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Coventry announces rate changes - and gives 48 hours' notice

ended 17. July 2023

Coventry for Intermediaries has just announced: “In line with our commitment to give you two days’ notice of product closures, we will be closing products at 8pm Tuesday 18 July. We will be launching new products at 8am Wednesday 19 July.” Changes in screengrab, below. UK newswire, Newspage, asked brokers for their views.

6 responses from the Newspage community

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Editor
Stephen Perkins
Managing Director at Yellow Brick Mortgages
Coventry Building Society continues to show itself as the shining light of mortgage lenders, giving 48 hours' notice of pending product changes, allowing brokers to manage clients' expectations and ensuring rates are secured. All whilst other lenders cannot commit to even 24 hours' notice, with many withdrawing rates with little to no notice. Coventry: take a bow.
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Samuel Mather-Holgate
Independent Financial Adviser at Mather and Murray Financial
It’s like they know something's coming. Withdrawing higher loan-to-value products indicates the uncertainty Coventry is feeling in the current climate. This might be followed by other lenders, especially if the next inflation print doesn’t drop substantially.
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Jamie Alexander
Mortgage Director at Alexander Southwell Mortgages
Coventry Building Society remains a beacon among mortgage lenders, consistently demonstrating its commitment to transparency and customer service. By providing a generous 48 hours' notice for upcoming product changes, Coventry allows brokers to effectively communicate with clients, set appropriate expectations, and secure favourable rates. In stark contrast, numerous other lenders struggle to offer even six hours' notice.
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Russell Maggs
Mortgage & Protection Adviser at Maggs Financial Services
More mortgage lenders would do well to align themselves to the 48-hour product promise offered by lenders like Coventry Building Society. How will some continue to justify limited notice periods in line with Consumer Duty?
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Gareth Davies
Director at South Coast Mortgage Services
Well that’s one way to start the new working week. Rate increase emails at 7:46am on a Monday morning.
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Paul Welch
Founder and CEO at Largemortgageloans.com
A worrying sign of what's to come is the notice of product withdrawals from some lenders, indicating that they're bracing for impact on Wednesday when inflation data is announced. If core inflation figures continue their upward trend, money markets will react, driving up swap rates.

What does this mean for homeowners? Another surge in fixed-rate mortgages, potentially spiking into the 7.5% realm. Money markets perceive the UK economy as volatile, and until we tame inflation, mortgage borrowers will continue to bear the brunt of this financial storm.

Now more than ever, it's vital to stay informed and prepared. Speak to a mortgage broker, check in with your mortgage lender, understand where you stand, and consider your options.