Cashback boost for those with recent financial setbacks
Pepper Money has launched a limited-edition remortgage product. The new product aims to help customers with recent adverse credit boost their cashflow through a cashback incentive.
The newly introduced product provides £750 cashback, which is paid directly to customers upon completion. Additionally, it includes a free valuation and carries a £995 completion fee, which can be incorporated into the loan.
The company noted that this remortgage product is available exclusively across Pepper 18 and Pepper 12 up to 85% loan-to-value (LTV) and Pepper 6 up to 80% LTV.
Pepper Money has shared the way it assesses applications, highlighting it assesses each without a debt-to-income ratio requirement, noting this also allows capital raising up to the maximum product LTV. The lender does not impose value or volume limits on County Court Judgements (CCJs) and defaults, nor does it require them to be satisfied. Furthermore, affordability assessments can include 100% of monthly bonuses, overtime, and commission. For self-employed applicants, Pepper Money accepts either one year’s trading history or the most recent year’s accounts.
“Our latest Specialist Lending Study found that over half (57%) of all respondents have experienced a continued decrease in their disposable income and, at Pepper Money, we understand it can be difficult to save as much as you like month to month,” said Paul Adams (pictured), sales director at Pepper Money.
“This Limited Edition Remortgage product provides customers with extra support once they’ve completed, with £750 cashback that’s ideal for those who need an extra financial boost post-completion.”
Mortgage lending trends
The announcement comes amid record-high mortgage loan levels. According to recent data from the Mortgage Lending and Administration Return (MLAR), the outstanding value of all residential mortgage loans increased by 0.5% from the previous quarter to £1,678.2 billion, the highest recorded level since 2007. Gross mortgage advances also saw a significant rise, increasing by 4.9% to £68.8 billion, marking a 29.9% year-on-year growth. New mortgage commitments rose by 4.9% to £69.3 billion, a 50.7% increase from the previous year.
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