BANK VERSUS THE BROKER
Iv had a look at all the posts so far. I’m going to pick a few comments from some of them but not mention directly from which ones, however you know who you are!!
Just to be clear I’m in favour of applying directly to the bank for your mortgage & not going to a broker.
1) The branch manager does have influence with the underwriters & can in some cases get a decline decision overturned.
2) The Broker does not have ANY direct contact with the underwriters.
3) The mortgage advisor in the branch will complete all the forms required to process the application & if you are applying in your own bank there is no need to supply bank statements, payslips. Now that I think about it most banks will give up front approval so no additional documents are needed at application stage. Its only when you accept the offer, then you would supply the supporting documents. Unlike the broker who needs every bit of official paper you got.
4) There’s a thing call a Broker fee, Bank fee? Enough said on that one
5) You only need one meeting with the bank not many!! In fact you don’t need to go into the branch, the application can be made over the phone however I would go in & meet face to face.
6) Also regarding Rates some Brokers will only show the rates from their cosy little network of “friends.” Don’t forget you’re going to need life cover & home insurance a broker has “friends” in these places to!! They are called who pays the biggest commission not what’s the best deal for the customer.
7) The Bank is very transparent when it comes to rate & will give the customer the features & benefits of both fixed & variable rates but at the end of the day it’s up to the customers to choose which rate to go on.
8) Any Joe can be a Broker & yes I hear you say any Joe can be a banker that’s true but the banker needs to pass an interview to get the job. Joe could wake up tomorrow & decide to be a broker. Also the banker needs to be a qualified financial advisor or have a certificate in mortgage practice.
9) The banker will be more familiar with you then a broker as you may have banked with them for a number of years.
I could go on………..
At the end of the day a mortgage is going to be the biggest financial transaction that most people will ever make, you should be knee deep in your mortgage application & so be it if you have to take time out to go around a few banks, this is not car insurance!!! your applying for here people. So bypass the broker go direct to the bank don’t pass it over to a broker you need to educate yourself in the mortgage process because when the deal is done & you have your keys & ordered your first takeout to your new home I guarantee you will be just as experienced with mortgages as the average mortgage Broker!!!
1. Not anymore (certainly definantly not in all branches and banks), I know 2 bank managers whom have confirmed this directly to me . . Please quote your source . .
2. I met one 2 weeks ago at a KBC conference who said he will consider arguements made for cases by me directly. Can you please elaborate on your knowledge of this point.
3. Apply for the biggest loan of your life and you would choose a bank because they dont initially ask for much paperwork . . Says it all really . .
4. As stated broker fees are included in the bank fees. In essence if you do the research yourself you will still end up paying the exact same money to a bank (only the bank gets the fee that would of gone to the broker). Theres nothing to stop you doing all the research, going to a broker and asking them to share the comission. Win win scenario . Enough of that talk . . . Lets get back to broker bashing . .
5. Again, if you want to apply for the biggest loan in your life without meeting anybody, by all means . . That said, despite the huge costs involved in this kind of transaction a broker has a phone and they can also post out documents if needed. Fancy that . . (lets ignore the fact that you need to be present when providing photographic I.D.)
6. Again, assuming the worst of brokers, its not a reason not to use a broker, its a reason to find a good one !
7. I think we all know how transparent (to shareholders, employees, customers, financial regulator, government, to the whole country!) banks have been the last couple of years . Seriously. . Are we talking about the same financial institions here !!! . Dont really need to say much more then that . .
8. You need a QFA to be a broker. However you dont need any qualifications to be ignorant while sharing ill educated views on a topic on an advice forum. .
9. How well do you know your bank manager . . Or is it that you simply bank in a local branch . . Most people never meet their bank managers (I've never met my local bank manager in 3 differant banks) . .
Finally, you say that you should keep knee deep in a mortgage application yet you say that an advantage of a bank over a broker is that you dont have to go into a branch . .
A bank can only offer you the services and products that they have, a broker can offer you all the services and products within their agencies.
Your post is written soley out of ignorance or prejudice against a broker, cant really decide which one.
I could go on . . But then again you have blown any credibility you may of had with your original post . .
I was looking through several of your posts to date (love your one liner posts to get your posts number up ). There is a disclosure policy on this website. What is your interest with banks (since you speak so highly of them throughout your posts ) . .