Anyone heard of First National?

In_a_quandry

I have seen a mortgage advisor who recommended a deal from First National which was 5.54% fixed for 3 years with fees of approx £1k.

She didn't seem particularly on the ball and quite unprofessional in her approach.

Now it seemed a good deal, but I have only ever heard of First National as a debt consolidation type business.

I have excellent credit rating, no debt, and a 29% deposit, so do you think this is a wise lender to go with?? Or should I stick to the well known mortgage providers?

Please help me...

Cazza

First National are a lender I have used in the past and they are well know within the industry. They're not a high street lender though, and they do have a reputation for self certification and sub prime business. BUT, the rate of 5.54% is good, if it's still available and £1k set up fee isn't unreasonable compared to the rest of the market.

The main reason I have used First National in the past is because they will offer high evels of borrowing in relation to your salary. Before anyone has a go at me, I'm not saying what they do is right, and I always talk things through very seriously with my clients if they need this level of borrowing, but I get paid to arrange mortgages....

What is your income and outgoings on loans / credit cards and how much are you looking to borrow? This could be why she's suggested that lender.

In_a_quandry

Hi Cazza,
Thanks for the quick reply!

My income is approx £38k; joint income me and hubby is approx £60k, and we only need to borrow £175k.

We have no debts or loans.

petermb_2

I would have thought on the basis of your joint incomes and credit rating that you could go straight to the high street and get one of the best deals around.

regards

Peter

mightymouse

hi

http://www.firstnat.co.uk/intermediaries/mortgageIntermediaries/pdf/1044.pdf

Check out for yourself

The rate on its own is meaningless...........

[Deleted User]

First national will basically give a mortgage to anyone, even if they cant pay it. 8 times multiplyers at 8% interest rates have been mentioned before.

By the time you have taken into account teh product fee you might as well go with -
http://www.alliance-leicester.co.uk/mortgages/index.asp?page=all-rates

its not all about a low fixed rate as teh product fee makes teh percentage higher then it seems.

In_a_quandry

Aw thanks.

I was also looking at a nationawide one at 5.98 for 2 years. It had similar fees, but was £100/month more expensive?

She told me Brittania were (using her word) "crap", but then i read that Brittania do not pay Brokers a fee, so maybe that was her bias. (That sums up really why i did not trust her advice).

I think I will go and see another advisor as I know the best rates come and go if you don't get in quick...

[Deleted User]

yep ur right brokers always want commision

If you can find a high street bank it would be easier as i expect they have rather less terms and conditions then first national if you get me

Plus I think most first national mortgages you are not allowed to exit, it is a death pledge quite literally.

europa16

We've been with First National (or now GE Money as it states on the mortgage statements). They have been good with us, and have been helpful with any problems we've had.
However, they are a sub-prime lender, and as such, you will pay higher fees for their products.
We looked at getting a remortgage with them recently, and the advisor's exact words were "we couldn't give you a new mortgage as your credit is too good. Try the high street first, then if they refuse, come back to us"!!
So, as with what other posters say, try the high street first (IFA or directly).
BTW, First Nat will allow you to exit if you're not tied in i.e. on a standard variable rate - they only need a month's notice.