These enhancements include product re-pricing and revised requirements for self certified income verification.
Rates have been reduced across all products by at least 1.50 per cent, with loans now available from LIBOR + 4.00 per cent. The discount option has now been withdrawn. The conditions for verification of self employed self-certified income have been revised, with applicants for SPPL loan sizes up to £100,000 being subject to a security phone call and loan sizes of more than £100,000 requiring an affordability letter from a qualified accountant.
The condition stipulating any applicant having an SPML first charge loan must have had that loan in place for a minimum of six months has been scrapped, and the commission structure has also been revised, now with separate rates of commission payable for CCA regulated and unregulated loans. The 1 per cent loading on loans following London Mortgage Company as first charge lender has been removed. SPPL is now also accepting letters from first mortgagees consenting to SPPL’s charge conditional on the repayment of any mortgage arrears.
Marie Kennedy, national sales manager for SPPL, commented: "The new, substantially lower rates offer excellent value for customers and a strong selling point for brokers. Regarding self-certified income for the self employed, uniquely SPPL uses the size of the loan to trigger the need for an accountant’s letter, rather than the applicant’s income. Set at £100,000 loan size, this means that the vast majority of applicants will not have to experience the possible delay in obtaining an accountant’s letter. In a vibrant and expanding marketplace, SPPL will continue to revise and improve its products and criteria to remain consistently competitive and offer brokers and borrowers a fast and efficient service."
