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Mortgage offers will be sent to iPods

Edeus says it will be able to offer mortgages on brokers’ iPods within two years as the technology revolution gripping the mortgage market continues.

The firm is also predicting that underwriters will even- tually die away together with call centres and the need for signatures on a mortgage application.

Edeus managing director Alan Cleary urged brokers to look out for lenders which are embracing technology that is designed to make intermediaries’ life easier and to stick with those companies.

In a thinly veiled attack on the Woolwich’s lifetime tracker mortgage, he also claimed that some lenders are sacrificing service in favour of “silly pricing”.

Cleary said: “We are looking at iPods but that is a couple of years away. It will be possible to use iPods to get to an offer. Text messages are the next thing. We also have barristers looking at how we can lend money without needing a signature. In six to12 months, customers will not have to sign a declaration.

“You will not need underwriters in the traditional sense as it can be done by credit-scoring which can be more consistent. At BM, our loss ratio on that basis was better than when underwritten by humans.

“Brokers should look at which lenders are investing in technology as quickness will become more important than price. My kids wonder how any broker can fill out an application on paper. Some lenders with shocking service have rates at 0.19 per cent above base for life, which is silly pricing.”

GMAC senior manager for corporate accounts Peter Izard says: “Using your iPod to get an offer could happen in a year. Beyond that, your wildest dreams could be surpassed with technology.”

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