Family Building Society has joined other lenders by increasing procuration fees, though it has limited the push to a range of new fixed rate offers launched today (7 January).
It has cut the interest rate on its Family Mortgage’s three and five-year fixed rates. The three-year rate is fixed at 3.29 per cent until 30 June 2018, down 0.7 per cent from 3.99 per cent, while the five-year rate is fixed at 3.79 per cent until 30 June 2020, cut by 0.6 per cent from 4.39 per cent.
In both cases the product fee remains at £545 and the procuration fee for these new fixed rates has been increased to 0.45 per cent from 0.35 per cent.
Yesterday, Leeds Building Society joined the swath of lenders who have increased procuration fees, by upping its fees for those selling residential mortgages.
The society said it has simplified its structure by increasing fees for directly authorised intermediaries to up to 0.37 per cent and for appointed representatives to up to 0.4 per cent.
In recent months, Skipton, Nottingham, Accord, and Monmouthshire have all increased their procuration fees for residential mortgages.
Cammy Amaira, who joined the society as head of intermediary sales last month, said the intermediary channel has given positive feedback since launch in July, “especially in relation to the Family Mortgage which allows family members to help first time buyers through providing security and offsetting facilities”.
He added: “We have listened to their views and kept both the interest rates and procuration fees keen.”
peter.walker@ft.com
