Coventry Building Society has restructured its intermediary arm following the merger with Stroud & Swindon Building Society in a move that sees the In the Loop Mortgages brand scrapped for new business.
The building society will now accept its intermediary mortgage business via Coventry Intermediaries’ two brands – Coventry Building Society and Godiva Mortgages, from September 1.
Stroud & Swindon’s intermediary-only arm, In The Loop Mortgages, will no longer accept new business. However, Coventry Building Society head of sales Darin Landon says it will continue to service existing customers, with In The Loop staff being retained for that purpose.
He says: “From September 1, we will use the existing resource we have within Coventry Intermediaries for new business. On September 1, we will continue to use the people based in In The Loop to service the business.”
All of the Stroud & Swindon board are to leave the business, except customer service director Simon Whitwham, who will stay to oversee the integration of the two businesses. The rest of the Stroud & Swindon board will leave the business on August 31.
Stroud & Swindon sales and marketing director Linda Will, who is leaving, says the move to merge the two brands was inevitable given Coventry’s stance on dual pricing.
She says: “One of the things that Coventry have valued is the idea of not having differential pricing, even within different companies. Godiva, for instance, has always offered the same prices that Coventry has offered.
“If you were going to have different pricings for different channels, then you might have retained separate brands. But given that is not how they like to do things, there is probably little sense in the long term to do business under the different brands.”
Coventry has also launched a new range of products alongside today’s announcement. They include a 2.75 per cent residential mortgage at 50 per cent loan-to-value through Godiva and an 5.85 per cent two-year fixed-rate mortgage with a loan-to-value of 85 per cent through Coventry Building Society.
Stroud & Swindon announced it had agreed to merge with Coventry Building Society in March of this year.