Atom Bank enhances near prime criteria

Atom Bank has announced a series of improvements to its near prime criteria.

Unsatisfied registered defaults are now accepted up to £2,500, up from the previous cap of £1,000. The limit for unsatisfied registered defaults for communication and utility bills has also doubled from £250 to £500.

Atom has also reduced the timeframe in which defaults will be taken into account. Previously defaults from more than three years ago were discounted, but now this will apply to defaults from more than two years ago.

Atom recently widened its near prime range with the addition of a suite of three-year fixed rate deals in April. Prior to this, Atom removed missed payment and arrears management fees.

Richard Harrison, head of mortgages at Atom Bank, commented: “The range of improvements to our near prime range mean that Atom Bank is now one of the leading lenders when it comes to delivering for clients who have a less than perfect credit history.

“We know that customers with the odd payment blip are significantly underserved by mainstream lenders at the moment, yet brokers are seeing greater numbers of clients who fall into this category after the challenges of recent years.

“Atom Bank is determined to support near prime clients for the long term, not only taking a more understanding approach to their current situation, but also offering them the opportunity to move onto prime products once their circumstances improve.”