Step One Finance Limited has made improvements to its second charge application process for those seeking a Step One loan.
These changes followed recent price reductions and the release of higher loan-to-value (LTV) products for both residential and buy-to-let (BTL) properties.
Offers on Step One second charge loans can be now issued pending consent from most major first charge mortgage lenders.
Applications can also be completed prior to consent being received subject to additional criteria.
Martin Porter, head of lending, said: “This significant change will speed up application processing by up to two weeks in some cases, reducing waiting times and allowing customers to receive funds quicker when speed and certainty are a priority.”
Additional enhancements have also been made to its underwriting criteria which will allow a wider range of clients to access a Step One second charge loan.
The new criteria will allow for qualifying applicants who are a citizen of an EU country, or are a foreign national, who have a valid visa (work, spousal or indefinite leave to remain etc), receive their income in GBP and have a first mortgage from a UK-based lender.
This enhancement will provide another borrowing option to an estimated one million foreign-born nationals currently living and working full time in the UK of which 47% also own a home in UK.
Step One has also simplified documentation requirements for customers with a history of an IVA, CVA and those employed through work agencies, which should improve processing times and reduce the administrative burden for these customers.
