As the mortgage industry speculates on the potential implications of a new government on mortgage rates, three leading adviser firms are set to increase the level of protection they offer their clients against future rate rises after linking up with RateGuard, the interest rate insurance policy offered by financial markets insurance specialist, MarketGuard.
The three firms - First Action Finance, HomeLoan Partnership and Julian Harris - significantly increase the distribution network for RateGuard, meaning that more consumers than ever before now have access to this intermediary-only product which protects against increases in mortgage payments as a result of a rise in the Bank of England Base Rate or LIBOR.
Chris Taylor, CEO of MarketGuard, commented, “With the uncertainty over the economy set to continue, many people may be thinking of fixing their mortgage rate to guard against sharp increases in interest rates, but for some this isn’t an option due to tightened lending criteria, an increased loan to value or a change in their personal circumstances. RateGuard offers these people a way out so it’s fantastic news that we’re now able to announce new partnerships with First Action Finance, HomeLoan Partnership and Julian Harris.”
Joe Cohen, managing director at First Action Finance added, “It is possible that lending will remain tight for the near future at least, meaning some people could be unable to remortgage. RateGuard offers our clients a way around this problem and at the same time expands the range of solutions our advisers can offer them – which can only be good.”
