Consumer Duty regulations, Mortgage Charter commitments and the principles of giving borrowers whole-of-market advice based on their most recent circumstances.