The mortgage lender Pepper Money launches ‘light’ mortgage product range
Pepper Money has introduced a new ‘Pepper Light’ range of residential and buy-to-let mortgage deals for consumers who have defaults, missed repayments and have arrears, but received no CCJs.
The mortgage products are being launched in reaction to the the majority of popular types of applications that Pepper Money gets from advisers, with rates that more accurately reflects the lower risk profile, with mortgage rates starting from just 3.70%.
The introduction of Pepper Light arrives as part of a full analysis of Pepper Money’s mortgage range, which contains some changes to pricing and conditions.
Paul Adams, sales director at Pepper Money, said: “Specialist lending in the current environment is a real balancing act. We are seeing so much demand across our range as the number of customers with complex circumstances continues to grow, but each case also requires extra underwriting scrutiny, given the uncertain economic environment. So, it’s important that we respond to the demand to ensure brokers have the most appropriate solution for their clients but also take steps to protect our service where necessary.
“We are really pleased to be able to launch Pepper Light, which recognises a trend that many customers with adverse credit on their record don’t actually have CCJs, and so provides a solution that more accurately reflects their circumstances. This is a really positive step forward and directly targets a key area of demand.
“At the same time, we are conscious that we need to protect our service levels and have made a number of other criteria and pricing changes across our range. These include the removal of the Pepper 6 group of products and fees free options. We think that this approach will help us achieve the right balance between delivering solutions that best meet the most popular areas of demand and maintaining service levels in which brokers can have continued confidence.”