One company wants to help move the market forward
“We are the first fintech to ever enter the prime residential market,” said Stuart Cheetham (pictured), chief executive of MPowered Mortgages.
MPowered Mortgages has expanded its offering with new prime residential products after it received relevant permissions from the Financial Conduct Authority. It has been able to launch its offering through investment from three financial services companies.
Read more: MPowered Mortgages enters prime residential mortgage market
“Barclays, Citigroup and M&G have all supported us with their investment; this has enabled us to come to the market in full force,” said Cheetham. He added that MPowered Mortgages’ investors are all experts in the industry and commonly invest in mortgages and mortgage portfolios.
“The fact that we have such well known industry investors supporting us should show borrowers that we are a serious option within the industry,” he added.
Cheetham explained that the investors had enabled MPowered Mortgages to support brokers throughout the mortgage journey, and they are then able to support their customers during the entire process. The mortgages will be available initially via limited distribution, through intermediaries from Mortgage Advice Bureau, L&C Mortgages, Charles Cameron & Associates, JLM Mortgage Services and The Financial Planning Group.
Changing the game
Cheetham outlined that it is important for new businesses coming to the market to be reactive, and encourage the development of the industry.
“The big six lenders in the UK do a good job, but as they are so large supporting change can be difficult, which is why it is essential for smaller businesses to do this,” he said.
MPowered Mortgages wants to change the way the market works, Cheetham outlined. Its system, he said, allows the mortgage process to be drastically sped up.
“We began to implement some of our initial plans last year, which has helped us understand exactly what works,” Cheetham said.
Applying the technology means intermediaries can get faster decisions and easier applications through the platform when serving prime residential borrowers.
As it stands, MPowered Mortgages offers a choice of two- and five-year fixed rates for purchases and remortgages. Customers can also benefit from its larger loan range, aimed at mortgages greater than £500,000. Cheetham added that the system brings certainty with it.
“As well as this, our platform is able to run real time, which is a large part of its appeal and also benefits the speed factor within our system,” Cheetham said. “As the underwriting is able to run real time, this means borrowers can get offers almost instantly.”
Cheetham added that there is real time communication with the broker, which he said is something no other company is able to offer at this time.
