Family BS increases proc fees

Family BS increases proc fees

The Family Building Society has increased the procuration fees to be paid to brokers for its family, offset and low-start mortgage products.

The gross fee for the family mortgage will go up from 0.45 per cent to 0.55 per cent, while the gross fee paid for the offset mortgage will increase from 0.40 per cent to 0.50 per cent.

The fee for the low-start mortgage will rise from 0.35 per cent to 0.45 per cent.

Article continues after advert

Cameron Amaira, head of intermediary sales at Family Building Society, said: “The increase in procuration fees reflects the significant amount of work that intermediaries need to devote to applications involving multiple family members or borrowers with changing circumstances.

“As a result our new fees are among the highest in the market, particularly for high-LTV mortgages where the family mortgage also leads on value for first-time buyers.

“Family Building Society continues to support the intermediary channel, which provides up to 90 per cent of all introductions.”

The mutual’s product fee will remain at £545, and procuration fees for all other products remain unchanged.

Adviser view

Daniel Bailey, a mortgage broker with Derbyshire-based Middleton Finance, said: “I certainly think more providers should be doing this just to reflect the amount of work we are putting into cases nowadays.”