Mortgage switching website launches
A mortgage switching platform, which alerts users the moment it pays to switch to another mortgage, has launched.
Users of Dashly input their current mortgage deal and the tool constantly scans the market for better options, taking early repayment fees into account, and sends an alert when one becomes available.
The site automatically updates the user’s mortgage balance, remaining term, loan to value and property valuation on a monthly basis.
Alerts sent to users constitute fully automated advice.
A homeowner can then take out a mortgage through Dashly, either directly or with the help of one of the site’s in-house brokers.
Shaking-up the comparison site market
The tool is currently in the Financial Conduct Authority’s sandbox – which is used by start-ups to test new models in a live environment.
Under the scheme, the amount of people that can be signed-up is limited to 500 a week.
Dashly also tracks home insurance and utilities, hoping to shake-up the comparison site market.
Founder Ross Boyd said: “For us the real problem is helping people to save money on their mortgage when they are not looking and without them having to lift a finger.
“That’s what solves the real problem, which is consumer inertia.
“Dashly only needs setting up once but it will continue to serve homeowners for the rest of their lives.
“This is bringing genuine innovation to the industry, solving mortgage apathy and finally putting the consumer in control by replacing active comparison with infinitely more powerful passive comparison.
“Why compare the market if the market can compare you?”
Last week Citizens Advice lodged a ‘super-complaint’ with the Competition and Markets Authority (CMA) asserting that customers who stay loyal to financial providers, including mortgage lenders, are out of pocket by more than £4bn a year.