What is a direct lender?

A direct lender is a company that loans money directly to the individual borrower, without any ‘middlemen’ or brokers.

Applying directly to lenders can be risky as you don’t have a mortgage broker advising you which lenders are likely to accept you, meaning you could have to apply to several lenders who will all do a credit search, potentially impacting your credit score. You also don’t know if other lenders could offer you a better rate or other terms.