Shawbrook removes 3% margin increase across STL range
Shawbrook Bank has today announced the removal of the 3% margin increase across its Short Term Loan product range.
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Historically, the Bank approved a Short Term Loan to overrun where the customer had completed on their objectives for the property, but the sale/refinance had fallen after the original loan expiry date.
Karen Bennett, Sales & Marketing Director for Shawbrook Commercial, said:
“We felt that penalising customers on this basis was not a strong outcome and have consequently removed this 3% margin as a matter of policy across all new STL business offered from Wednesday 21 October 2015 onwards. Whilst an overrun is still a breach of the loan agreement and should be avoided wherever possible, we are aware that there may be mitigating circumstances and in keeping with our pragmatic approach to lending - we are happy to be flexible.”
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