Cuts of up to 0.2% have been made to its two-, three- and five-year fixes, with the largest reductions applied to products at higher loan-to-value (LTV) tiers.
Atom Bank’s five-year fixed rates start at 5.04%, three-year fixes begin at 5.19% and two-year fixes are from 5.24%.
It said this had resulted in more than 70% of its near prime borrowers qualifying for a prime product in the last 12 months.
This has been coupled with recent rate cuts and Atom Bank’s decision to increase the maximum LTV to 90%.
The lender said it had also seen record levels of activity within its near prime range in recent months.
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Richard Harrison, head of mortgages at Atom Bank, said: “A second round of rate cuts on our near prime range in the month of June demonstrates our determination to provide these borrowers with great value. Atom Bank will act whenever possible to improve our proposition, from reducing rates to offering greater flexibility. This is a sector where we have ambitions to become the go-to lender for brokers and their clients.
“It’s a huge positive to see that such a large proportion of our near prime borrowers are qualifying for a prime product at maturity and are automatically offered an improved rate. This highlights the value of working with lenders who support customers not just after a credit blip, but also as their credit status improves.”
