Loans Engine to scrap Master Broker fees
The Loans Engine has announced that it is scrapping its Master Broker fee from the 25th July.
Speaking at Precise's MCD and Second Charge Lending conference, CEO Ryan McGrath confirmed that it would charge no Master Broker fees, and instead "adopt an application process that you'd see in the first mortgage market, with a small application fee".
McGrath added that the industry can expect to "see movement on fee models for Master Brokers".
Speaking to Financial Reporter, McGrath, said: "I think over time. Lost of brokers are wedded to their existing models and they have to be, because they come out of CCA regulations, which didn't allow them to take a fee greater than £5, which is why fee models are what they are today.
"To back their way out of those and launch this kind of fee model, requires a huge amount of work.
"We've been thinking about it for at least three years - the project has been ongoing since March this year."
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