Today Coventry Intermediaries announces the results of their survey to reveal which of their seven pledges are the most popular amongst brokers.
The survey launched in September asked brokers and intermediaries to rate the seven pledges in order of preference. A staggering 1240 intermediaries took the time to complete the survey and voted overwhelmingly against the practice of dual pricing and direct only deals.
73% of respondents voted at least one of the following Coventry pledges within their top two choices:
- All direct mortgage products available to intermediaries
- No dual pricing between business channels
Sales and Marketing Director Colin Franklin has said:
"We had a fantastic response from the sector with many brokers eager to tell us what they think. Given the current climate it is not surprising that the pledges brokers appear to value most are our commitment not to dual price and to ensure that all our direct mortgage products are available to brokers.
"We were the first lender to make these promises to the intermediary sector in 2007 and throughout the economic downturn our commitment has not waived."
Ray Boulger, John Charcol's Senior Technical Manager, said:
"These results from Coventry's survey are unsurprising as dual pricing has been a major bugbear of intermediaries for the last couple of years. It is morally very difficult for intermediaries to recommend a mortgage they know is available on better terms direct from the lender.
"Furthermore, if a lender can only sell mortgages through its branches by having a permanent sale it should be questioning whether that is a viable long term strategy. Coventry has led the way with its commitment not to dual price and this pledge is hugely valued by intermediaries. Another pledge I really value is Coventry's pledge to give at least two days' notice of product withdrawals.
"This is unique in today's market and providing details of the replacement products at the same time is a boon as intermediaries are not left guessing whether to apply for the outgoing products or wait for the replacement."
David Copland, managing Director of Pink Home Loans:
"The survey results show that brokers need access to mortgages on a level playing field - any lender who gives this commitment will be strongly supported by the intermediary sector.
"This is a difficult time for brokers and Coventry Intermediaries is well known throughout the sector as one of the most intermediary friendly lenders. It would be nice to see more lenders following the example set by the Coventry."
Max Lawson from Key Independent Finance Ltd is the lucky winner of the Sony digital camera from the survey prize draw. Max, who has worked as a broker for 36, years also commented on the survey results.
He said:
"Brokers work in an advice based industry, clients come to us for advice so direct only deals curtail the broker's ability to give full advice. We need to see more lenders like the Coventry who have committed not to dual price and not to offer direct only deals."
The results in order of preference were:
1. All direct mortgage products available to intermediaries
2. No dual pricing between business channels
3. No cross-selling to your clients
4. At least two working days notice of product withdrawal
5. No overhanging ERCs
6. No linked products
7. All products available to existing customers.
