New capital raising secured loan product launched today. Aimed at borrowers who fall just outside many lenders criteria
Here’s a BRAND NEW product which hit the market on 14th April. It’s really handy for brokers and increases opportunities to place second charge cases for borrowers who fall just outside many lenders criteria. And when it comes to a capital raising secured loan, this lender claims to lead the market.
It may not be a core product for you but it’s really handy for brokers or introducers. It will increase your opportunities to place cases for capital raising borrowers who fall just outside many lenders criteria.
This comes from a Prime lender which will now look at your more challenging capital raising cases
Highlights of these capital raising second charge loans include:
Minimum time Self-Employed 12 months
100% of variable income allowable
Day Rate Contractors are now acceptable with a simplified income calculation
DMP’s will not need to be cleared as a condition of the Loan
Satisfied IVA’s acceptable after 12 months.
Rates are offered based on credit score
Maximum LTV of 80%
Loans from £10,000 – £500,000
Variety of credit scenarios accepted subject to score and the following:
Any individual CCJ’s or Defaults, with an amount of £10,000 or more must be referred for approval
If an applicant’s credit performance had been deteriorating over the last 3 months, we need to refer for approval.
An explanation must be provided in all instances, confirming why the credit was affected and why it has now stabilised
Loan purposes considered include:
To repay a family member
To purchase a share in the freehold
To extend the lease of the subject property
Funding the purchase of a residential investment property
Income tax repayments
Gift to family member
Maximum age at the end of the term:
If using the applicant’s income for affordability – max age is 70
If using pensions or if case would pass Lending into retirement rules – max age is 80
So when a capital raising remortgage doesn’t quite fit the bill this might be one of the options to consider
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