Brokers will also be paid a full procuration fee
Specialist lender Pepper Money has launched a remortgage proposition for existing customers and is paying brokers a full procuration fee to be involved in the process.
The lender said the enhancement is the initial step towards enabling Pepper customers to seamlessly transfer a mortgage to an alternative product within its range, with the process expected to support more customers who are nearing the end of their term by providing enhanced options to help meet their changing needs.
The proposition offers existing Pepper Money customers the opportunity to remortgage on to one of the lender’s current products, with the exclusive benefits of no application fee, no completion fee, and free standard legal work. Qualifying remortgage cases will also benefit from an automated valuation model to increase efficiency and speed of processing.
Eligible Pepper Money customers will be contacted three months before the expiration of their current mortgage deal to make them aware of the product range available. The lender said early repayment charges may be applicable if completion takes place before the end of their current term.
Access to the fee-free proposition will require a full remortgage application and brokers will receive a full standard procuration fee as part of the process. Their customers could also benefit from a rate reduction across the Pepper 36 residential range.
Pepper Money has decided to replace the free legals on residential remortgage products with a £350 fee assist cashback.
“Many customers coming to the end of existing fixed rates are faced with the prospect of paying substantially higher costs for their mortgage as a result of rising interest rates,” Paul Adams (pictured), sales director at Pepper Money, commented.
“At Pepper Money, we are always looking at ways to make things easier for existing and new customers. While we cannot change the rising rate environment, we have identified an opportunity to provide customers with exclusive access to a reduced fee remortgage proposition, which features no application or completion fee and free standard legal work.
“We will be writing to existing customers reaching the maturity of their product, asking them to speak to their broker about our remortgage offering. The products are available on sourcing systems, alternatively brokers could also contact Pepper Money directly to discuss the options and the application process.”
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