Last week, the FSA’s MMR paper proposed banning self-cert mortgages. Platform is one of the last lenders operating in this market and will withdraw all of its self-cert products by the end of the week.
The lender says it intends to develop a new product for self-employed people which will meet the FSA’s new guidelines.
Platform managing director David Tweedy says: “The FSA Mortgage Market review paper has shown that continuing to offer self certification mortgages in its current format is unfeasible and after careful deliberation of the paper, Platform has now taken the decision to withdraw from the self certification market.
“We understand the FSA’s concerns around income verification and fully support its aims to improve transparency in the industry. However, we continue to believe that the industry must recognise that self employed people can have different circumstances and may not always be able to provide the normal proof of income documentation required.
“As a lender which prides itself on financial inclusion Platform remains committed to supporting self employed people and will now work with the sector with a view to developing a new product that meets the FSA’s guidelines.
”All our existing self certification customers will not be affected by our withdrawal from the market, on November 6, and their accounts will continue to run as normal.”
Platform also operates in the mainstream mortgage market and offers fixed and tracker rate mortgages to customers via intermediaries. Specialist lending represents less than 20 per cent of its business.