Pepper Money has introduced a Debt Management Plan mortgage range for individuals who are in an arrangement with a licensed debt management company.
The offering is available for residential purchases or remortgages up to 85% LTV. It consists of a number of two-year fixed rates starting from 3.78%.
Debt Management Plans must have been in existence and satisfactorily conducted for at least 12 months and affordability will be calculated based on the original contractual loan repayments rather than the agreed monthly arrangement.
The new Debt Management Plan range is available in addition to the lender’s existing core products, which are suitable for individuals who have had a CCJ or Default as recently as seven months ago.
Rob Barnard, sales director of Pepper Money, said: “At Pepper, we believe that a customer who has maintained a Debt Management Plan for at least 12 months has demonstrated determination to rehabilitate their finances and a track record that indicates they are back on track from an affordability perspective.
“Our new range gives individuals who are in a performing arrangement with a licensed debt management company the opportunity to access competitively priced mortgage lending for home purchase or remortgage.
“Placing a case for a client in a Debt Management Plan can be an interesting challenge. Our message to brokers is, speak to Pepper – we’re interested.”
