Shawbrook Bank completes a remortgage using PEXA’s digital payment system
Specialist lender Shawbrook Bank has become the first bank in the UK to begin transacting remortgage cases on fintech PEXA’s digital exchange and payment system.
Shawbrook completed its first transaction this week, with conveyancing undertaken by law firm Pure Law.
It marks PEXA’s first collaboration with a bank, as part of its aim to make same-day remortgaging a reality in specialist mortgage markets, including professional buy-to-let.
In September this year, Hinckley & Rugby Building Society was the first UK lender to complete a remortgage using PEXA’s digital exchange and payment system, which is supported by PEXA Pay, with the Bank of England acting as the settlement service provider.
PEXA confirmed that further lenders and conveyancers are due to be announced throughout 2023.
Shawbrook and Pure Law used PEXA’s new digital payment system to orchestrate financial completion directly from the lender’s account, and collaborated to lodge the application for registration with HM Land Registry, reducing the process to minutes, from days.
In Australia, more than 85% of all property completions are processed on the PEXA platform.
In the UK, PEXA recently enhanced its platform, with the delivery of a standardised mortgage deed.
James Bawa, PEXA UK CEO, said: “In what is a true tripartite relationship, we’re incredibly pleased to partner with Shawbrook Bank and Pure Law.
“Shawbrook shares our determination to leverage data and technology to deliver speed and simplicity for borrowers – and crucially – to improve tangible outcomes. Working with Shawbrook means our transformative approach will quickly benefit those borrowers in the specialist lending space.”
He added: “Pure Law brings a much-needed innovative and streamlined approach to conveyancing in the mortgage industry.
“This is all the more vital amidst the current uncertain and rapidly changing market conditions consumers are faced with. The faster and more streamlined the process is, the greater certainty and confidence offered to borrowers.”
Bawa said there “is more to come”, with plans to expand its offering to transform the sale and purchase process from 2024.
John Symns, CEO of Pure Law, said: “The speed and efficiency of the financial settlements, and the automatic lodgement of applications for registration at the Land Registry will streamline the process and lead to further standardisation across lender requirements and processes.”