New execution-only discount mortgage broker

EdInvestor

Anybody tried the service these people provide?

http://www.mform.co.uk/mform/mform


Article here on what it hopes to achieve

oibaldy

Not tried them, but there is nothing to stop you using it as a price comparrison then applying direct to the lender yourself if you find a good deal.

Incidentally, I have just entered my details, and none of the deals were better than what I currently get from the Nationwide, so make sure you also compare it to other services (Moneysupermarket, etc.)

toonfish

reading the article, they are only offering access to part of the market at present too.

Ian_W

Hmmm. What's on offer for the consumer in this? [The article is quite difficult to read in parts as there are no spacing between words.]
If you go "execution only" then you should expect something back, like mortgagegenie offer [though only on remortgages] as the "broker" isn't providing advice which has to be shown to be "compliant". Where is the something back here?

The existing price comparison websites took you to a broker, which means people were doing their own research on the web, but still ending up having to pay a broker a fee.
Not if the broker is fee free and paid commission by the lender which isn't rebated to the punter even if they go direct.
Mform will charge these partners a commissionof0.175%ofloanvalue, roughly half of the commission charged by traditional mortgage brokers and IFAs. He says he can do this because mform leaves credit and affordability checking, as well as identity verification, to the lenders themselves.
So does the consumer get the half that mform doesn't charge - silence!

From mforms own FAQ&As:
Q: Will I get a better deal if I go directly to a lender?
A: Moneyfacts collates all the best offers that are available from each lender - and these are displayed in your search. However, in addition to this, some lenders offer exclusive products from time to time through mform - and these products are usually cheaper than the lender's normal offers.

So that's a NO then?

Seems like a fairly slick effort at self-publicity with not too much on offer, that I can see, for Joe Public after a mortgage. It's "execution only" and "fees free" but Moneysaving - not that I can see - but I'd be happy to be enlightened.

dunstonh

It seems like if you alter the business model slightly, you end up with media coverage.

In this case though, the consumer doesnt seem to get anything out of it except less consumer protection than an advised mortgage that can be arranged on exactly the same terms.

yanchuga

I will try it.

kenshaz

reported link in signature against code of conduct

MortgageMamma

Well spotted Ken. Thanks.

dunstonh

A link to an American site? Bit pointless on a GB board.

Rick62

Very interesting, from their IDD they are a mortgage broker, but they seem to avoid the hassle of doing iD and address checks by 'leaving this to the lender'. They repeatedly claim they are 'independent' but are not, this being a highly regulated term.

As Ian and Dunstonh say, a good media hype.

MortgageMamma

As the song goes. Don't believe the hype.