Advisers, for example, can offer the ‘Rapid Remortgage’ product to clients at a cost of £199.75 including VAT and receive a £50 referral fee.
Where lenders are providing legal cashback offers of £200 this would then cover the full amount while if the cashback is more, or if there are no free legals option, the adviser can earn up to £200.
The ‘Rapid Remortgage’ deal offers a seven-day completion period with regular updates and control for the adviser, plus the solicitors act for the clients, which is not the case with ‘free legal’ offerings where the solicitor is only acting on behalf the lender.
Conveyancing Alliance believe that the majority of remortgages are completed with ‘free legals’ and have questioned whether this treats customers fairly given the poor value and the lack of client representation.
The product will be available for an initial limited period of three months although Conveyancing Alliance may continue to offer this product if business levels allow.
The deal follows the publication of Conveyancing Alliance figures for Q1 2010 which revealed a slight increase in remortgage instructions on the previous quarter although overall completions stayed the same.
Whilst remortgage activity remains subdued, the expectation is that it will begin to show a steady increase throughout the next few months and Conveyancing Alliance’s ‘Rapid Remortgage’ is designed to help advisers provide market-leading conveyancing for their remortgage clients.
Harpal Singh, managing director of Conveyancing Alliance Ltd, said: “This ‘Rapid Remortgage is a significant development for Conveyancing Alliance and the intermediary market, and has been made possible following the recent enhancements made to our quotation system.
"The £120 plus VAT fee is in our view market-leading and while it is only for a limited period we have the option to extend this should business levels allow.
"This pricing shows Conveyancing Alliance’s support for brokers and it also ensures the client benefits from the same level of quality and service they have come to expect from our solicitor firms but this time with the added benefit of a historically low price.
“Many advisers still choose to take the free legals on offer from lenders even though they provide no protection or service to the client.
"With the ‘Rapid Remortgage’ pricing at such low levels, brokers would be much wiser to take the cashback that is often available from lenders for legals and use this money to pay for quality conveyancing through Conveyancing Alliance.
"By doing this they can be certain their client is receiving conveyancing from a top-class solicitor firm and their client is the focus of that service rather than with free legals where the lender is the beneficiary.
"Opting for our service also ensures a quick seven day completion, plus the adviser is kept fully in the loop and they are at the heart of the transaction rather than being marginalised in a free legals arrangement.”
