Vida enhances foreign national and adverse credit criteria
The lender has enhanced foreign national affordability and introduced a higher threshold for ignoring CCJs and defaults.
Vida has introduced two key criteria enhancements designed to make homeownership more accessible.
Firstly, the lender has enhanced its affordability assessment for foreign nationals. For cases where at least one borrower does not have permanent rights to reside and the LTV is above 75%, Vida has reduced the minimum income eligibility for joint applications.
Previously, the main borrower needed to earn £50,000; now, a combined total income of £70,000 is acceptable. Applications where the main borrower earns at least £50,000 and the combined income is less than £70,000 remain acceptable.
Vida has also increased the threshold for excluding defaults and CCJs when allocating product tiers from £250 to £500 across all product tiers. The existing threshold for ignoring unsecured missed payments under £250 remains unchanged.
Ross Williams, head of mortgage product management at Vida Homeloans, commented: “The affordability enhancement builds on the improvements we’ve delivered for foreign national customers. It means that couples applying together can combine their incomes to meet eligibility requirements, providing greater flexibility and opening more opportunities for foreign national customers looking to secure a mortgage in the UK.
"By increasing the thresholds for CCJs and defaults we disregard, we’re making it easier for customers to secure a mortgage without being held back by historic issues — while maintaining responsible lending standards."
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