Mortage broker bust & bank not very helpful

itspeachy82

Hello, i was using mymortgagefinder as a broker to remortgage with HSBC - my existing lender. The rates have gone down since the application went in, BUT mymortgagefinder has gone bust and is now in insolvency, so it no longer exists as a business and their tel rings through a message about the insolvency.

HSBC says the application needs to be cancelled on the brokers end to move to the lower rate but there is only an email address to contact the liquidator and I've not had a reply. My current rate expires on 31 July.

Anyone else facing the same problem? Any advice on this unusual situation?

user1977

Would probably help if you told us which bank it is.

itspeachy82

Edited the OP! The bank in question is HSBC - I spoke to the mortgages team, who consulted their broker team and explained the situation a few times but their conclusion was the broker needs to cancel the application. Hard to see how they do that when they're no longer in business.

ACG

The problem is that if they change the product, they are deemed to have given the advice. Which makes them liable.

You could call the FCA and see if the firm has a sort of locum registered (we do). They may be able to help.

Failing that your either stuck with the product or its a case of starting from scratch.

MWT

https://forums.moneysavingexpert.com/discussion/6675370/mortage-broker-bust-bank-not-very-helpful

Are you changing anything other than the rate since this is your existing lender?

If you are changing term or looking for additional borrowing then it is more complicated, but if this is just taking a new rate from your existing lender then it really shouldn't take long to sort out even if you have to go with a different broker (assuming you can't just select a new product on your own…).