Mortgage broker and insurance

Creachy

We have used a broker to secure a mortgage. We now have the formal offer and should exchange contracts this week. The broker invited me in to discuss insurance, "no pressure". After seeing him I did some of my own work and have found the insurance we require with some perks that I can only receive by dealing direct with the insurance company. When I told him we were going to deal direct I received an email telling me he did not expect to lose out on the insurance business after working so hard on our mortgage. Our mortgage was a nightmare, but still...

The sensible mse part of me says tough, you have been paid by halifax for arranging the mortgage, thank you for a fine job, but now I can do the rest myself. However, now it feel guilty like I should give him the business! We are FTB so very paranoid, could he cause the mortgage offer to be pulled?

dunstonh

Your morals are your own but the mortgage cant be pulled.

Many mortgage brokers will say in advance that they will give free mortgage advice if you buy the insurance via them but if insurance was not previously mentioned then the broker has only themselves to blame.

amnblog

He/she has given you advice in good faith and naturally expects to have his/her time covered.

Insurance is not as simple as buying it off the shelf. If you go direct and buy the wrong thing, or set it up incorrectly, and it causes a problem later you will have no comeback.

ACG

Unless your broker is tied, im not so sure that is the case.

I cant think of any insurer who provides an amazing product that is only available by going direct. Infact of the few policies that do tend to stand out above the crowd, some of them are only available by going via a broker, the others are available either by going direct or via a broker.

That to one side, your broker should not be applying a guilt trip if you do not go via him for the protection. Do what is best for you - but ensure that by saving a couple of pounds your not getting something that appears to be good but is actually cheap for a reason.

Creachy

Thanks for the comments. He is a very nice guy, but I guess I feel a little pressured now. We already have enough life insurance to cover mortgage, just looking to up it, so I think I'll step back from making any decisions until after the moving stress has gone.

amnblog

Stay healthy in the meantime

Creachy

Will do :rotfl:

amnblog

Seriously, this is the last thing you should put 'on the back burner'

Creachy

It can simmer on the back burner for two weeks, as I said we have insurance, just a case of planning for future children we don't yet have.