Mortgages PLC has unveiled a retention incentive for brokers as part of the launch of a one-year credit repair product.
The offering for borrowers, which it says will be the first of its kind in the UK non-conforming market once launched next week, allows clients to remortgage after 12 months without incurring high redemption charges.
After a year, the borrower can then remortgage onto any other MPLC product with introducing intermediaries and packagers earning full proc fees. The lender says it has no current plans to extend the retention offering to other products but confirms it is investigating whether to do so.
MPLC offers a choice of a one-year fixed or tracker with rates depending on loan-to-value and status.
Sales director Pete Thomson says: “This is a genuinely innovative product which gives borrowers, for the first time, a real opportunity to clean up their credit record and transfer onto a mainstream mortgage in as little as one year.”
Sales and marketing director Peter Beaumont adds: “We are looking at retention as part of a wider initiative. This could be the start of something more but not just yet. We are well aware the broker has to give the right advice.”