Contractor Financial(No Fee) vs Contractor Mortgage Made Easy (Fee)

[rd409]

Well that's the thing both are getting paid but CMME is getting paid twice both lender and me.
I'm happy to pay if if i know CMME is doing something different than CF.
both saying that we've got agreement with Halifax on my case by talking to underwriter directly and there's no reason why your application should be rejected.

BUT I'm confused now

Thanks,
Faraz

The only thing that is different between CMME and CF, is the level of service. I have dealt with CMME in past, and you get a response straight away through email or phone. CF are a bit slow in responding. This means more back office staff to support the paper work at CMME.
Have you tried asking for discount to your broker? I don't see a reason, why they would not reduce the fees if they are getting paid twice.

Just my 2p.

[Power Mortgages Ltd]

Free brokers usually recommend the products where they get commission. Whereas the fee based brokers would recommend pretty much everything that is available through brokers. If the provider offers commission to the brokers, then you can ask the brokers to reduce the fees.

I say this as my experience in general, and there must be exceptions. Always remember, if you pay someone, they work for you; if it is free, they work for someone else.

Sorry RD409 but I have to correct you here.

A professional mortgage intermediary will never recommend a mortgage based upon who pays what commission. If that was ever evidenced they would lose their ability to be a mortgage intermediary and their livelihood would be ruined.

The Financial Conduct Authority who regulate mortgages would never allow these types of practices of recommending a particular lender because it suits the intermediary and not the client. Advice has to be given on what is best for the client's personal circumstances and that is the only determining factor when advice is given.

A whole of market intermediary will always recommend the lender best for your circumstances and all lenders pay commission to intermediaries. Some slightly more than others granted but again that should never bear any consideration when recommending a mortgage.

Go back 20 years and yes, there were a number of cowboy advisors who may have practiced 'commission chasing' but no intermediary would get away with it now under the strict regulations.

[Mark McBurney@CMME]

Sorry RD409 but I have to correct you here.

A professional mortgage intermediary will never recommend a mortgage based upon who pays what commission. If that was ever evidenced they would lose their ability to be a mortgage intermediary and their livelihood would be ruined.

The Financial Conduct Authority who regulate mortgages would never allow these types of practices of recommending a particular lender because it suits the intermediary and not the client. Advice has to be given on what is best for the client's personal circumstances and that is the only determining factor when advice is given.

A whole of market intermediary will always recommend the lender best for your circumstances and all lenders pay commission to intermediaries. Some slightly more than others granted but again that should never bear any consideration when recommending a mortgage.

Go back 20 years and yes, there were a number of cowboy advisors who may have practiced 'commission chasing' but no intermediary would get away with it now under the strict regulations.

The numbers simply don't add up even if someone was stupid enough to do that. If we assume a 'higher paying' lender might pay a fee which is something like 0.4%, we're talking about us risking our license and livelihood for the sake of about £100. Utterly ridiculous.