Independent Financial Life Planners Bishop's Stortford: Finding it hard to switch mortgage?

Wednesday, 10 June 2015

Finding it hard to switch mortgage?

Enable’s IFAs in Bishop’s Stortford have noticed some new research that has found that mortgages are now the hardest financial product to switch among consumers looking for financial services in the last 12 months since new rules were brought in under the Mortgage Market Review a year ago.

The research, conducted by Gocompare.com, indicated that just 59% of people who recently switched their mortgage provider described the process as easy, a fall from 70% in July 2014 when the same survey was carried out. The difference suggests the Mortgage Market Review, which was introduced at the end of April 2014, is affecting consumers. The new system led to anyone needing a mortgage to buy a home, increase a current mortgage or re-mortgage having to pass a more stringent affordability test, while interest-only applicants need to be able to demonstrate a credible repayment plan.

Matt Sanders from Gocompare.com said ‘It is clear from our research that consumers have taken issue with the changes to the mortgage application process introduced 12 months ago. To put it into context, the recent improvements in bank account and energy switching have failed to register at all on this survey, yet mortgages have slipped 11 percentage points,’ ‘It would be fair to say that mortgages were never the most straightforward product to switch, but MMR has added an extra layer of complexity and in many cases led to delays in the process which just frustrates people further,’ ‘Even though applying for a mortgage is more complicated, there has never been a better time to shop around and with record low interest rates, the hassle of going through the checks and balances might be worth it to save some cash every month,’ he added.

If you are looking for some help to make sure you have the right mortgage for you Enable’s IFAs in Bishops Stortford are here to help.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Issued by: Enable Independent Financial Life Planners  25c North Street, Bishops Stortford, Herts CM23 2LD Telephone: 01279 755950 - Fax: 01279 657339  Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority. It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us. NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

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IFA Bishop's Stortford

At Enable Independent we know that our clients trust us and rely on our advice to help them to plan a better, more secure financial future. This is a responsibility that we take very seriously especially because we know that many clients have chosen us on the recommendation of friends and family. Each one of our advisers has deep expertise in their area of specialist knowledge and, as a team, we hold some of the highest qualifications available in the financial advice industry.

Our job satisfaction comes from using our skills to find workable, affordable and flexible solutions to meet our clients needs. Whether we are planning for known future funding requirements such as house purchase, school fees or income in retirement - or for the unforeseen such as job loss, long-term illness or early death, our independence from any product provider enables us to view the marketplace impartially. Our training permits us to look beyond a product's marketing hype and select on the basis of its fitness for purpose.