Staffordshire Building Society enjoyed record new mortgage business in 2002, lending more money than in any of its previous 100 years.
The gross amount of new mortgage business completed by the society in its centenary year was £306m. This was achieved despite difficult local business conditions in both manufacturing and in the society's rural areas that are slowly recovering from the 2001 foot and mouth outbreak.
The Staffordshire achieved its volumes even though it has not followed other lenders in relaxing income multiples. The society says it has kept a “prudent policy” towards income multiples and resisted the temptation to increase the amount it lends for fear of encouraging customers to over-extend themselves.
The growth in the society's lending was partly based on the success of the move last year to calculate interest on a daily rather than annual basis for all new and existing borrowers. The society also introduced new flexible and buy-to-let mortgages as well as an online conveyancing service.
Staffordshire had at least one of its mortgages in national and regional “Best Buy” mortgage product tables every week last year.
Lyn Colloff, group secretary and marketing executive of Staffordshire Building Society, says: “The society was 100 years old in February last year and this growth in our mortgage lending shows that we are well positioned to face the next 100 years.”