Norton Home Loans has increased its maximum first charge mortgage loan to £350,000 at up to 85% loan-to-value (LTV), as part of changes to its product range aimed at borrowers with less straightforward credit histories.

The lender has introduced a Premium Plan offering loans of up to £350,000 at 85% LTV, alongside increases to the maximum loan sizes and LTV limits on two existing products.

Its Optimal 1 HLTV product now offers loans of up to £250,000 at 85% LTV, while the Optimal 2 HLTV range has been increased to £200,000 at the same LTV.

The new Premium Plan permits borrowers to have recorded a status 1 arrears marker within the previous 12 months on credit cards, loans or hire purchase agreements, provided no arrears remain outstanding. Similar criteria apply to mail order accounts, utilities and communications commitments.

Applicants must have a minimum annual income of £30,000 from all sources. Benefit income can be included in the affordability assessment, provided it accounts for less than 50% of total income.

The changes are intended to widen access to mortgage finance for applicants who have experienced minor recent credit difficulties or more significant problems dating back more than 12 months.

Across its product range, Norton offers loans from £3,000 to £350,000, with two-year, three-year and five-year fixed rates available on first and second charge mortgages. Repayment terms extend to 30 years.

David Binney (pictured), head of sales at Norton Home Loans, says: “Introducing our new Premium Plan range is a direct result of feedback from brokers who asked us to provide options for borrowers wanting to lend more at higher amounts and at higher LTV’s.

“Combined with our flexible criteria, increasing loan sizes and LTVs across our first charge range, it means we can now provide brokers and their borrowers with more solutions than ever before.”