Kent Reliance raises broker procuration fee

Kent Reliance raises broker procuration fee

Kent Reliance has increased its broker procuration fee for product transfers.

The mortgage lender raised its procuration fee from 0.25 per cent to 0.30 per cent, to be received by brokers within 30 days of the product switch becoming effective.  

Adrian Moloney, sales director at parent company OneSavings Bank, said the rise reflected the importance of the broker role.

He said: "We were the first specialist mortgage lender to pay a retention proc fee for product transfers.

"Two years into this journey, we are delighted to increase this fee in recognition of the additional work carried out by intermediaries on our behalf."

Danny Belton, head of lender relationships at L&G Mortgage Club, said the need for advice when customers reached the end of a current mortgage deal was as important as ever, especially in the more specialist lending sectors.

He said: "OneSavings Bank recognises the value of the intermediary in this process, and the work they do to ensure the customer gets the right outcome, through this positive and welcome change."

Carl Shave, director at Just Mortgage Brokers, said Kent Reliance's increase was a positive sign of its understanding of the intermediaries' role. 

He said: "Whilst brokers recognise the overall reduced paperwork and time these product transfers give, there is still the ongoing argument that the process to make the recommendation and associated compliance matters remain the same.   

"In turn a fair remuneration from the lender is what many intermediaries wish to see and  this increase to 0.30 per cent indicates Kent Reliance’s recognition of this and hopefully something that other lenders who lag behind will pay notice to."