Promise, who will receive commission from lenders involved in the club, said it is targeting brokers looking to maintain their independent status and reduce client costs by arranging second charge loans direct with the lender.
“We provide a single data entry for detailed sourcing for all lenders – much more accurate than the mortgage sourcing systems which have been adapted to quote loans,” said Steve Walker (pictured), Promise Solutions’ managing director.
“This unique proposition means brokers who are not used to the sector can benefit from our experience and systems and it won’t cost them a penny. If fact it will save them considerable time and numerous headaches.”
He said the club is keen to attract brokers who are looking to break into the second charge sector.
“The biggest challenge for brokers new to the sector will be in choosing the most suitable lender at the outset. Current mortgage sourcing systems only give approximations,” Walker added.
“The underwriting isn’t detailed enough and once a credit score is carried out different plans will appear and could mean the chosen lender is no longer the most suitable. This results in brokers applying to multiple lenders to get the best illustration from each lender. Ultimately, none of them may accept the case.
“Our team of loan experts, who deal with the lenders everyday, supported by specialist sourcing systems and integrated soft credit searches, can get a broker on the right track in a matter of minutes.”
The club offers ‘interactive sourcing’, meaning its underwriters can view and advise on an enquiry simultaneously and indicate which lenders offer the best deal and are likely to accept the case.
Broker members will be provided with a record of the research, a summary illustration of the chosen product, any initial forms which need to be completed for the lender and a guide to the next steps.
“In addition, we can give them access to the whole second charge market and they can choose a competitive packaging or referral option if a direct lender isn’t available”, said Walker.
Walker added that five lenders, which he would not reveal identities of, are being considered for the launch phase, some of which are ready to accept enquiries.