United Trust boosts affordability criteria and ups maximum loan sizes

United Trust Bank Mortgages has doubled the maximum loan size available on its residential first charge mortgage range to £2m up to 65% LTV.

In addition, customers wishing to borrow up to 75% LTV can borrow up to £1.5m, also increased from £1m.

The latest move coincides with a raft of income criteria changes designed to boost borrower affordability and help brokers place more cases.

As part of its income criteria enhancements, UTB will now consider 75% of a borrower's regular bonus, overtime and commission, up from 50%. It will also accept 75% of annual bonus with two years history, from a previous limit of 50% with four years history.

Limited company director income will now be taken from net profit after tax and salary drawn, where it was previously taken from drawn dividends and salary.

Self-employed applicants will be considered on referral with 1-2 years trading and one year's confirmed profits, down from two years.

Contractors with less than three months on their current contract only require a signed letter of intent instead of a signed renewal letter from their employer, for maximum loan sizes of £1m

In addition, up to 5% of a SIPP pot can be used in monthly affordability if being drawn, which was previously capped at 3%.

Buster Tolfree, director of mortgages at United Trust Bank, commented: “Having launched affordability boosting income criteria last week we’ve now doubled our maximum mortgage size to help brokers place bigger cases for customers with more complex incomes. And judging by the response we’ve had since we started our ‘Get January Jumping’ campaign, brokers are going to love these latest changes too.

“We’ve listened to intermediaries operating all over the country, we’ve read the research revealed in our mortgages white paper, and we’ve responded with tangible action to help brokers arrange amazing deals for even more customers. And guess what. We still have a few more tricks up our sleeves!”