Home Buyer Systems (HBS) has launched a new product to allow mortgage brokers to source direct-to-lender products while meeting compliance requirements.
The launch follows several months of uproar from brokers as lenders withdraw their intermediary ranges, meaning intermediaries can no longer access the best deals in the marketplace.
The new product, HBSLite, is a stand-alone system that uses Defaqto’s whole of market database, and can source direct and intermediary products.
HBS says its system also produces all documentation required by the FSA, including IDD’s, KFI’s and proof of research. Fee agreements can also be produced for deals which don’t pay a proc fee.
The system will produce a letter of authority, informing the lender that a broker is acting on behalf of their client, for those administering the full application process.
Richard Angliss, managing director of HBS, says: “The FSA has confirmed that the problem of dual pricing (in favour of direct-to-lender products) is not a regulatory matter, but something for which a market-led solution must be found.
“Because Home Buyer has used Defaqto as its product database from day one, we were able to act very swiftly to bring the HBSLite solution to market in a very short space of time.”
The system allows brokers to charge a variety of fees for advice on direct products, including basic sourcing fees and higher fees for assisting with the entire application process. HBS says it intends to introduce a merchant service in the near future to allow customers to pay directly via credit or debit card.
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