Secured lender Spring Finance says it will now lend up to £100,000 at 70 per cent LTV and accept up to six months of current mortgage arrears.
The firm says it works closely with brokers to help them complete more business and the new enhancements are the results of this relationship.
Spring Finance head of new business Zena Campbell says: “Spring are not in the habit of second guessing what the market needs.
“The new loans will benefit borrowers needing more than the 65 per cent LTV we previously offered.”
Broker Promise Solutions has praised the new criteria as a major breakthrough for customers with an adverse credit history.
Promise managing director Steve Walker says a £50,000 loan from Spring Finance at 70 per cent LTV could now save borrowers £160 per month in repayments over 15 years – a saving of over £28,000 over the term of the loan.
He says: “The secured loan industry has moved significantly to help credit impaired borrowers, however there are mnay borrowers who cannot take advantages of these terms and need a solution right now.”
“Spring’s key change is fantastic- as a result of these changes borrowers in the 65-70 per cent LTV bracket can borrow at much lower rates.”