The changes are centred round making the criteria more flexible for self-employed applicants and those who have had past credit issues.
- Self-employed earning up to 30,000 net only need to prove a minimum of 50% of income through last two bank statements if they are unable to prove their full income
- LTV up to 60% for loans up to £40,000 with four missed mortgage payments in the last 12 months
- Identical criteria now for applicants with prime or sub-prime mortgages
- CCJs under £5,000 and over 12 months old are ignored for affordability calculation
- Up to six months mortgage arrears in the last twelve allowed up to 55%, if last two payments made
- More flexible affordability calculation – only 1.5% of credit card, store cards or mail order balances taken into account
Marie Grundy, operations director at V Loans, says: “We are delighted to have the chance to help launch the latest Prestige lending initiative. Prestige Finance has been a long time supporter of the broker community but more importantly Prestige is one of the few lenders which has been consistent in its support in the difficult days we have all experienced since the market contracted so severely.
“The new criteria enhancements are just what the market requires to offer clients a source of funding that has been missing for too long.”
Simon Stern, managing director at Prestige Finance, says: “We have worked with V Loans over the past few years and wanted to bring our new product criteria to market through partners whom we trust.
“Prestige has always looked for ways to bring greater flexibility to the secured loan market and these products reflect our ability to meet the aspirations of our partners and their customers.”