Broker advice

boggie40

our broker found us a deal with birmingham midshires which was declined due to my very low credit score, following me being recently discharged from bankruptcy.
i pointed him in the direction of "mbs lending" and he contacted them after we were turned down by the midshires and they said they would be happy to accept our application as long as "the normal restrictions" etc etc which should be no problem at all.

My questions are:
could the mbs lending take our £299 application fee then turn us down on a technicality that concerning my credit reference or discharge which they have already had access to.

could we ditch the broker now and go it alone saving us paying a fee for him as all the mbs lending criteria is done by post so i could easily take this onboard. also this is only our 2nd visit to the broker so he has done very little for us ????

i can understand if this post will rattle slightly with some of the brokers on here.
i just was not sure when we could walk away from dealing with the broker without incurring any costs as every penny saved is a bonus at present, and we have not agreed any costings for his services as yet....

Tiddler_2

From their website -

MBS Lending is a mortgage lender offering a range of mortgage products designed specifically for borrowers with specialised mortgage needs.

MBS Lending works exclusively with the intermediary market through our association with leading distributor Praxis Mortgage Solutions and we also now offer a direct approach for intermediaries who prefer to deal direct with a lender.

MBS Lending offers lending based on affordability; a full range of products from Near Prime Plus to Heavy Plus; no higher lending charge and no early repayment overhang, supported by excellent customer service.

So MBS only deal with brokers.

_Andy_

How much is the broker fee?

boggie40

He has not mentioned any figures as yet, i guess i should ask this today before we progress any further.

_Andy_

He should have disclosed his broker fee at the start - have you had an IDD (initial disclosure document)?

MBM

He should have told you at the original meeting what his fees are. Walk away form this one and find another.

boggie40

He is attached to the estate agent we are buying off. No he never gave us any inclination of cost and i have never heard of a IDD....

Alarm bells are ringing about this now - will have to take a step back now and think logically.

_Andy_

Walk away, find another broker (preferably fees free).

koexelek

I can never understand brokers working this way.

Best to tell the client all the facts up front, good and bad.

Failure to do this could result in a lot of wasted time for both parties

feisty1

boggie40 wrote: »

He is attached to the estate agent we are buying off. No he never gave us any inclination of cost and i have never heard of a IDD....

Alarm bells are ringing about this now - will have to take a step back now and think logically.

Boggie...The best way to "think logically" is ask yr friends or family for a recommendation of a mortgage advisor they themselves has used & have been satisfied with. In the meantime have no hesitation telling the EA advisor you have been doing yr own research & are aware you should have been issued with an IDD, as this has not happened you have lost confidence in him & will be taking yr business elsewhere. Should he/she suggest you should be using them and them only ask them if he can provide FSA guidelines stating this.
These "mavericks" make us honest/compliant advisors jobs v difficult. Come back & tell us how u got on.

boggie40

I left a message for this broker on his mobile and at the estate agent he works from but he never got back to us, which strikes us as very unproffesional.
Then whilst taking advantage of my free month of seeing my credit report, i noticed that a search was carried out today by MBS Lending......
taking into account the information given on this post, the info in the "guide to mortgages" which i read to today (the free guide advertised on this site- well worth a read for the not so well mortgage savvy) we are going to a meeting with him in the morning where i will be able to fire a number of questions to him(including the extra commision he will receive for setting up this mortgage for us recently discharged people)

one thing really worries us is that his brother owns the estate agency that we are buying the house from, we are worried if we say to him we are going elsewhere we may lose this house as someone else has an offer pending that is also acceptable (just not as much as our offer)