What other companies may charge
All mortgage brokers will either charge a fee for their advice or receive commission from the lender with whom they place your business. They may also receive their remuneration as a combination of both fee charged to you and commission received from the lender.
What we charge
At mortgages-online we believe in being transparent about the amount of commission we may receive from a lender and any amount that we may have to charge you. Our fees, if they are applicable, are very competitive
We may receive a commission payment from the lender with whom we place your mortgage but this will not affect the rate or terms and conditions of the mortgage. Typically, the amount will be about 0.3% of the amount that you borrow. For example, if you borrow £100,000 then we may receive £300 from the lender.
The minimum fee that we require to cover our overheads for advising upon and arranging a mortgage is about £500 but it could be more than this depending on the complexity of your requirements. For example: for a relatively simple case, if the lender pays us 0.3% and you borrow £150,000 then we would receive £450 from the lender and may charge you £50. A more complex case may require more time to complete and the income we require to cover our overheads might be £750, in which case we may charge you £300.
We may reduce or waive our fee if you purchase other products through us, like buildings and contents insurance, life assurance and mortgage payment protection insurance. We are unable to reduce the amount of commission that we may receive from the lender.
In all cases, the adviser dealing with your mortgage will discuss the above with you and obtain your agreement to proceed before you incur any costs
Why might we make a charge?
We have to cover the cost of operating our business, typically this includes but is not limited to;
- Wages to our advisers
- Overheads for our premises
- Compliance Fees
- Fees charged by our regulator (the FCA)
- Insurance Costs