You are here: Home - News -

ZIFA offers access to business finance

  • 01/02/2001
  • 0
By Rachel Williams The ZIFA Mortgage Network and the Bank of Scotland have teamed up to offer compan...

By Rachel Williams

The ZIFA Mortgage Network and the Bank of Scotland have teamed up to offer company directors and the self-employed access to business finance without the hassle and costs typically associated with arranging this type of loan.

The Adaptable Mortgage Plan Plus, which is financed by Bank of Scotland and distributed via the ZIFA Mortgage Network, allows clients to access equity in their main residence to fund a flexible business loan or overdraft.

Andy Young, director of the ZIFA Mortgage Network said: “This unique product perfectly meets the needs of this market. Business people can use it to raise money to inject into their business, or to refinance existing business loans without the need to supply extensive account information.”

The mortgage is available to 85% of the individual’s property value and, because borrowing is at residential rather than commercial rates, the package is also cost effective. Rates are guaranteed to remain at 1% over bank base rate for the length of the term.

Young said: “Traditionally business people have to pay between 3% and 5% over bank base rate for their business borrowing.”

The deal also aims to make it easier for individuals to arrange the loan, as it requires no details of income or evidence from accounts.

Young said: “Historically, this market has had difficulty retaining borrowing to suit their lifestyle. Good accountants will look to minimise their true net profits which may not reflect the borrowing potential of the individual.”

Borrowers are also able to structure repayments to suit their own needs.

Underpayments can be made on a monthly basis, or until the amount under paid reaches 5% of the original property value.

They can also take a payment holiday of up to six months, or until the missed repayments reach 5% of the property value.

Early redemptions can also be facilitated through an over payment option. This can be done via monthly or lump sum over payments. Alternatively it means the borrower can overpay when interest rates are low and reduce payments should they rise.

With a cheque book facility borrowers can also withdraw funds up to 10% of the property value, preventing the need to arrange a separate personal loan.


There are 0 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.


Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.


Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.


Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
HSHL launches in Northern Ireland

High Street Home Loans has announced that its full range of mortgage products is to be made availabl...