The system will identify the best cost option for the client by comparing lender products for the whole of the outstanding existing mortgage, including a second charge or alternative lender re-mortgage for the whole amount.
Legal & General Mortgage Club has signed a deal with technology firmTwenty7Tec to offer members a sourcing system that compares both first and second charge loans.
It follows the news earlier this week that the club is offering advisers access to lenders’ second charge deals directly, cutting master brokers out of the transaction.
The system will identify the best cost option for the client by comparing lender products for the whole of the outstanding existing mortgage, including a second charge or alternative lender re-mortgage for the whole amount.
The software will also allow intermediaries to obtain documentary evidence of their research, which they can pass to their clients if required.
Under the rules set out by the Mortgage Credit Directive brokers are obliged to do this if the information is requested by the borrower.
Jeremy Duncombe, director of Legal & General Mortgage Club, said: “Twenty7Tec has further enhanced its credentials in the mortgage market by being the first of the large technology providers to deliver a sourcing solution that compares both first and second charge loans.
“This system will aid brokers in giving better advice to their customers by helping to establish what the best solution for their needs may be.”
James Tucker, managing director of Twenty7Tec, added:
“Twenty7Tec is very pleased to have been selected by Legal & General Mortgage Club to provide their intermediaries with a tailored version of MortgageSource, which enables them to compare mortgages and second charge loans in order to identify the best cost option for their clients when they wish to raise capital.”
