HSBC, which has announced its move into the intermediary mortgage space via one broker, says its strategy does not end with Countrywide Mortgage Services.
From Monday (6 October), HSBC will start to offer its mortgages through the broker. It is offering a slightly smaller product range – “to ensure a smooth service” – but it will include all of its current 60% and 70% LTV products and will provide mortgages up to a maximum of 80% LTV.
Each application will be underwritten by HSBC to ensure the borrower’s individual circumstances are fully considered.
Jonathan Byrne, head of assets and retail banking at HSBC said: “We’re offering customers even more choice and convenience when it comes to arranging their mortgage. This is a natural step for us after the launch of our online mortgage service earlier this year and means our award-winning mortgages will be even more widely available to people around the UK.”
Byrne told BestAdvice that any intermediaries who wondered about HSBC’s decision to turn away from its long-held position of being direct-only, “they’ll learn that we’re serious about the channel.”
He added that HSBC was already talking to other intermediary firms and he was more than welcome to take calls from others interested in having access to their offering.
Nigel Stockton, financial services director at Countrywide plc, said: “HSBC has an appetite for high quality lending and we are delighted and proud that HSBC has chosen Countrywide to work with them as they look to provide mortgages through intermediaries for the first time in the UK. Our focus is on maintaining excellent standards and speed of service.
“We are in no doubt that we will prove Countrywide can provide HSBC with more clients for their market leading products and we look forward to working together.”
““As both parties have said this is an important step forward in the development of the mortgage market post the financial crisis and the deployment of the Mortgage Market Review,” added Robert Sinclair, chief executive of AMI.
“Whilst this is a small and tentative step, I am delighted with the commitment from both parties to expand on this. I have no doubt that as HSBC develops it systems it will look to increase distribution through a wider range of partners. I am delighted to see HSBC recognise the real value of the professional intermediary market.”