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Credit-impaired loans from Verso

Verso is rolling out two mortgages targeted at borrowers with poor credit ratings as part of its drive into the IFA market.

Launched by Britannia Building Society with £6m investment, Verso is dedicated to the IFA market.

Its Rent and Buy product lets borrowers move house and rent out their old property.

Borrowers repurchasing or remortgaging can use the Higher Multiple Mortgage. Income multiples are 3.75 times principal income plus second or 3.25 times joint income for employed borrowers. For the self-employed, multiples are 3.5 times principal income plus second or three times joint.

The loans are at Verso&#39s standard variable rate of 8.68 per cent. Managing director Colin Snowden says: "These mortgages have been designed to meet the needs of borrowers who find it frustrating trying to satisfy their requirements via high-street lenders."

Rent to Buy has a maximum loan to value of 95 per cent. Minimum loan is £25,000 and maximum £150,000.

The Higher Multiple Mortgage has LTVs of 85 per cent for the employed and 75 per cent for the self-employed. Minimum loan is £25,000 and maximum £200,000.

There is a £299 completion fee. The redemption penalty is one month&#39s interest for the full term. IFAs receive a £150 procuration fee.

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