Customer wanted a £50,000 loan and wanted to use the funds to pay off a help to buy equity loan they took out 5 years previously. The good news was that the value of their home had increased significantly over the last 5 years however the bad news was that the amount of the equity loan to be repaid had increased proportionately too. Equity loan borrowers don’t pay any interest on the debt for the first five years but in the sixth they pay 1.75% interest and for each subsequent year its 1.75% plus the rate of inflation based upon the RPI, plus another 1%.
After carrying out research including a soft quotation credit search one of our advisers referred the enquiry to one of our prime lenders based upon the merits of the case.
The lender approved the referral within 90 minutes and the customer was very pleased.
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This provider is our Expert’s Choice in its category as it won tops marks for the following.
- EXPERTISE & KNOWLEDGE
- CUSTOMER SERVICE
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£10,000 - £1,000,000
3 - 35 years
& Buy to Let
Max LTV 100%
Award winning broker of the year Smart Money have made it to the top of our list as our No 1 recommended provider for homeowner and buy to let loans. They are independent and have access to the major lenders in the market.
Representative example: Assumed borrowing of £29,095 over 120 months, with a fixed borrowing rate if 4.4% per annum for the first 60 months, followed by 60 months at the lenders standard variable borrowing rate of 4.05%. There would be 60 monthly instalments of £300.14 followed by 60 instalments if £295.00. Total amount payable £36,016.20 comprised of; loan amount (£260,000); interest (£6918.20); Broker fee (£2600) Lender fee (£465). This would result in an overall cost of 7.1% APRC