The online mortgage provider Selina Finance has revealed that it is making a number of adjustments to its criteria for lending, with the aim of widening the range of borrowers it can reach.
One of the biggest changes to its criteria will make things easier for people who have credit issues. Now, these borrowers will be eligible for products classified as Status 0, even if they’ve missed two payments on different unsecured credit items. People who want to apply for a Status 0 mortgage product will also not have to be fully up to date on these unsecured credit items before being eligible.
When it comes to those products classified as Status 1, Selina Finance is now prepared to waive the history of a borrower when it comes to unsecured credit items, on the condition that they are working to bring these items up to date or consolidate them.
It is not just applicants with credit issues that will benefit from revised criteria though. Employed applicants will now only have to have been in their present job for a single month to be eligible. In terms of affordability, Selina Finance is now prepared to factor in overtime, commission and bonus income, as long it is regular.
Stacey Woods from the lender told Mortgage Introducer:
“These policy enhancements mark a significant change for Selina in terms of our risk appetite and really widen the scope of what we will accept.”
Mortgage advisors with CeMAP training will be glad to see signs of lenders relaxing their criteria.