Do u know a mortgage advisor that doesnt charge

kacy75

Where can I find one, and if they dont charge how do they make there living is it by charging the mortgage lender. I currently have a rate of 5.58% quoted with £350 to the mortgage advisor and 499 to set up the mortgage is this average? (over 25 years with a 110000 mortgage)

Feanor

They get their comission from the lender. Our broker says he is happy with this because he is meeting his margins and doesn't need to charge anymore. he also gets paid for the insurances we take out. As he is whole of market, he finds us the best deals too.

Its a win win situation. Where are you based, someone may be able to recommend one to you?

homer_j_3

Plenty of mortgage advisers do not charge because as Feanor says they get a commission from the lender.

If your adviser charges and keeps the commission then that to me is not right but an adviser who is self employed can choose to work this way if they want to.

In my opinion the only time you should pay a fee is if you are having the commission returned to you so you know that there has been no commission bias on the advisers part - i.e. has chosen a slightly worse product because it pays them more money!

Sam&Daz

That's quite cheap! We just paid £2995 for a comprehensive service where we get a further 10 re-mortgages. We've now got a Mortgages 1 deal because of a default and some debts.

homer_j_3

were you happy with the fee sam&daz and would you get a refund if you didnt see the mortgage adviser again?

You could have most likely found the same deal through a fee free broker and saved yourself 3k.

herbiesjp

Agreed Homer

Most advisers get back incontact with their clients as a matter of course.. It should be something they do anway, not something the client has to pay for.

Sam&Daz

homer_j wrote: »

were you happy with the fee sam&daz and would you get a refund if you didnt see the mortgage adviser again?

You could have most likely found the same deal through a fee free broker and saved yourself 3k.

Not sure about the refund. The broker seemed to know his stuff and his deal, even with his fee added, was the cheapest by around £60 per month. We saw three advisers and we chose the most expensive (the others wanted £995 & £1,495 respectively, but didn't seem to offer the same levels of service). They were also quoting quite high rates in comparison.

I'm happy to pay it as it only works out at £300 every time we get a new deal and I don't think the others were independent like ours.

I'm also not one to pull out of a commitment once I've agreed. If there were any doubt we wouldn't have called him back.

alonso

Does any one know a whole market fee free advisor in the Bradford/West Yorkshire region?

Looking to remortgage next month

petermb_2

For you mortgage brokers out there.

I do not personally agree with charging the client a fee and then receiving commission on top. If you do happen to do this and fail to tell your client that you received the commission and how much you received you are actually breaking the law of the land.

If this has occured you could actually be liable to the client to repay the commission received, plus compensation, potentially.

The law that governs this has been around for 80 years or more so FSA regulation have little to do with it. We are talking about common law here.

This will be a huge talking point in the months ahead. Court cases are looming.

Shambler

I've been using London and Country online/over the phone as recommended on this site and am really pleased with the service so far.

toonfish

petermb wrote: »

For you mortgage brokers out there.

I do not personally agree with charging the client a fee and then receiving commission on top. If you do happen to do this and fail to tell your client that you received the commission and how much you received you are actually breaking the law of the land.

If this has occured you could actually be liable to the client to repay the commission received, plus compensation, potentially.

The law that governs this has been around for 80 years or more so FSA regulation have little to do with it. We are talking about common law here.

This will be a huge talking point in the months ahead. Court cases are looming.

this is covered by initial disclosure document, fee agreement if applicable and key facts illustration.

Is this the next round of "what can we claim for now"?