Spring Finance relaunches second charge and brings out interest-only BTL product

The lender has brought out its ‘prestige range’, to complement its existing products, focussed on mid-prime borrowers.

Prestige product rates start from 60 per cent loan to value (LTV) and go up to 80 per cent LTV, available on three and five-year fixed rate terms.

Rates start from 7.65 per cent for one demerit, and 8.05 per cent for two demerits.

Demerits include things like missed payments, County Court Judgements and defaults, unsecured credit and payday loans.

BTL second charge

The BTL second charge is aimed at landlords who want to benefit from the equity in their property, and all come with an interest-only option of up to 75 per cent LTV.

It ranges from 60 to 75 per cent LTV with rates for no demerits starting from 8.25 per cent, and 8.55 per cent for one demerit.

Graeme Wade (pictured), head of sales for secured loans at Spring Finance, said that the second charge market is growing month-by-month, and processing times are at the “forefront of service levels”.

He added that the lender has made several “positive enhancements” to its underwriting system, including its demerit-based point system.

“These changes will have the effect of significantly reducing the time it takes to complete each loan. Our aim has always been to enhance the product offering to our introducers and this new product relaunch does exactly this,” he said.

Andrew Bloom, owner of Spring Finance, said: “Spring has a reputation of providing an excellent product offering for applicants from a range of different backgrounds. These new products, backed up by the simplification of our underwriting process will further enhance the value we can add to our brokers.

“This product relaunch, along with our recently launched bridging proposition, proves our continued commitment to the specialist finance market.”

Spring Finance launched in 2011 as a long-term second charge lender, then entered the bridging and development finance market earlier this year to offer first and second charge loans on a regulated and unregulated basis.