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Impaired Credit 3 Year Discount

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  • Summary Back Copy 2

    Our 3 year discount Impaired product is for borrowers who fit our impaired credit criteria up to 70% LTV for remortgages or home purchases.

    • Initial Rate, a discount of 2.10% from our SVR for 3 years

      6.49% variable

    • Followed by our Standard Variable Rate (SVR) for the rest of the term

      8.59% variable

    • The overall cost for comparison is

      8.4% APRC

    • Maximum Loan to Value

      70% including fees

    • Application Fee

      None

    • Product Fee - may be added to the loan

      £999

    • Early Repayment Charge

      Charges will apply to any lump sum or full redemption paid over 10% of the capital balance
      3% in the first year
      2% in the second year
      1%  in the third year

  • Representative Example Back Copy 2

    A mortgage of £196,024 payable over 35 years initially on a discount of 2.10% from our Standard Variable Rate, currently 8.59%, giving a pay rate of 6.49% for 3 years and then on our Standard Variable Rate, currently 8.59% with 36 payments of £1,182.94 followed by 384 monthly payments of £1,462.93.

    The total amount payable would be £605,962.96 made up of the loan amount plus interest (£408,326.96), valuation fee (£340), legal fees (£148), an exit fee (£100), a product fee (£999) and a funds transfer fee (£25).

    The overall cost for comparison is 8.4% APRC representative.

  • Further Information Back Copy 2

    Fees

    Valuation fees and solicitor fees may be payable
    Other charges may be made in respect of mortgage services
    See our fees guide for more details

    Acceptable Credit Criteria

    This product accepts our impaired credit criteria click here for details

    Early Repayment Charge (ERC)

    Early Repayment Charges as detailed below are payable on any lump sum or full redemption repaid over 10% of the capital balance.

    3% in the first year
    2% in the second year
    1% in the third year

    Overpayments

    During the early repayment charge period lump sum overpayments up to 10% of the capital balance per annum may be made without attracting an early repayment charge. Should the total of lump sum overpayments exceed 10% within this period, the excess will attract an early repayment charge.

    Once the early repayment charge period has ended overpayments can be made at any time.
    If an overpayment of £500 or more is made, we will recalculate the monthly payment the following month.

    Affordability

    You can check affordability through our calculator where we assess on affordability as an alternative to income multiples. Please note we will fully review bank statements and expenditure during the underwriting process. Click here to find out more

    Repayment

    This mortgage is available on a capital and interest repayment basis only. Payments must be made monthly by direct debit.

    Age Limits

    The minimum age is 18 for all applicants. There is no maximum age. Earned income considered up to age 75. Cases are considered on individual circumstances.

    Loan Size

    Minimum loan size £50,000.

    Maximum loan size £500,000 up to 70% LTV

    Mortgage Term

    The maximum mortgage term is 40 years dependent on individual circumstances.

    Portability

    This product is portable, meaning that if the applicant moves home they can take it with them, subject to our lending criteria at the time.

    Interest

    Interest is calculated daily on the balance outstanding and added to the account the following month.

  • Our 3 year discount Impaired product is for borrowers who fit our impaired credit criteria up to 70% LTV for remortgages or home purchases.

    • Initial Rate, a discount of 2.10% from our SVR for 3 years

      6.49% variable

    • Followed by our Standard Variable Rate (SVR) for the rest of the term

      8.59% variable

    • The overall cost for comparison is

      8.4% APRC

    • Maximum Loan to Value

      70% including fees

    • Application Fee

      None

    • Product Fee - may be added to the loan

      £999

    • Early Repayment Charge

      Charges will apply to any lump sum or full redemption paid over 10% of the capital balance
      3% in the first year
      2% in the second year
      1%  in the third year

  • A mortgage of £196,024 payable over 35 years initially on a discount of 2.10% from our Standard Variable Rate, currently 8.59%, giving a pay rate of 6.49% for 3 years and then on our Standard Variable Rate, currently 8.59% with 36 payments of £1,182.94 followed by 384 monthly payments of £1,462.93.

    The total amount payable would be £605,962.96 made up of the loan amount plus interest (£408,326.96), valuation fee (£340), legal fees (£148), an exit fee (£100), a product fee (£999) and a funds transfer fee (£25).

    The overall cost for comparison is 8.4% APRC representative.

  • Fees

    Valuation fees and solicitor fees may be payable
    Other charges may be made in respect of mortgage services
    See our fees guide for more details

    Acceptable Credit Criteria

    This product accepts our impaired credit criteria click here for details

    Early Repayment Charge (ERC)

    Early Repayment Charges as detailed below are payable on any lump sum or full redemption repaid over 10% of the capital balance.

    3% in the first year
    2% in the second year
    1% in the third year

    Overpayments

    During the early repayment charge period lump sum overpayments up to 10% of the capital balance per annum may be made without attracting an early repayment charge. Should the total of lump sum overpayments exceed 10% within this period, the excess will attract an early repayment charge.

    Once the early repayment charge period has ended overpayments can be made at any time.
    If an overpayment of £500 or more is made, we will recalculate the monthly payment the following month.

    Affordability

    You can check affordability through our calculator where we assess on affordability as an alternative to income multiples. Please note we will fully review bank statements and expenditure during the underwriting process. Click here to find out more

    Repayment

    This mortgage is available on a capital and interest repayment basis only. Payments must be made monthly by direct debit.

    Age Limits

    The minimum age is 18 for all applicants. There is no maximum age. Earned income considered up to age 75. Cases are considered on individual circumstances.

    Loan Size

    Minimum loan size £50,000.

    Maximum loan size £500,000 up to 70% LTV

    Mortgage Term

    The maximum mortgage term is 40 years dependent on individual circumstances.

    Portability

    This product is portable, meaning that if the applicant moves home they can take it with them, subject to our lending criteria at the time.

    Interest

    Interest is calculated daily on the balance outstanding and added to the account the following month.