Tesco Bank has joined Openwork’s mortgage panel, further expanding the reach of its new brand Tesco Mortgage Intermediaries.
The supermarket chain’s financial services arm launched the adviser channel back in April, initially available through brokers London & Country, along with Legal & General’s key account firms, including Nouveau Group, Mortgage Advice Bureau, John Charcol and Stonebridge.
The service includes a number of features to help brokers make the transaction as straightforward as possible, including searchable lending criteria, webchat, the ability to scan and upload documents and track the status of applications from any device.
David McCreadie, managing director at Tesco Bank, said: “The addition of Openwork to our broker panel will ensure that Tesco mortgages are available to even more customers.”
Openwork’s mortgage proposition director Paul Shearman added: “Not only does Tesco Bank offer a well-known and respected brand, it has invested heavily in designing its intermediary portal that addresses many of the issues that prove challenging for advisers.”
Openwork expects to surpass more than £10bn of mortgage business this year, after lending surged almost 50 per cent year-to-date compared with the same period last year. It also exceeded 3,000 advisers across the group for the first time in its history, in July.
Tesco’s offering for intermediaries includes a range of two, three and five-year fixed rates, along with some two-year tracker products.
Product | Max LTV | Fee Product | Product Fee | APR | No Fee Product
| APR |
2 year fixed until 30/09/2018 | 60% 75% 80% 85% 90% 95% | 1.67% 1.74% 1.84% 1.89% 2.28% N/A | £1,300 £1,300 £995 £995 £995 N/A | 3.9% 3.9% 3.9% 4.0% 4.0% N/A | 1.97% 2.04% 2.14% 2.19% 2.58% 3.74% | 3.9% 3.9% 3.9% 4.0% 4.0% 4.3% |
| ||||||
3 year fixed until 30/09/2019 | 60% 75% 80% 85% 90% 95% | 1.99% 2.09% 2.34% 2.34% 2.99% N/A | £995 £995 £995 £995 £995 N/A | 3.8% 3.8% 3.9% 3.9% 4.0% N/A | 2.19% 2.29% 2.54% 2.54% 3.19% 3.99% | 3.8% 3.8% 3.9% 3.9% 4.1% 4.4% |
|
|
| ||||
5 year fixed until 30/09/2021 | 60% 75% 80% 85% 90% 95% | 2.07% 2.34% 2.44% 2.64% 3.24% N/A | £995 £995 £995 £995 £995 N/A | 3.5% 3.6% 3.7% 3.7% 4.0% N/A | 2.19% 2.46% 2.56% 2.76% 3.36% 4.29% | 3.5% 3.6% 3.7% 3.7% 4.0% 4.5% |
|
| |||||
2 year tracker until 30/09/2018 | 60%
75%
80%
85%
90% | 1.22% (BoE* base rate plus 0.97%)
1.29% (BoE base rate plus 1.04%)
1.44% (BoE base rate plus 1.19%)
1.59% (BoE base rate plus 1.34%)
2.25% (BoE base rate plus 2.00%) | £995
£995
£995
£995
£995 | 3.9%
3.9%
3.9%
3.9%
4.1% | 1.52% (BoE base rate plus 1.27%)
1.59% (BoE base rate plus 1.34%)
1.74% (BoE base rate plus 1.49%)
1.89% (BoE base rate plus 1.64%) 2.55% (BoE base rate plus 2.30%) | 3.9%
3.9%
3.9%
3.9%
4.1% |
All products will move onto a standard variable rate of 4.24 per cent at the end of the initial fixed rate period.
Tesco Bank mortgages also reward the loyalty of customers with Clubcard points as they repay their mortgage.
peter.walker@ft.com
