Godiva has promised its products will never have overhanging early repayment charges (ERCs) and it will not differentiate between customers, whether it is new or remortgage business or the client has approached them through a branch or mortgage intermediary.
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The lender has also stated that it will give brokers at least 48 hours notice before withdrawing products and will never cross-sell to clients introduced by intermediaries.
Colin Franklin, managing director of Godiva Mortgages, commented: “Over the last few weeks, we have talked to our intermediary contacts around the country about Godiva Mortgages and we are delighted to have received extremely positive feedback. In particular, the launch of our pledges has been praised for the fairness and transparency they offer to intermediaries and their clients and only demonstrates our commitment to this specialist sector even further.”
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Godiva Mortgages will not exist as a subsidiary of the society but will instead sell specialist products, while prime products will be marketed under the Coventry Building Society name. However, it will securitise the mortgages originated by Godiva Mortgages.
Products available at the launch include a 125 per cent MOREgage product with no booking, arrangement or valuation fees and no higher lending charge and a near-prime two-year fix at 5.65 per cent.
Jason Richardson, director of YooToo Financial Services, commented: “To have no overhanging ERCs is a good selling point as a lot of non-conforming lenders have them and as long as it is paying procuration fees on remortgage business then that’s a good point to make too. However, I would expect it not to cross-sell to clients I introduce to them and I would hope it would give us at least 48 hours when withdrawing products anyway.”
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