how often does a lender ask for a mortgage statement

happybroker

packagers act as a middleman between broker and lender so the lender doesn't have to have all that processing in place.

complete and utter waste of time in my opinion and they are all really struggling for business at the moment (due to the collapse of sub prime lending). Basically the broker packages the case (id's, payslips etc) sends it o the packager who instructs the valuation (which a broker could do easily enough), checks the file, sits on it for a while and then send it to the lender who issues the offer.

The sooner they are all gone the better but that's not something you need to worry over. (God I hate packagers!)

smnb08

ok so who does the pakager work for the company where the broker is from or the lenders company.
what i mean is can my broker talk directly to the lender about my case or would that be the packager she talks to or what?
very confusing!!

minimike2

The packager doesnt really work for anyone apart from itself. They are a pain in the backside. Basically brokers have to use them to access certain lenders, like Beacon and iGroup, who do not have thier own direct sales proposition. The broker, sends the applicaiton and supporting documents to the packager, who organises a valuation, "packages" the documentation up making sure it meets all of the lenders requirements, credit score etc, then sends it to the lender for processing.

This saves the lender time and money, as they dont need to employ people to do this work, or have systems in place for it. They literally just provide the loan (and then attempt to sell it on anyway most of the time).

In return, the lender pays a higher commission, of which the packager takes some, then passes on the remainder to the broker. The lender is not likely to talk to anyone directly, everything has to go through the packager.

It is a very frustrating situation for all concerned. Packagers slow things down, constantly get things wrong, and are generally poor to deal with.

This year first national launched its own direct to broker sales proposition, which has been a step in thr right direction, but its iGroup arm remains packager only, as do many of the remaining adverse lenders.

First National have got in there early I think, realising that packagers will soon be a thing of the past. I would not be suprised to see more of these lenders either launching a direct sales proposition, or just withdrawing from the market.

Toughluck

minimike

I have placed 2 deals with Beacon this week. I have not DIP'd either of them as they still do not have a DIP system as far as I am aware.

smnb08, looks like the broker, as happybroker said, has done a DIP thru the packager. Beacon do not have a direct on-line DIP system. Beacon would base the lending on your credit search or the last 12 months statement from your existing lender. Rough guide, what is the mortgage profile for you, 1 in 12? Which month was missed? Any CCJ's or defualts and what is the LTV?

Edit : just basic details please as I do fell a little sorry that you are forking this money out.

smnb08

toughluck thanks for your help
the mortgage payment was missed in dec 07 but there has been several late payments in the last 12 months too.
i have a ccj from nov 07 for £350.
i have several defaults for small amounts.
ltv is 80%

have just seen on there website that the product she is trying to get for us (fixed 2 years @7.93) only allows ltv up to 75% so the quote she has given us is wrong!!

smnb08

i have just got off the phone from my broker who says she has spoken to solent and explained my situation and they have said if i send in my mortgage statement they will review them before i pay any money to them.
that is making me feel a lot better.
but who will review them the lender or the packager?
and who are solent what do they have to do with beacon??

happybroker

solent mortgage services are a packager. I have no experience of them to pass on I'm afraid.

They may have a beacon underwrite in house but I doubt it. They need to be letting Beacon look at the mortgage statement but they will be able to fax it to them.

minimike2

Ive never used Solent either, never really viewed them as decent, but obviosuly have no first hand experience of actually how good they are.

smnb08

do you think that first national would be a safer bet than beacon as first national allow late mortgage payments?
to apply to beacon i would have to pay £75 admin fee to re-use the valuation from accord and £150 booking fee both of these need to be paid upfront,
the fees are £2000 which can be added to the mortgage.
does anyone know what you have to pay upfront with first national and what there fees are??

Dan_Collins_2

I have spoken to them and did not like them.

Is it a Beacon First National deal?? LEt your broker know they can go direct to first national direct now.

Edit: Beacon dont do dips