The survey of 2,000 people, carried out by the Alliance &
Leicester, found 6% naming the internet and 6% naming the telephone
their preferred method of applying for a mortgage, and this figure
increases to a combined total of 23% among those who are
remortgaging or buying their next home.
First time buyers prefer face-to-face meetings, with only 9%
looking to apply for their mortgage via the telephone or
internet.
Consumers' appetites for shopping for personal finance products
over the internet has grown markedly over recent years, says
Alliance & Leicester, notably for current accounts, credit
cards, share dealing and ISAs.
Of those looking to apply for a mortgage over the internet, the
key reasons for their preference were convenience (52%),
time-saving (33%) simplicity (23%) and the belief that cheaper
deals can be secured that way (18%).
Those who preferred the telephone said this was because it is
more convenient (42%), saves time (31%) and is simpler (16%).
However, only 2% thought the telephone would enable them to get a
better deal.
Only 3% of those who prefer applying for a home loan
face-to-face say it is because they don't like using the telephone,
with the same proportion not using the internet because they don't
trust it, indicating that it is not a fear of technology or
security concerns that are stopping some people exploiting direct
channels.
