David Sheppard, managing director of Perception Finance recently wrote comments in Mortgage Solutionsbemoaning lender service and said that service levels had got worse “with a lot of lenders”. While mostly referring to mainstream lenders is does raise the question of whether it is ever justifiable for lenders to provide bad service. After all, more than anything else lenders are in the service business.
This is even more the case in bridging and short-term lending where there is even less excuse for bad service. Bridging is all about speed, individual underwriting and personal service, so a delay of any sort here can jeopardise a whole case.
There has been something of a price war in the bridging market since the start of the year, while mainstream lenders have been scrapping over rates for a number of years now.
However, while everyone wants cheaper rates, it is almost irrelevant how low rates go if the service is not there to back it up. Ultimately, as a lender, if you are not providing the level of service that brokers and borrowers need, then you’re not doing your job.