The following changes become effective from Monday 3 September:
• Maximum loan-to-value (LTV) lending limited to 90 per cent LTV
• Self-cert applications are being limited to 85 per cent LTV for employed applicants. However, self-employed self-cert applications will still be accepted to 90 per cent LTV
• Applications on new build properties are being limited to 85 per cent LTV
• Interest rates are being increased on all two-year discount and all buy-to-let products
• All one-year discounted rates (with overhanging ERC) and Mortgage plc’s credit repair product will be withdrawn
• All pipeline applications on existing products must be submitted by Wednesday 5 September.
Ian Whittaker, marketing director of Mortgages plc, said: "We believe these changes to our criteria and rates are prudent given the continuing volatility in the capital markets. We will continue to monitor the market carefully over the course of the coming weeks.”
