Secured Loans test – Complete FS

Complete FS welcomed the recent MCD regulatory changes to the secured loan market, now making it more like a first charge loan with full advice provided by the intermediary.

To highlight these regulatory changes Complete FS is very pleased to offer two distinct fee options for your clients, a fees paid option or fees added option. Before 21st March 2016 we were unable to charge upfront fees on secured loans and the market relied on charging Master Broker Fees to cover abortive cases. But today we are able to be much more competitive and can now offer two distinct fee options, help your clients to save even more in fees:

Given the competitive nature of these fee charging options we ask the Intermediary to determine the advice fee they want to charge on each case which can then be included on ESIS document.

Why a second charge mortgage could be right for your client:

Your client’s current mortgage has Early Repayment Charges (ERC’s)
The current first charge mortgage is on a competitive rate which they wish to retain
Your client has minimal equity for a remortgage
Affordability could work out more on a secured loan versus a remortgage (interest only on the first charge)
Your client has a complex credit profile which would make a remortgage more expensive
The purpose of the loan may not be acceptable to first charge lenders

Benefits to you of a Secured Loan:

Most legal purposes accepted as the purpose of the loan
Arrears considered on many plans
Quicker Completion time
Clients can borrow between 5-30 yrs (not touching the existing loan)
Can be more flexible criteria
Advances from £10,000 – NO UPPER LIMIT (on referral)
Low ERC’s – 0 to 2 months generally

1	Fees Added Option
	1% Master Broker fee on completion
	£199 Application Fee
	Disbursement Fee - £100 (covers lenders reference & land reg search)
	Valuation Fee - if applicable (some lenders use drive by or desktop valuations)
	PROC FEE paid to broker 1.35%

1	Fees Added Option
	4% Master Broker Fee on completion (maximum is £5,000)
	No Valuation Fee charged (covered by Complete)
	No Disbursement Fee charged (covered by Complete)
	PROC FEE paid to broker 2.5% (maximum £3,125)
	MINIMUM LOAN £35,000
	Available on properties valued up to a maximum of £1,000,000