Precise Mortgages has launched an “almost prime” range to replace its existing prime range of products.
The almost prime range will sit alongside the lender’s near prime range and rates start at 2.64 per cent at 75 per cent loan-to-value. The rate a borrower receives is based on their credit score.
The 85 per cent LTV set of products start from 3.79 per cent and are only available through selected packagers. Arrangement fees start from £995 and there are no up-front booking fees.
Borrowers can qualify for the almost prime range as long as they have had no county court judgements or defaults in the past 24 months and no more than one missed payment over the same time period.
To qualify for Precise’s near prime range need to have had no more than two defaults and one CCJ in the past 24 months and no more than three missed payments in the past 36 months.
Previously, Precise had six tiers of adverse credit qualification criteria, which will be reduced to two with the introduction of the almost prime range, with the other being the near prime range.
Precise managing director Alan Cleary says: “We hope that these improvements alongside the criteria changes we will be announcing next week will be well received by brokers and customers. It is our plan to increase volumes over the coming months as we gain more confidence about the improving prospects of the UK housing market.”
SimplyBiz Mortgages chief executive Martin Reynolds says: “Precise Mortgages is making it even easier to place customers who are underserved by high street lenders. The criteria changes will provide greater clarity whilst the excellent rates and different product options give customers even more choice. It is good to see real change & innovation coming back into the market.”