RSS FeedsHalf the pie for mortgage brokers
29/04/2008
Mortgage brokers will now find that the commission that they were getting with Allied Irish Banks will now be 50 per cent less. The bank claims that increasing costs within the financial markets has impacted on the business margins.
The brokers have been used to a full percent of the mortgage deal but now will only qualify for half the amount. The changes have been reported to be in effect from end of business on Friday 25th April.
Banking within Ireland has been affected due to the turbulence in the financial industry and the impact has affected majority of the companies share status.
The Allied Irish Bank also claimed that their residential mortgage was "very solid and resilient portfolio with a very low level of arrears."
In addition, it has been made aware that other lenders have also been forced to make similar business changes for example Irish Life & Permanent’s who had to reduce the commissions paid to their mortgage brokers.