Afin Bank has launched a range of residential and buy-to-let products aimed at some of the country’s most underserved borrowers.
The lender, which has received full regulatory approval from the Prudential Regulation Authority and the Financial Conduct Authority, has been created specifically to serve those who have traditionally struggled to access finance from mainstream providers.
The bank will target foreign nationals, particularly members of the African diaspora, with valid UK work visas who have found mortgage borrowing difficult due to visa-related restrictions or a lack of UK credit history.
However, the bank has indicated that its products are also designed to support a broader pool of underserved borrowers, including the self-employed and those with non-standard income.
Mortgage Soup revealed on Monday that the bank was to start lending this week.
Alan Davison, chief commercial officer at Afin Bank, said the lender’s mission was to help people overcome structural barriers in the mortgage market. “Afin Bank will treat its customers as people who need help overcoming obstacles, whether it’s their visa status because they come from overseas, or the fact they are self-employed.
“Our focus is on helping more underserved borrowers get a home of their own,” he said.
The product range at launch includes mortgages for first-time buyers, home movers, and remortgaging, alongside a buy-to-let product available even to borrowers who do not currently own UK property. Loans are available on fixed or flexible tracker rates for properties located in England and Wales.
The bank’s creation was informed by research into the mortgage experiences of Africans living in the UK. According to Afin Bank, 87% of African respondents surveyed said they had been turned down for a mortgage, with 41% attributing the rejection to their visa status and 30% citing a lack of credit history in the UK.
Afin Bank aims to address these issues with a lending approach that includes accepting applications from clients globally, considering borrowers with as little as six months’ UK residency, and allowing deposit funds from overseas — subject to anti-money laundering checks. Capital raising will be permitted for purposes including debt consolidation, property investment, business financing and tax liabilities.
James Briggs, intermediary sales director at the bank, said the focus would be on taking a commonsense view of customers’ circumstances. “There are millions of borrowers who can find it hard to get a mortgage from a mainstream lender, perhaps because they’re self-employed and their current income does not reflect their previous years’ accounts or they have multiple income streams, or because they don’t have an established UK credit history,” he said.
“But they have important jobs with great income potential or are creating businesses; the kind of people the UK economy needs now, so they deserve to be supported. The human touch is at the heart of Afin Bank,” Briggs added.
Afin Bank received its Authorisation with Restrictions in October 2024 and has now moved to full launch in under nine months. It is backed by WAICA Reinsurance Corporation Plc (WAICA Re), one of Africa’s largest reinsurance companies, which has committed £62m to its UK banking venture.
As well as distributing its mortgages through brokers, the bank will operate a Community Ambassadors Programme, encouraging people within diaspora communities to introduce friends and family to Afin Bank’s mortgage advisors. The lender also intends to launch a suite of FSCS-protected savings products for UK savers in the coming weeks.
