First Direct offset - frustrating adviser interview

JustTakeAllMyMoney

redcar wrote: »

Can I add a me too to this.

It seems as if you are not just allowed to say you want an offset mortgage but need to present a situation where an offset mortgage is bound to be the right one for you.

Just wanting the 'offset' nature of a mortgage is not enough, and many of the reasons I gave I was told were not valid as they are just features of the mortgage. Ditto the balance between fees and interest rate you have to justify this by predicting your future cash flow.

Seems like you aren't allowed to be a grown-up and say just give me this product I know what I want. These new regs seem to have turned it all into a game of needing to know the right answers as well as being able to afford it obviously.

I felt the same, even after coming out of the interview and having time to think about the questions, I could not work out what would have been 'right answers' to give to secure the product or for them to think its the correct product for me, it was a very, very confusing interview.

marathonic

redcar wrote: »

Seems like you aren't allowed to be a grown-up and say just give me this product I know what I want. These new regs seem to have turned it all into a game of needing to know the right answers as well as being able to afford it obviously.

I'll stick up for First Direct on this one. If they just gave it out to customers, without questioning their reasoning, you can be damn sure that, 20-30 years down the line, there'll be plenty of customers who still have the full amount outstanding. In most cases, these customers will be the ones looking for compensation for misselling.

You can't have it all ways!

JustTakeAllMyMoney

marathonic wrote: »

I'll stick up for First Direct on this one. If they just gave it out to customers, without questioning their reasoning, you can be damn sure that, 20-30 years down the line, there'll be plenty of customers who still have the full amount outstanding. In most cases, these customers will be the ones looking for compensation for misselling.

You can't have it all ways!

I agree with this to some degree, but try having the interview with them for the same offset product and then see if you can figure out who the target borrower is for it, I've worked in finance for over 30 years and I can't based on the FD responses to my justifications. It seems the offset product does not fit in the new 'responsible lending' environment.

redcar_2

JustTakeAllMyMoney wrote: »

It seems the offset product does not fit in the new 'responsible lending' environment.

Yes I think you may have hit the nail on the head there.

Tricky to see from their point of view what kind of borrower they can responsibly lend to.

However I found the questions most difficult when answering why I want the fee product I think is best for me as what is in my best value re interest and fee is completely opposite to their profit motives.

Morgage_Confused

Can I ask a question as I am about to either apply for the first direct offset at 2.79 tracker or the standard repayment 1.79 tracker. I cant decide yet.

On the website it says you can apply either by phone or online. And it specifically says the following....

• Telephone- by calling us to apply for a mortgage you will receive advice in respect of your mortgage
• Online - by applying online you will not receive advice in respect of your mortgage

So the phone grilling.....do you get grilled when applying for a repayment mortgage or is it just for the offset mortgages. And do you get grilled over the phone even if you apply online?

thanks.

andyfromotley

Because under the new regs as sure as eggs is eggs when a portion of people end their mortgage with no ability to repay the capital, and no chance of a new mortgage due to age or circumstances they will be screaming miselling, particularly if they can't really demonstrate at this interview, how they are going to pay off the mortgage.

I'm surprised they are still offering them to be honest.

On a slightly different note i have banked with First direct for years, have had a couple of loans of them and they have asked some very strange questions and i generally just found them to be a bit sniffy with me. They approved the loans, go figure.