Pepper Money has announced a significant change to its mortgage application process by reducing standard bank statement requirements for employed and self-employed applicants to one month.
The specialist lender said the move is designed to streamline applications for both brokers and customers.
The lender said that gathering documents often adds time and complexity to applications, and the reduction will ease the administrative burden.
Bank statements covering a single month will now be sufficient for expenditure and conduct assessments, employed applicants and self-employed applicants.
In addition, the requirement to supply bank statements for offer extensions has been removed, as has the need to provide an Assured Shorthold Tenancy agreement for renters.
Pepper Money said it remains committed to responsible lending, with full verification of income still in place and the use of credit reference data to review financial history.
The changes are aimed at simplifying the process without compromising financial checks.
Paul Adams, sales director at Pepper Money, said: “We understand just how hard mortgage brokers and administrators work to support their customers to complete their home buying journey.
“By simplifying the number of bank statements required for mortgage applicants, we’re helping to alleviate some of that administrative burden, meaning that brokers and administrators can focus on the job at hand.
“Pepper Money is committed to continually improving our services, and these changes to bank statement requirements follow a host of recently announced service and product enhancements.
“These include the introduction of Pepper Flex to meet customer and broker demand for more inclusive products, and our re-entry into the Buy to Let market, which includes HMO properties.
“These changes to bank statement requirements will make a real difference to the mortgage application process and enhance Pepper Money’s efforts to ensure flexibility when accessing finance, supporting customers and brokers throughout the homeownership journey.”
