Lloyds TSB offers 95 percent mortgage with a catch
May 21, 2009
The mortgages media is full of news about the latest offering from Lloyds TSB as the first major mortgage lender to venture once again into the 95 percent mortgage market, but is it all just a clever ruse?
The new mortgage product is called ‘Lend a Hand’, which is a lovely, warm and friendly product name. The marketing hype is all about how Lloyds TSB is helping first time buyers into the marketplace by allowing them to place just a 5 per cent deposit. The interest rate is fairly attractive at just 4.39 percent and the mortgage is fixed for three years, so all sounds fine and dandy. But, there is a catch.
The catch is Read more
How often is the CeMAP training syllabus updated?
May 20, 2009
We wrote last week about ensuring that your CeMAP pass papers were up to date when preparing for CeMAP exam, as it’s important when undertaking your CeMAP training that you’re working off the most up to date source. There’s little advantage to working from out of date pass papers that were acquired from sources such as eBay if the information contained in the papers is inaccurate or out of date, as when you come to sit your CeMAP exam you’ll find that the information you have been working with no longer applies.
With this in mind it’s important to know just how often the CeMAP syllabus is Read more
How much could an offset mortgage save me?
May 19, 2009
According to the results of a new survey from First Direct, an average family with a mortgage of £100,000 could use an offset mortgage to save on average £18,000.
A spokesperson for First Direct stated:
“More and more savvy savers are starting to see the potential of offset mortgages, helping them make the most of their savings pot, and forcing their money to work much harder.”
The way an offset mortgage works is your savings and balance of your accounts are calculated on a daily or monthly basis and counted against your mortgage so you only pay interest on the remaining balance. This means that instead of keeping your savings in one account earning a little interest that you barely notice and will possibly spend, instead that figure is balanced against your mortgage so you save money on the mortgage instead. With interest rates paid on savings at an all time low, for many people this is the best use of their savings right now.
Figures show that around Read more
Is the West Bromwich Building Society to be sold?
May 18, 2009
Today, rumours are running rife that the FSA is seeking a buyer for West Bromwich Building Society. The 160 year old mortgage lender is denying any knowledge of any talks between the FSA and potential buyers; West Bromwich has over 600,000 members and around £10 billion of assets.
Earlier this year, Dunfermline Building Society was sold because it had accumulated bad debts and losses on its commercial and sub prime lending and it is feared that West Bromwich Building Society may Read more
Are your CeMAP past papers up to date?
May 17, 2009
When preparing for the CeMAP exams, many students like and need to practice on past paper questions. During quality CeMAP training, there should be plenty of opportunity for you to practice the exam questions and to learn the techniques but do be careful when using past exam papers especially those bought from others who took their CeMAP exams some time before you or purchased from the likes of eBAY.
The FSA updates its rules and regulations on an ongoing basis as many will know from the recent high-profile stories in the media about how the FSA may ban self certification mortgages or limit the loan to income ratios, as well as the usual changes in tax and updates on new mortgage products.
It would not make sense to alter the CeMAP syllabus Read more
CeMAP 1 exam format
May 16, 2009
The CeMAP 1 exam is often the one that people choose to take first, although it is arguably for most people the most difficult of the three exams. This is generally considered to be because the exam covers all sorts of areas within the financial industry, such as pensions and tax, as well as mortgages.
Those taking CeMAP training are usually most interested in mortgages and so Read more
Mixed interest rate changes in April
May 15, 2009
Each month we discuss what is happening in the changes in mortgage interest rates and products, to help keep trainee and newly qualified mortgage advisors abreast of what is happening on a broad spectrum.
The interest rate changes in April are rather mixed. In general, the Bank of England figures released this week show that fixed rate mortgages showed an increase in interest rates, reflecting the fact that Read more
Who can benefit from CeMAP Training?
May 14, 2009
CeMAP training isn’t just relevant for people aiming to become mortgage advisors, although that is of course what it’s best known for, being the certificate in mortgage advice and practice. You may have no interest at all in becoming a mortgage advisor, yet still find CeMAP training very relevant to you and your goals.
A growing profession in the UK in the current climate is that of the landlord. Many homeowners are finding that they can’t afford to sell their homes when they move, so are opting to rent them out instead. As property prices are very low and there is a surplus of people looking for rental accommodation, people are finding that owning and renting property is a great way to earn a living. For this reason, knowing how Read more
The end of self-certification mortgages?
May 13, 2009
At the height of the housing boom, self certification mortgages accounted for around 40 per cent of all mortgages. This week, the mortgage industry regulator the Financial Services Authority (FSA) admitted it may have made a mistake in allowing the growth in this mortgage type.
The media has labelled the self certification mortgage the ‘liars’ mortgage, as this sort of mortgage required no proof of earnings. The self cert mortgage was originally designed for business owners such as the self employed or freelancers whose income was irregular and difficult to prove. However Read more
Should I study CeFA online from home?
May 12, 2009
When it comes to studying for the CeFA qualification, as many people want to be able to study online from home as those who want to take a full time CeFA training course. As with most things, there are pros and cons to each method of study but with the advent of the internet, studying online is becoming more and more popular as people become more familiar with computers.
Whether or not you should study CeFA online depends on a few factors and we hope the below pointers will help people come to an informed decision:
- Motivation: a good CeFA online training program will give you access for up to a year but there is no reason why a CeFA distance learning course should take anywhere near that long. The average home study user takes 2-3 months to complete an online course if they are motivated and have the time, but are you motivated enough and do you have the time to set aside in order to study regularly?
- Course sample: you should Read more
