The changes being made by Mortgages plc, include the following:
* Loan-to-value (LTV's) on its Unlimited range are being reduced from 80 per cent to 75 per cent
* LTV's on its Heavy range are being reduced from 85 per cent to 80 per cent
* Sub-prime buy to let applications are being limited to Near Prime Plus, Near Prime, Super Light and Light
* Borrowers in arrears with a non-conforming lender will only be accepted in future on Near Prime and Super Light
Ian Whittaker, marketing director of Mortgages plc, explains: "The continued volatility of the global capital markets has led a number of specialist lenders to either tighten their lending criteria or withdraw products from the mortgage market entirely. Mortgages plc continues to be committed to the sub-prime mortgage market and is not withdrawing any products, but we are making adjustments to lending criteria to limit our exposure to higher risk categories of business, which we believe is prudent given current market circumstances."
