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Halifax gets tough on loan deposits

Halifax will penalise all borrowers who fail to stump up 25% deposits from today.

The UK’s biggest lender will add 0.14% to the product rate of borrowers taking out deals above 75% LTV.

But the lender will also reward cli-ents who put down more than 25% deposits by slashing their product rates by 0.1%.

Halifax has also unveiled a range of products for first-time buyers. Available from today, it includes a 5.69% five-year fixed rate deal at 90% LTV.

The lender has also adjusted its LTV bands. Products were previously categorised in two bands – 0% to 90% and 90% to 97%. From today this will change to three bands – 0% to 75%, 75% to 90% and 90% to 95%, so the minimum deposit required has risen from 3% to 5%.

The penalties and LTV changes also apply to Intelligent Finance and Bank of Scotland deals.

David Hollingworth, mortgage specialist at London & Country, says: “There are two ways to look at it. Sub-75% rates have been cut and that’s a good thing and should be applauded.

“But those with smaller deposits will end up paying higher prices as all lenders are looking for low-risk borrowers nowadays.”


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Global benefits predictions for 2015 from Jelf International

According to Doug Rice, managing director of international services, in 2015, managing their international duty of care will become an increasing focus for UK-based overseas organisations in both managing their short- and longer-term challenges. As a result, strong independent advice and innovative technological solutions will become more important than ever in managing their global benefits.


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