The semi-exclusive product tracks the Bank Base Rate (BBR) at 0.25 per cent for three years, with a current rate of 5.25 per cent.
Features include a refund of valuation (max £490) and £250 towards the cost of legal fees.
David Copland, sales and marketing director at Pink Home Loans, commented: “Near prime products are hugely popular in today’s market for clients with a less than perfect credit history who have taken steps to rectify the situation. Gone are the days where individuals have to pay for the adverse credit that they do not have.”
Iain Williamson, head of key accounts at BM Solutions, said: “This is an excellent product for clients who may have had problems with their credit in the past and are looking to remortgage onto a fantastic near prime rate.”
This product is available to all Pink’s customers and must be submitted online direct to the lender.
Product Details:
Product rate: 5.25 per cent (BBR + 0.25 per cent for three years)
Underlying rate: BBR + 2.49 per cent
Incentives: refund of valuation (max £490) + £250 cash back
Loan-to-value (LTV): 75 per cent LTV up to £500,000
Minimum loan: £25,001
Maximum loan: £500,000
Adverse credit history: CCJs registered over three years ago, arrears registered more than 12 months ago, all defaults and unsecured loan arrears are ignored when assessing the interest rate
Adverse credit: CCJs – max £500, none in the last six months, Arrears – max one month in the last 12 (none in the last three months), Bankruptcy – discharged one year, Individual Voluntary Arrangement (IVA) – satisfied for six months, Repossession – not accepted
Income multiple: 3.50 + 1 or 3 x joint (multipliers should only be used as a guideline as maximum borrowing is calculated using BM Solutions affordability model)
Early repayment charge: 5 per cent in year 1, 4 per cent in year two and 3 per cent in year three
Arrangement fee: £899
