Still Unsure About Using a Mortgage Broker? We’ve Answered Your Questions

What if I have paid a fee and I cannot get a mortgage?

Mortgage Buddy partner advisors have a fair refund policy, whereby, should you be unable to obtain a mortgage through no fault of your own (i.e. you were totally honest about your circumstances and financials) and a mortgage could not be obtained due to circumstances such as credit score or lender criteria, it is likely that any fees paid for mortgage proceeding will be refunded.

Avoid any unnecessary losses by following our top 3 tips for lowering the risk of losing any fees;

1. Always make sure you understand exactly how your advisor charges fees – and ask for clarification if you are not sure about their refund policy.
2. Ask for the above in writing, if this is not voluntarily provided to you (all of the advisors we work with do this as standard)
3. Be totally upfront and honest – the good, the bad, the ugly. The more information your advisor has, the better quality their advice will be, and the less chance there is of nasty surprises after they have applied for your mortgage.

All FCA (Financial Conduct Authority) regulated firms (the only ones we work with!), will have a clear, honest and transparent Refunds and Fees policy. This will be discussed with you verbally and confirmed in writing before you instruct your advisor to work on your behalf. So, you can have confidence, before parting with your hard-earned cash, that the mortgage is most likely to be accepted, and should it not be, your hard-earned cash will be coming straight back to you.

It should not feel like a risky bet to pay an advisor for the work they will be doing for you. And remember, if in doubt, ask.

Should I Use A Mortgage Advisor or Do It Myself?

The reason you would usually pay a mortgage advisor, rather than arranging your own mortgage, is because they’re the only way to be absolutely sure that you have obtained not only the best rate but that your mortgage has been arranged in the most suitable way for you and your preferences. Let’s explore this a bit further.

Imagine this, you go into your local high street bank and go through your financial circumstances, income and expenditure, credit history, occupation and employment, and so on… only to be told that “sorry, we would be unable to lend you the mortgage you require for the home you want to buy.” What now? Well, if they’ve turned you down, you’ll need to try elsewhere and if that bank has turned you down, which banks will accept you, and which use the same criteria?

Or, maybe you get great news – they can offer you this mortgage! Here are your interest rates and monthly payment details. Is it a good offer? Is it within budget? You probably want to see if it’s actually the best deal for you.

So you go to the next local high street bank and get their decision. And you’re still wondering if it’s the best rate, so you go to the next local bank and do the same. Repeating the same information over and over, and before you know it you’ve spent weeks of your life going back and forth between various banks drinking rubbish filter coffee wondering if you’re going to make it back to the car park before your pay and display runs out.

This is where an advisors’ experience and resources really do save you precious time, energy and sometimes a lot of stress.

This is how the process works. You speak to your broker (this may be a telephone/video appointment), you run through all of the above, but only once. You don’t need to do it, again and again, every time you want to see if a better deal is available. You just discuss your situation with your advisor and leave the hard work to them.

They scout the market for the best rates and the most suitable mortgage for you. Then they make a professional mortgage and protection recommendation that is entirely personalised. They aren’t worried about what other people are paying on their mortgage, because this is about getting you the best for your new home. So they put the work in, prepare everything nicely and make their recommendation to you.

The advisors we work with do this for free, and it is no obligation. So I guess you could say, where’s the risk? There isn’t any!

You can take or leave their advice, and should you wish to proceed and move one step closer to that home you’ve already pictured yourself in, you can instruct your advisor to start working on your behalf. And better yet, it was less any car parking fees, filter coffee or hours of your life you’ll never get back running around town from bank to bank!