Borrowers can now use earned income up to age 75, with the maximum end-of-term age extended to 80
Specialist lender Pepper Money has enhanced its lending criteria, raising the maximum age for earned income and the end-of-term age limit on its second charge mortgages.
The lender will now accept earned income up to 75 years of age across all its second charge products. The maximum age at the end of the mortgage term has also been extended to 80.
The change, Pepper Money said, will allow borrowers to schedule repayments beyond the state retirement age if they can demonstrate sustainable income.
Ryan McGrath (pictured), second charge sales director at Pepper Money, said the move is part of an effort to broaden accessibility to its second charge mortgages.
“We recognise that a growing number of customers are likely to be working to an older age,” he added. “By increasing the age we’ll accept earned income, we’re enabling customers to schedule their loan repayments over a term that suits their circumstances.
“Furthermore, increasing our maximum age at the end of term will enable more customers with retirement income to satisfy their borrowing needs.”
Earlier this year, Pepper Money introduced a feature called Payout Before Consent, which allows the lender to release funds to customers while awaiting consent from the primary mortgage lender. The feature aims to expedite the second charge mortgage process and provide brokers with greater certainty in helping clients achieve their financial goals.
Pepper Money, with offerings that include residential, Right to Buy, Help to Buy, shared ownership and second charge mortgages, was named the top specialist lender by brokers in the latest edition of the Mortgage Lender Benchmark by Smart Money People.
Want to be regularly updated with mortgage news and features? Get exclusive interviews, breaking news, and industry events in your inbox – subscribe to our FREE daily newsletter. You can also follow us on Facebook, X (formerly Twitter), and LinkedIn.
