Lending Criteria

Our Lending Criteria Guide

Please find below a link to our full Criteria Guide. The various sections within the contents page are hyperlinked to make it easier to find the information you are looking for. However, listed below is a quick overview of answers to our most common criteria questions.

Download Criteria Guide

• UK resident

• Minimum age: 18 years old

• Maximum age at end of mortgage term: 80 years old Interest Only or 85 years old Repayment

• Minimum loan amount: £20,000 or £50,000 for our exclusive First Time Buyer products

• Minimum term 2 years and maximum term 40 years

• Income Multiplier:

  Up to 6 x sole/joint gross income where LTV <= 80%

  Up to 6 x where sole/joint gross income is >=£40,000 and LTV >80%

  Up to 4.49 x where sole/joint gross income is <£40,000 and LTV >80%

• Self Employed Income: We will use the most recent years income but we can refer to revert to annual accounts for majority shareholders (Section 4.4 of Criteria Guide)

• Fixed and Zero Hours contracts are acceptable (Section 4.4 of Criteria Guide)

• We accept most types of income at 100% but benefit income cannot represent more than 50% of total household income

• Interest Only: Maximum loan to value on interest only or part repayment basis 80%. Interest only element capped at 65% for sale and downsize (Section 4.8 of Criteria Guide)

• Maximum age to not be classed as lending in/into retirement: 70 years old. Lending in/into retirement is not applicable where the oldest customer’s income is not required for affordability.

• Maximum loan to value when lending in retirement 70%. Interest only sale and downsize not available when lending in retirement.

• Standard maximum loan to values apply when lending into retirement on a repayment basis. Maximum loan to value when lending into retirement 80% for interest only or part and part. Interest only sale and downsize, maximum loan to value when lending into retirement 50%.( Section 2.1 of Criteria Guide)

• Free valuation on all applications up to £750,000 loan amount

• Free legal service on remortgage applications up to £750,000 loan amount

• Shared ownership and affordable housing considered for properties located within our core operating area

• Applicants with Impaired Credit History, defined as:

Credit Reference Search shows that in the last 2 years they have been 3 months or more overdue on a mortgage or loan, unless due to a Bank or Third Party error;

OR

Credit Reference Search shows that in the last 3 years they have had 1 or more CCJs (settled or unsettled) with a total value of greater than £500;

OR

Has been subject to an IVA or Bankruptcy Order which was in force at any time within the last 3 years