This move accompanied the society's challenge to brokers to break with routine and consider high street lenders as a realistic alternative to large scale organisations dominating the light adverse mortgage market.
The society launched its first credit repair products last Spring and has added the introducer exclusive credit repair two-year tracker to its range in response to broker feedback.
The product offers the following features:
Available to customers with history of arrears, CCJs or bankruptcy;
0.94 per cent above Bank of England Base Rate (currently 5.44 per cent) for two years;
No arrangement fee;
£500 cashback;
‘Switch-to-fix’ option at any time during deal period;
Underpayments and payment holidays allowed;
Overpayments up to 20 per cent allowed annually;
‘Switch-to-prime’ option after the deal period, subject to payment record.
Broker fee of up to 0.75 per cent, plus additional 0.20 per cent if ‘switch-to-prime’ exercised;
No early repayment charges (ERCs).
Tony Burdin, the society’s head of group marketing, said: "Since we launched our first credit repair products earlier in the year, we have been continuously reviewing our offering in response to feedback from customers and intermediaries.
"Another example of how we have since developed our products was the introduction of credit repair options across our core range when we launched it in June.
"Our Credit Repair mortgage offers not only a very competitive rate, but also arguably some of the most flexible features of any light adverse deal available today. We believe what we have come up with offers a number of distinctive features – including the switch-to-fix option, which enables borrowers to move to a credit repair fixed-rate at any time – even during the ERC period. This product should also lighten the load on brokers’ clients, coming as it does with no arrangement fee and £500 cashback."
He added: "Perhaps most importantly, though, we think customers deserve the chance to consider alternative solutions like this on offer from high street names like ourselves.
"As a mutual lender, our approach is centred around offering added value to customers – including those who have experienced credit difficulties and need a helping hand to get their finances back in order."
