Barclays is set to launch a Fast-Track Remortgage service on 7 September, aiming to simplify and expedite the remortgaging process for eligible borrowers. This innovative service is designed to address common frustrations experienced during remortgaging, providing a quicker alternative to traditional methods.
What is the Fast-Track Remortgage Service?
The Fast-Track Remortgage service from Barclays is a new offering aimed at making the remortgaging process faster and more straightforward. To qualify, borrowers must have up to two existing borrowers and can borrow up to 80% of their property’s value, with no additional borrowing allowed. The property must be a standard build freehold house valued at up to £2 million.
Why is This Service Important?
This service responds to research conducted by Opinium, which revealed that mortgage holders switching lenders for their most recent renewal often face difficulties. The findings indicated that 20% of switchers reported challenges compared to only 10% of those who remained with their existing lender. Additionally, only 10% of recent switchers received an offer within 24 hours, compared to 33% of those who stayed put. This highlights a significant gap in the market that Barclays aims to fill with its new service.
What This Means for Borrowers
The Fast-Track Remortgage service is particularly beneficial for borrowers who are looking to remortgage quickly and efficiently. With the potential to receive an offer within 24 hours and complete the process in as little as five days, this service offers a viable alternative to product transfers, which can often be slower and less certain. As many borrowers are motivated by lower interest rates and a more straightforward application process, this initiative could encourage more people to consider switching lenders.
How Will Brokers and Lenders Respond?
Brokers stand to benefit significantly from the Fast-Track Remortgage service, as it provides them with a streamlined process to assist their clients. Barclays’ head of intermediaries, Roland McCormack, emphasized the need for faster remortgage timescales, which can impact client choice. The service is designed to alleviate the frustrations associated with traditional remortgaging, thereby enhancing the overall client experience.
Frequently asked questions
Who can use the Fast-Track Remortgage service?
The service is available to borrowers with up to two existing borrowers, borrowing up to 80% of the property’s value, with no additional borrowing required. The property must be a standard build freehold house valued at up to £2 million.
How quickly can I complete a remortgage with this service?
Eligible borrowers can receive an offer within 24 hours and complete the remortgaging process in as little as five days, making it a significantly faster option compared to traditional remortgaging methods.