Online product transfer and remortgage comparison tool created by Mojo
Online broker Mojo Mortgages has launched a product transfer and remortgage comparison tool for homeowners.
Homeowners who want to switch deals can use the tool to see the best rates their current lender is offering, and the most competitive rates from the rest of the market before calling the firm for advice.
The broker created the service to deal with a spike in demand for mortgage switching. In the first week of April, the firm received a 20 per cent increase in remortgage enquiries.
Product transfers, said Mojo, were the most convenient and certain way for borrowers close to the end of their deal to avoid going on to a standard variable rate. Getting mortgage deeds signed with a new lender and conveyancing are challenging for homeowners and borrowers while the country is in lockdown.
But the most convenient option may not be the best, added the firm.
Instead of calling their own lender to switch rates without taking advice on the most suitable option, borrowers can see all the deals available to them and book an advice slot to talk to a broker.
Richard Hayes, CEO and co-founder of Mojo Mortgages, said: “The coronavirus has led to huge financial concerns for many people and some are looking for ways they can cut their monthly outgoings. One of the biggest outgoing for a household is a mortgage payment, and whilst some may opt for a mortgage holiday, we’ve seen that more people are coming to us to get a better rate and decrease their monthly mortgage payment in order to reduce costs.
“We found that customers don’t always understand what they can do with their existing lender so may just end up taking whatever they get offered because it’s quicker and easier. While we want to encourage experiences that are quicker and easier, we also want customers to be able to make an informed decision and make the choice that’s right for them, not just the most convenient.”