GMAC-RFC has cut rates on its non-conforming range in the same week as the Council of Mortgage Lenders ranked the outfit 14th in the UK lender market by gross mortgage lending.
The General Motors-owned lender has cut rates in 21 areas, including an extension of its 1.25% discount to August 1 2003 on all options, taking the starting rate for GMAC's non-conforming range to 4.68%.
Gina Collman, head of corporate communications at GMAC-RFC, says: “Our pricing system is of benefit to both intermediaries and customers alike. Products can be tailored to suit the individual's circumstances and needs, which means that customers don't end up paying a rate which reflects problems they don't have.”
“When you add in the 1.25% discount which applied across the whole range, we're demonstrating our determination to remain the UK's number one sub-prime lender.”
GMAC has also launched a 5.29% capped rate to May 1 2005, as part of its mainstream range with an initial pay rate of 4.95%. The product tracks Bank Base Rate +0.95%. Should rates rise above 5.29%, customers will not pay any more than this during the capped period.
Collman adds: “Linking our rate to Bank Base means that it follows an industry standard rather than an arbitrary rate. Our three year capped rate is completely transparent in its set-up so clients will have advantage of lower rates plus the added benefit of a no redemption tail.”