Metro Bank has increased its rate switching procuration fee by 50% meaning brokers will benefit from a procuration fee of 0.3%, up from 0.2%.
In addition to the increased procuration fee, brokers benefit from the bank’s online rate switching portal that provides quick and easy-access to the best rates available, along with detailed product information.
Customers can also choose to switch up to three months early without incurring an early repayment charge, as well as enjoying no product fee on residential loans under £2m.
Anthony Rose, owner and director of LDNfinance, said: “It is fantastic news that Metro has recognised the important work brokers are doing to assist with their customer retention by increasing their retention proc fees.
“The remortgage market has changed dramatically in the last couple of years with rate switches increasingly becoming the best option for a wide range of clients.
“Hopefully this will be the start of a general increase in proc fees from other lenders to fairly reward the efforts of brokers.”
Ben Thompson, managing director at Mortgage Advice Bureau, said: “Aside from a handful of lenders – such as Metro Bank – it is only recently that we have begun to see switching initiatives being given the attention they deserve.
“The long-held view that client retention or product transfers represent a mere switch-flick has been widely replaced by brokers now using the catalyst of a deal expiry to fully review their clients’ circumstances, ensuring they are optimally set and sufficiently protected for future years.
“Metro Bank’s further strengthening of their switching proposition will I’m sure, be well received by intermediaries across the market.”
Charles Morley, director of mortgage distribution at Metro Bank, added: “Over the years we’ve listened carefully to our broker community and translated their feedback into direct action, enabling us to create an unparalleled broker and customer experience.
“Delivering quickly and efficiently to the market has always been high on our agenda and I’m delighted that just a few months after expanding into Scotland following broker feedback, we’re once again showing brokers that we have them at the forefront of our thinking.”