Just an update Monday 16th October

Just an update Monday 16th October

This week's headlines:

Elevation Pilot – Powerful Data and Great Feedback!

We are very pleased to report that via the Elevation Survey System, it has collected some powerful data so far.

The average client rating for all Just Mortgages advisers is a phenomenal 5 out of 5 based on 3,374 pieces of feedback. Well done to you all!

Plus, along with helping meet Consumer Duty requirements, the data reveals potential revenue opportunities worth £330,525.

In case you didn’t manage to attend one of the recent drop-in sessions, please find here a link to some frequently asked questions, including when you can access your feedback and data.

If you have any questions not covered on the FAQ or require any assistance at all, please email customer_service@vouchedfor.co.uk or reach out to your Area Director, either would be delighted to help.

Suitability Report Timescales In May, Openwork announced a change to timescales for issuing Suitability Reports (SR) as part of their changes to comply with Consumer Duty Regulations.

The grace period for making these changes has now ended and cases will now be failed where an SR is not sent within 7 working days of the Mortgage Offer being produced. In all cases this must be send at least 5 days prior to the completion date.

Just Mortgages standard is to issue the SR within 48 hours, following completion of the application form for both Mortgages and Protection. This is designed to protect you, offering you support where required should the case later result in a complaint or has fraud concerns.

Further Support:  Refer to the updated Suitable Advice Framework which can be found on the Openwork portal HERE  Refer to a Q&A on these changes on the Openwork portal HERE  Or speak to a member of the Sales Quality Support Team

Hodge increases income multiples across its later life products Hodge will be: • Increasing income multiples across its 50+ and RIO from 4.49 up to 5 times income on an interest only basis, and from 4.49 up to 5.5 times on a repayment basis • Reducing the stress rate for pound for pound remortgages • Reducing living costs to reflect the reduction in the energy cap from 1st October • Accepting a life insurance policy to support affordability under the death stress test.

Louise Swainston, head of mortgage risk at Hodge.

"We've increased our loan to income caps to 5 times for interest only lending and 5.5 times on repayment. On pound for pound remortgage borrowing, we continue to lend up to 6 times income on our later life product range.”

"And for our 50+ and RIO joint customers, we will now consider a life insurance policy in our affordability assessment. This will support customers who fail the death stress allowing us to assess affordability based on the policy covering, or partly covering, the loan in addition to their personal income."

Find out more about Hodge’s criteria

Zurich increases non-medical limits for under-50s Zurich has made changes to its life non-medical limits for people under the age of 50, increasing the value of cover available without requiring medical evidence.

The changes affect the first level of evidence – the nurse medical exam – and Zurich says this would mean medical evidence will be needed less frequently at the point of sale.

“We’ve completed a full review of our customer journey and looked at ways we can make it easier for customers to obtain cover,” Zurich said. “Following this, we have made some changes to our life non-medical limits for the under 50s.”

“The point at where we are requesting these has moved up, therefore we will be requesting less evidence at point of sale” it added. For example, for ages 45 to 49, the first point we will look to get evidence for non-medical limits is now £500,001 up from £400,001,” There will be no changes for people in the 35 to 39 age group or for people over the age of 50.

You can see full details here

Rated for Service – have your say on lender service Openwork have teamed up with Mortgage Finance Gazette and Mortgage Strategy to launch the Rated for Service Awards 2024. The Awards recognise and commend lenders that have performed exceptionally well for brokers, providing lenders with an annual benchmark for service. The inaugural survey last year was completed by over 800 mortgage advisers and provided detailed feedback to help Openwork and Just Mortgages work in partnership with the lenders to find and drive home improvements in service levels.

Understanding your priorities, recognising service excellence, and identifying opportunities for improving standards is important. The second survey window is now open and gives you a great opportunity to assess lenders’ levels of service and recognise great performance.

The MFG Rated for Service Awards provide an important barometer of your experience, enabling lenders to improve service levels which will ultimately help you deliver better client outcomes.

Take the survey

Skipton launches new product range to help your Skipton clients at maturity Skipton Building Society is doing what it can to support its existing borrowers. That's why Skipton has launched some new OwnerOccupied products designed to help customers who may see themselves in financial difficulty once their initial deal period comes to an end.

The new 2 year fixed range is only available for rate switches and features 60-90% LTV products with a 5% completion fee, which can be paid up front or added to the loan. In return, customers will benefit from lower interest rates than Skipton’s standard on-sale range offers.

View Skipton’s Product Range Skipton understand that these products won’t be right for everyone and that you might prefer to refer any clients who are concerned about meeting an elevated monthly mortgage payment directly to Skipton via their Mortgage Support webpage.

What makes a specialist mortgage proposition?

Helen Cawthra of Vida Homeloans takes a high level look at how mortgage products are built and how specific considerations impact lenders’ appetite and ability to lend.

The learning objectives for this blog are to: • Understand the key elements that make up mortgage products.

• Understand why funding is so important in the supply of products.

• Understand how the balance of these elements can impact the choices brokers make for clients.

Read the blog