April Mortgages has launched a new, improved proc fee structure, in response to broker feedback.
The new payment structure will include an initial procurement fee of 45bps at completion, plus an additional 30bps on every fifth anniversary of the mortgage, for the remainder of the fixed term. As a result, brokers will receive an initial proc fee plus one additional 30bps payment for a 10 year fix, or two additional 30bps payments for a 15 year fix.
April Mortgages has also launched a simplified proc fee rate of 45bps for both product transfers and further advances.
The new proc fee structure takes effect on 6 September.
James Pagan (pictured), director of product & portfolio management at April Mortgages, said: “We are passionate about making the mortgage market more simple, for brokers as well as borrowers. Listening to brokers has already resulted in a host of significant improvements to our offering, including our new, simplified proc fee structure. We want brokers to feel the same peace of mind and security from a longer-term fixed rate as their clients.
“April Mortgages looks forward to continuing to work closely with brokers as we modernise the structure of fixed rate lending and the peace of mind benefits this will bring.”