Interest only policy improvements
From Friday 24 February, we've improved our policy where any part of the mortgage is on interest only:
- Maximum age increased so the mortgage term can now go up to the oldest applicant's 70th birthday (previously 65th)
- Minimum gross income removed (previously £50,000 for single or £70,000 for joint applicants)
Where any loan part is on interest only, our standard income multiples will apply, unless the combined gross income is less than £100,000, in which case we'll lend up to 4.45 times income.
Please use our affordability calculator to find out how much your clients may be able to borrow.
Pipeline rules for this change
All full mortgage applications (FMAs) already submitted through Introducer Internet by close of business on Thursday 23 February will continue to be progressed using our existing lending criteria.
Any cases submitted from Friday 24 February, or where a material change is made to an FMA submitted before close of business on Thursday 23 February, will be assessed using our new policy.Back