Offer Clients Extra Borrowing Without Early Repayment Charge
Do your clients need to borrow a little extra? Instead of redeeming their first charge mortgage (and paying a hefty ERC), a second charge could be the answer.
Why Second Charge Mortgages Are in High Demand
The demand for second charges has skyrocketed in recent years and clients want to raise
money on their property without losing their low first charge interest rate.
The most common reasons for taking out a second charge are the following:
– Debt consolidation
– Home improvements
– New purchase
Adverse Credit? Flexible Second Charge Solutions Have You Covered
Often, clients looking to consolidate debt, will also have adverse credit.
The good news is that our lenders have flexible criteria and will accept:
– Missed secured or unsecured payments,
– Defaults and CCJs
– DMP, IVA and Bankruptcy
Criteria Highlights
Up to 85% LTV
Residential or BTL
Adverse credit accepted
Up to 6X income
Non-standard properties
Low upfront fees
AVM up to 80% LTV
No ERC products available
Top slicing on BTL
Free legals on certain products
CASE STUDY
The Challenge
A broker called us about a case, where the client was struggling with high-interest debt. The client had over £100k on credit cards, but also just renewed their first charge deal, which had a 5% ERC.
The Solution
We identified a lender with low upfront fees and a reasonable sub-8% interest rate. The client was able to convert expensive debt to a single, low cost monthly payment, which saved them thousands.
