View more on these topics

Marketplace flexi tracker loses MIG

The Marketplace, the IFA division of Bradford and Bingley, has introduced a 2-year discounted rate flexible base rate tracker.

The mortgage is available to all borrowers for loans of up to 95 per cent of valuation and has a 2.5 discount from the standard variable rate for the first two years, giving a current payable rate of 3.25 per cent. After this period, it will revert to a tracker rate of 1.75 per cent above the base rate for the rest of the mortgage term.

The mortgage is fully flexible in that it allows overpayments, underpayments, payment holidays, lump sum withdrawals and the daily calculation of interest. Another strong feature is that no mortgage indemnity guarantee (MIG) is payable even on loans of 95 per cent of valuation.

However, this mortgage has an early redemption penalty during the discount period. Borrowers who pay off the mortgage during this time must pay three months interest and this is something that might put borrowers off as many are now trying to get the lowest rate they can without a tie-in.

According to Moneyfacts on November 14, 2001, this mortgage has the most competitive rate for deals of this type. Yorkshire Building Society is the closet competitor with a 0.25 per cent discount for the first two years. This gives a current payable rate of 3.75 per cent.

Yorkshire Building Society allows borrowers to overpay, underpay, take payment holidays and interest is calculated daily. But lump sum withdrawals are not allowed and a MIG is charged on loans above 90 per cent of valuation. However, its lack of a redemption penalty is favourable compared to The Marketplace&#39s product.


Waters&#39 firm ideas on risk categories

Key to the new risk-based regulatory approach at the FSA is deciding how much attention individual firms need. Responsible for deciding what category of risk authorised firms fall into at the regulator is Dan Waters.As director of risk assessment under managing director Carol Sergeant, Waters is res-ponsible for implementing this new strategy.He has held this […]

Pensioners pressing Parliament to bring in free personal care

The National Pensioners Convention is writing to Health Secretary Alan Milburn asking for a meeting on free personal care in England.An NPC rally last week in Westminster saw thousands of pensioners put their case. NPC president Rodney Bickerstaffe was joined by speakers including Barbara Castle, independent MP Dr Richard Taylor and agony aunt Claire Rayner […]

CML calls on FSA to delay statutory regulation date

The Council of Mortgage Lenders is urging the FSA to postpone the implementation date for statutory regulation amid fears that compliance technology cannot be developed in time.CML senior policy adviser Kate Main says the regulator must delay N3 – scheduled for next August – because she believes lenders cannot put compliant IT solutions in place […]

Medal plan to grade IFAs by profit potential

IFAs are set to be ranked according to their profitability in terms of gold, silver or bronze by providers, claims Cap Gemini Ernst & Young.The move is likely to result in tiered levels of service, with life offices looking at customer relationship management software that will see more profitable IFAs receive a higher grade of […]

Time for a new approach to asset allocation

Trevor Greetham, RLAM’s head of multi asset, introduces the recentlylaunched RL GMAPs. Asset allocation has become an increasingly difficult challenge for investors and advisers in the years since the financial crisis. Sometimes violent price swings in stock and commodity markets coupled with the collapse in the rate of interest on bonds have made it harder […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm