Should I apply directly with HSBC as well as with broker?

haras_n0sirrah

This is why they would open it up to brokers
If they can't do direct for a month due to lack of staff it makes sense to stop appointments direct, re route the funding to the broker chanel as we can get it done as long as we can book the funds.

Process90

If you think it's a long wait for a HSBC appointment wait until you submit your application and see the service level timescale... 

kmurray1003

haras_n0sirrah said:

This is why they would open it up to brokers
If they can't do direct for a month due to lack of staff it makes sense to stop appointments direct, re route the funding to the broker chanel as we can get it done as long as we can book the funds.

So I was just off the phone to a HSBC rep to book my appointment and according to her that is a rumour from somebody external. She said that won't be happening and they're in the process of adding more resource into the application process. For example she's currently taking calls, but she will be returning to her job as a mortgage adviser from next week. 

She also said that they wouldn't remove direct applications and keep them available to brokers as they would much rather deal with applications directly. I guess that makes sense as they have to pay the broker a fee.


Who knows? She just may not know anything about things changing on the 16th. I guess we'll just have to wait and see what happens.

kmurray1003

Process90 said:

If you think it's a long wait for a HSBC appointment wait until you submit your application and see the service level timescale... 

From reading different threads it appears HSBC are one of the quicker lenders to push through the process to an official offer

haras_n0sirrah

kmurray1003 said:

She also said that they wouldn't remove direct applications and keep them available to brokers as they would much rather deal with applications directly. I guess that makes sense as they have to pay the broker a fee.


Who knows? She just may not know anything about things changing on the 16th. I guess we'll just have to wait and see what happens.

The opposite is true. For the direct staff to process it they need to have people on the phones paying 30k a year plus pension, sick pay, holiday pay etc and to process demand they have to hire more of them or have larger wait times which results in frustrated and angry customers while you have an army of brokers ready to hit the button on applications today but can't get the funds booked
It is easier for the bank to allow the brokers to book the funds through diverting the direct funds to us, reduce the pressure on the branch staff to allow them to process other clients who have been caught up in the 90% (as how many people who want advice but have a higher than 10% deposit are stuck in the queue as well) those clients will go elsewhere leaving hsbc exposed to a much higher 90% risk rather than the spread of business they want as no one within their right mind unless they have a 10% deposit mortgage or are tied into them are going to hsbc.
By paying a broker £400 to submit the business that frees up their staff to do other things as a current wait time of 1 month to get an appointment let alone a mortgage is going to reflect very badly on the bank going forward.

kmurray1003

haras_n0sirrah said:

kmurray1003 said:

She also said that they wouldn't remove direct applications and keep them available to brokers as they would much rather deal with applications directly. I guess that makes sense as they have to pay the broker a fee.


Who knows? She just may not know anything about things changing on the 16th. I guess we'll just have to wait and see what happens.

The opposite is true. For the direct staff to process it they need to have people on the phones paying 30k a year plus pension, sick pay, holiday pay etc and to process demand they have to hire more of them or have larger wait times which results in frustrated and angry customers while you have an army of brokers ready to hit the button on applications today but can't get the funds booked
It is easier for the bank to allow the brokers to book the funds through diverting the direct funds to us, reduce the pressure on the branch staff to allow them to process other clients who have been caught up in the 90% (as how many people who want advice but have a higher than 10% deposit are stuck in the queue as well) those clients will go elsewhere leaving hsbc exposed to a much higher 90% risk rather than the spread of business they want as no one within their right mind unless they have a 10% deposit mortgage or are tied into them are going to hsbc.
By paying a broker £400 to submit the business that frees up their staff to do other things as a current wait time of 1 month to get an appointment let alone a mortgage is going to reflect very badly on the bank going forward.

That makes complete sense, I really hope it is true that they divert their funds to the brokers. Our broker is a really nice person and he's put a lot of effort in for us, so i'd much rather go through him than apply directly. It must be sole destroying for him to be trying every single morning only for the system to say NO 5 mins later! But it comes a point where it looks like nothing is going to happen and I have limited options, so i've booked an appointment as a backup solution. Just hope it doesn't get to that stage!

If they do redirect the funds to brokers from next Monday, when would they likely be told about it?

haras_n0sirrah

Mystery solved as to why some people were getting calls about 15% deposit from monday. They must have been buying a flat. Houses only at 90% from monday.

From Monday 17th August, we’re making changes to the following:

 

ü  Lending limits

ü  Interest-only repayment strategies

 

Lending limits

 

	New maximum LTV
Flats	85% LTV
New build flats	80% LTV
Additional borrowing	85% LTV

 

Process90

kmurray1003 said:

Process90 said:

If you think it's a long wait for a HSBC appointment wait until you submit your application and see the service level timescale... 

From reading different threads it appears HSBC are one of the quicker lenders to push through the process to an official offer

Absolutely not. Every lender is in the same situation - unprecedented demand, not enough supply...

There are certain cases that will fly through all lenders i.e. NHS worker, employed applicant with good employment history and no credit issues, asking for half of what a bank *could* lend them.

[Deleted User]

Process90 said:

kmurray1003 said:

Process90 said:

If you think it's a long wait for a HSBC appointment wait until you submit your application and see the service level timescale... 

From reading different threads it appears HSBC are one of the quicker lenders to push through the process to an official offer

Absolutely not. Every lender is in the same situation - unprecedented demand, not enough supply...

There are certain cases that will fly through all lenders i.e. NHS worker, employed applicant with good employment history and no credit issues, asking for half of what a bank *could* lend them.

That was me with Santander 
BTL 75%

Gold plated civil service pension 
good house
no credit issues ever 

valuation in the morning - mortgage offer sent out in the afternoon !! ( Tuesday this week ) 

kmurray1003

haras_n0sirrah said:

Mystery solved as to why some people were getting calls about 15% deposit from monday. They must have been buying a flat. Houses only at 90% from monday.

From Monday 17th August, we’re making changes to the following:

 

ü  Lending limits

ü  Interest-only repayment strategies

 

Lending limits

 

	New maximum LTV
Flats	85% LTV
New build flats	80% LTV
Additional borrowing	85% LTV

 

That explains it then! Do you think there will be more available funds for brokers as a result of this? Or it will make applying for 90 ltv easier for brokers?