The removal of fast track will also apply to existing customers porting their mortgage.
However, for cases submitted before 19 March, the lender said all DIPs and pipeline applications agreed on a fast track basis will be honoured, unless there is a material change to the case.
In this event, Virgin Money said it would require full income verification in order to progress the application.
A material change would be one where:
– LTV of the case rises above 70%
– Property purchase price falls below £100,000
– Customer’s credit score changes from high to medium / low
– Change in term such that it exceeds the customer’s retirement age
Previously, the conditions for fast-track were: maximum LTV at 70%, minimum property value of £100,000, maximum loan size of up to £1m and customers needed to have a high credit score.
The lender said this represented “a small proportion” of new business that was being done.
The lender’s current income verification requirements state that employed applicants must provide their last two months’ payslips, four payslips if paid weekly, together with their last P60, while self employed applicants need to provide the last two years’ accounts, two years’ SA302s or an accountant’s certificate.
These income verification requirements must be satisfied in all cases.
The lender said it is “committed to offering attractive products” which are supported by a simple, straightforward application process.
