Shawbrook implements fee changes for re-finance and product switching business
This forms part of a campaign from the Bank to listen to requests from business partners concerning ongoing improvement; with this in mind, Shawbrook has implemented the following enhancements for its Broker Partners.
Reduced cost of re-financing for customers; previously, if a customer wished to refinance part way through their term onto a different product, move from variable to a fixed rate, or access additional borrowing, there was an associated arrangement fee of 1.95% for STL business and 1.50% for term business.
The Commercial Mortgages team decided that a flat rate fee of £895 (regardless of loan size or product) is a much more positive outcome that yields significant savings for the customer.
Switching cost removed for customers; in addition to the development across re-finance business, Shawbrook is also pleased to announce that should the customer require a product switch at the end of their mortgage term, there will be no implementation charge.
The historic charge had been 0.95% of the loan amount and the fact that this has been removed ensures another significant saving, with feedback suggesting that this fee was a deterrent for customers wishing to retain funding with the Bank; as such, Shawbrook has reacted as quickly as possible.
Karen Bennett, Sales and Marketing Director of Commercial Mortgages at Shawbrook Bank commented:
“This change is part of a focus on customer outcomes that we are determined to embed within the culture at Shawbrook. These changes and the ongoing improvement of our proposition is evidence of the Bank’s commitment to achieving this goal.
“Naturally, we expect that these fee changes will be warmly welcomed by our brokers and their clients, with the re-structure resulting in potentially significant savings.”