Bluestone changes criteria to tackle payday loan misinformation
Bluestone Mortgages has announced criteria changes to accommodate the growing number of complex credit customers.
The lender will accept applications from customers who have recently taken out a payday loan, provided it has been approved at the end. Previously, Bluestone required that no new loans be taken out in the last 12 months.
These updates, available to all Mortgage Brokers, will help clients who have been misinformed of the ramifications of taking out a payday loan, or those who have had to take out a payday loan due to a recent life.
A spokesperson said Mortgage solutions“Clients face a number of pitfalls, but the main ones are usually that they have trouble finding a lender or they demand a higher down payment.
“We made a number of policy exceptions where applicants had taken payday loans and did not realize the ramifications this could have on getting a mortgage. The main problem arises with uninformed customers, especially with the rise of buy now pay later, as payday loans can often be confused.
“We have therefore recently updated our product range to include a free product, helping customers with all initial costs. We have also introduced a £500 solicitor’s contribution for those looking to re-mortgage. the future, we are looking to launch a new purchase proposal for the first time.”
Reece Beddall, Director of Sales and Marketing at Bluestone Mortgages (photo)added: “We believe that past financial difficulties should not prevent anyone from owning their dream home.
“Ultimately, these changes will give our customers more choice and the help they deserve.”