View more on these topics

Discount loan to aid adverse-credit borrowers

Non-conforming lender Mortgages plc is offeringa two-step discount loan in conjunction with Mortgage 2000 for borrowers with irregular credit histories.

The product comes with a 1 per cent discount until next December, transferring to a 0.5 per cent discount to December 2002, with an initial payable rate of 9.49 per cent.

It is available to both employed and self-employed borrowers with any number of county court judgments or arrears although bankruptcy is not allowed within the previous six months.

Up to 80 per cent loan to value can be borrowed at income multiples of 3.5 single income or three times joint income.

The company is offering free mortgage payment protection insurance for six months.

Minimum loan on the scheme is £50,000 and maximum £500,000.

Mortgage plc sales and marketing director Paul Howard says: “We realise that most borrowers are unhappy to be viewed as non-status or sub-prime. Therefore, this product will enable borrowers to benefit from a discount product over the coming two years, during which time they can begin to repair their credit record.”

Mortgage 2000 sales director Sean Hornsby says: “Working closely with Mortgages plc, we have been able to produce an adverse-credit product with reduced redemption overhang which we believe to be very valuable to nonconforming borrowers.”

Recommended

The quiet revolution

Access to mortgages has undergone a quiet revolution recently. It may not have grabbed the popular headlines like endowments and has barely been noticed by those who report on mortgages (outside the specialist media) and mortgage customers but it is no less significant for that.The centre ground of mortgage lending has been squeezed. This is […]

Universities win actuary research cash

Four British universities are to benefit from £52,000 of research funding from the Faculty and Institute of Actuaries.City University, Imperial College, Heriot Watt and Glasgow Caledonian universities all received grants of between £5,000 and £11,500.A further award was made to the National Insurance Academy of India – the first time that an award has sponsored […]

Halifax slash rates for existing borrowers

Competition in the mortgage sector has intensified with Halifax offering over 100,000 of its borrowers a penalty-free switch to a lower loan rate. Borrowers tied into the 7.74 per cent standard loan rate will now be able to change to a rate of 6.99 per cent without incurring a redemption charge, saving customers around £40 […]

Neville James – Secure Capital Growth Fund

Tuesday, 24th October 2000.Type: Oeic.Aim: Growth by investing in Teps and zero dividend shares.Minimum investment: £5,000.Place of registration: Isle of Man.Investment split: Initially 50 per cent in Teps, 50 per cent in zero dividend shares.Isa link: No.Charges: Annual &#45 A shares 1.225 per cent, B shares 0.975 per cent.Redemption charge 0.5 per cent of dealing […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment