The Mortgage Business Direct is the direct lending arm of The Mortgage Business. Unlike other specialist lenders in the self-certification market, The Mortgage Business has been continuously owned by its parent company, Bank of Scotland, who founded it in 1989. This has given The Mortgage Business the stability and backing to successfully anticipate the changing needs of its borrowers in a fast-moving environment. As a result, The Mortgage Business has not only developed into one of the most successful lenders in the self-employed market, but was a pioneer of flexible mortgages and buy-to-let mortgages. Earlier this year, it shook up the credit repair market with its innovative Mortgage Solution product.
All applications are processed through its head office in Chester. The Mortgage Business' book is currently valued at more than £3 billion with over 38,000 customers.
All mortgages are underwritten on an individual basis. This means that The Mortgage Business will not automatically reject borrowers who do not meet the specific credit scoring criteria that other lenders may use.
Self-Certification and self-employed mortgages (SELF)
These mortgages are designed for self-employed borrowers and those who
have difficulty in proving their income in the conventional manner or whose
accountant minimises their earnings for tax purposes. Unlike some lenders,
The Mortgage Business offers 'true' self-certification mortgages that do not
require customers to supply accounts or prove income.
Credit Solutions Mortgage
This mortgage offers customers with an historically poor credit record
the chance to apply for a mortgage. It is designed for customers who have
arrears, County Court Judgements or who have previously been bankrupt. The
Mortgage Business charges an interest rate of 1% above the standard variable
rate for just one year, providing a perfect payment record is maintained,
the customers rate will then reduce to the Standard Variable rate. There is
a transparent charging system with no redemption penalties or compulsory
insurance policies. Underwriting is carried out on an individual basis.
Buy to Let (House 2 House)
This allows a borrower to purchase an additional property 'to let' in
order to take advantage of the residential property rental sector. A maximum
loan-to-value of 85% is offered on this product for full status customers or
75% loan-to-value for self-certification borrowers.
Let to Buy (Next Move)
The Let to Buy mortgage, called Next Move, is suitable for borrowers who
do not want to sell their existing property but wish to buy elsewhere. It
also suits customers who simply want to keep their existing property to rent
out. This product has a maximum loan-to-value of 95% full status, or 80% -
85% loan-to-value for a self-certification, depending on circumstances.
Developing a property portfolio
The Mortgage Business has a Ten-to-let product that allows
customers to set up a portfolio of ten buy-to-let properties. Customers
require a deposit of 15% for each property.
All the buy-to-let and let-to-buy mortgages are available with a 'flexible' option. This allows borrowers to overpay, underpay and take payment holidays.
Flexible mortgages
Other mortgages that are available in The Mortgage Business' portfolio
include Flexible Mortgages (Flexi). Flexible mortgages are available
on a self-certification option from between 80% loan-to-value or 95% on full
status. In addition, Remortgages are available for most purposes (up
to 95% loan-to-value).
Prestige Mortgages are available for high-net worth borrowers needing a minimum loan of £500,000. In addition to these mortgages, The Mortgage Business can offer customers a mortgage payment protection insurance.
For more information on The Mortgage Business Direct's mortgages, call
0845 3001604*
*Telephone calls may be recorded for security purposes and
monitored under our quality control procedures.
You may contact us using Type Talk.
Information is available in large print, audio and Braille on request;
please call for details.
Data Protection Act
Your application will be assessed by the Lender using a credit
assessment process and by searching the files of Credit Reference Agencies
who will record this search. Any details provided by you or relating to your
Agreement will be held in the Lender's computer records. The Lender will
disclose details about you and your Agreement to Credit Reference Agencies
who may make them available to subscribing lenders for future credit
assessment or fraud prevention. The Lender may use these details, and may
disclose them to The Mortgage Business, Bank of Scotland Group Companies and
to others, for marketing (by post, telephone, e-mail or fax) and other
purposes, subject to the provisions of the Data Protection Act. If you do
not want these details to be used for marketing please inform the Lender in
writing. Under the terms of the Data Protection Act, you have the right to
obtain a copy of the information held about you upon payment of the
appropriate fee.
Mortgage facilities are provided subject to status by The Mortgage Business plc, City House, City Road, Chester, CH88 3AN. Written quotations are available on request. You must be at least 20 years of age at the application date. Applicants must have been resident in the UK (excluding the Channel Islands and the Isle of Man) for at least 2 years unless a member of HM forces serving abroad. It is strongly recommended that adequate life assurance cover is obtained. Loans must be secured on a first mortgage on a residential property in England, Wales, Northern Ireland or mainland Scotland. A Higher Percentage Advance fee may be applicable. YOUR HOME IS AT RISK IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR OTHER LOAN SECURED ON IT. Information is available in large print, audio and Braille on request; please call for details. The Mortgage Business subscribes to the Mortgage Code; copies are available on request.
For example, a £50,000 mortgage over 25 years taken out in March 2001 would initially require 12 interest only monthly payments of £353.75 calculated at the initial rate of 8.49%. From the end of the 12 month period, the standard rate would prevail for the remaining term of the mortgage. At the current standard rate of 7.49%, the remaining interest only monthly payments would be 288 of £312.08, followed by one capital repayment of £50,000. The total amount payable would be £142,740, and the overall APR for the agreement would be 7.8.
The total amount payable includes £190 valuation fee payable in advance, and £299 completion fee, payable with the final mortgage repayment.
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2008 Sovereign Publications
