Atom bank, the UK’s highest rated mortgage lender on Trustpilot, has launched a host of new Near Prime products.
The new products come with a £1,500 arrangement fee, and are available for both purchase and remortgage purposes. Borrowers can choose between two, three and five-year fixed rates, while the new products cater to those looking to borrow at 75%, 85% and 90% loan-to-value (LTV).
Rates start at 5.24% for both the three and five-year fixed rates, and 5.09% for the two-year fixed rates.
The launch of the new products complements Atom bank’s existing range of Near Prime mortgages, which includes options with a £900 arrangement fee or no arrangement fee at all.
Atom bank has repeatedly acted to provide Near Prime borrowers with competitively priced options, having cut rates repeatedly this year, including on two separate occasions in June.
The path back to Prime
An important aspect of Atom bank’s proposition is its ability to proactively support borrowers in regaining Prime status. Near Prime borrowers will be offered a Prime rate automatically at maturity if they have sufficiently improved their credit position.
This feature has been available to the bulk of Atom bank’s current Near Prime customers, with 70% of borrowers qualifying for a Prime product at maturity over the past 12 months.
Richard Harrison, Head of Mortgages at Atom bank, said:
“This new range of products are sure to be welcomed by brokers and their Near Prime clients. The higher arrangement fee opens up lower interest rate options for customers, particularly those borrowing higher loan amounts. It’s another example of how Atom bank is determined to provide greater choice to those who may have experienced a temporary credit blip in the past but want to raise finance for either a property purchase or remortgage.
“Our creative approach to product development and criteria has transformed Atom bank’s standing in the Near Prime space, not only resulting in record levels of activity but helping us to become one of the first choice lenders for brokers whose clients aspire to regaining Prime status.”
