Intermediaries are warned that Kensington has only released a limited tranche for the exclusive.
The two-year fixed rate has no extended overhang with rates starting from 6.30 per cent per annum. The rates apply to both purchase and remortgage with no higher lending charge.
There is a 0.85 per cent broker fee with a maximum of £5,000 on low to high adverse and a 0.50 per cent broker fee with a maximum of £2,500 on very low adverse.
Early redemption charges are 7 per cent in the first year and 6 per cent in the second year and thereafter interest will be payable until the end of the month of redemption.
Sean Hornsby, managing director at Mortgage 2000, said: “Securing this deal for brokers demonstrates the distribution strength of Mortgage 2000.
Securing such a great product with competitive rates and broker fees and being able to distribute it to the marketplace directly and through a packager, thereby giving the broker the choice of how they process their cases, is a rare ability within the mortgage industry.”
James Cotton, mortgage specialist at London & Country, said: “These rates should stack reasonably well against the competition, particularly at the lighter end of the adverse credit market.
“It is also good to see a lack of overhanging penalties and higher lending charges on all the deals. We may also start to see the Cheshire Building Society competing for light adverse cases as it has just allowed brokers to access its credit repair range.”
