John Charcol: first direct announcement

Drew Wotherspoon of John Charcol comments on First Direct’s decision to stop offering any of its mortgages to people who are not already customers: “In a market that is moving with alarming pace, it is little surprise that First Direct has made this decision. However, what is surprising is that they had a product that has been so market leading for so long whilst others have turned their back on attracting new borrowers. The pricing has been more or less 0.5% better than its nearest competitor, some might say unnecessarily. Put simply, borrowers who have wanted a 2 year fixed rate recently will only have ended up at First Direct’s door, so unfortunately this decision was always on the cards. People currently looking for a mortgage or remortgage should seek independent advice to help them make their way through the quagmire that is the mortgage market, as with products changing and being withdrawn on an almost daily basis, it needs an expert to work out what the best deals out there are.”