Atom bank has improved its variable stressed interest rate calculation for commercial mortgages, which will help some borrowers access larger loan amounts.
With immediate effect, variable rate commercial mortgage applications will now be stressed against a rate of Margin + Base Rate + 1%.
The simplification of the stressed interest rate came in response to broker feedback, and means that Atom customers may be able to improve their borrowing power and reach their growth goals.
Loans of between £1m and £4m benefit from an additional 0.25% rate discount.
Brokers can obtain an indicative quote for their clients using the Quick Quote tool on the Atom bank portal.
Atom bank is currently able to issue an agreement in principle (AIP) within one working day, on average, after receiving a fully packaged application.
Formal offers are currently provided on average within six working days of the acceptance of the AIP.
David Castling, head of intermediary distribution at Atom bank, said: “By simplifying our stressed interest rate, we are helping business borrowers to access larger loans and take the finance they need in order to achieve their ambitions.
“Whether they are looking to grow, to purchase new premises or to refinance existing facilities, Atom bank is determined to support SMEs in reaching their potential and our improved affordability assessment will mean we can do just that.
“Broker feedback is incredibly important to us, and has helped inform a host of the improvements we have made to our commercial proposition in recent months.
“We will continue to work closely with brokers to identify any further enhancements we can deliver which will provide a tangible boost to SMEs in the UK.”
