Aldermore launches 0.3% proc fee for product transfers

Aldermore launches 0.3% proc fee for product transfers

Aldermore is launching a new retention fee of 0.3 per cent for product transfers in a bid to put brokers “at the heart of its proposition”.

The fees will be available on completion of product transfers for existing Aldermore customers onto the full range of its Loyalty Mortgages for residential owner-occupied and standard buy-to-let customers.

Customers will have access to the same rates and incentives, whether they are introduced via a broker or come to Aldermore directly.

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Charles McDowell, commercial director at Aldermore, said: “Our proposition puts brokers at its heart. Brokers provide an indispensable service to their customers by giving them the right advice and ensuring the right customer outcome. 

“I am delighted that we can give brokers the recognition they deserve by offering retention procuration fees.”

Earlier this week Leeds said it would introduce retention proc fees this year, paying 20bps to intermediaries for product transfers, as well as paying a full proc fee to those helping existing borrowers to port their mortgages.

There has been a spate of activity on procuration fees in recent weeks, with Santander introducing a minimum fee of £400 where the loan is £25,000 or more earlier this month.

Meanwhile Nationwide has said it will also pay brokers a proc fee for retention business.

Andrew Montlake, director at Coreco, commented: “It is great news. More and more lenders are now accepting the massive amount of work brokers do on product retention and transfers.”