Secured loan provider Portal Portfolio says it has attracted new funding which means that second charge borrowers will no longer have to invest in the pension element.
Portal Portfolio claims its programme has been popular with pension investors looking for stable returns and has created a surplus, which can be used to fund loans to all borrowers.
Borrowers however can still choose to invest in the pension element, which currently pays 4% net.
The secured personal loans are marketed via intermediaries and are available with rates for loans from £10,000 – £75,000, secured on main residences or buy-to-let/investment properties.
Tim Moore, managing director of Portal Portfolio said: “The Secured Loan and Pension attracted a great deal of interest and by originally structuring the product to include a pension we were able to launch the product without the need to rely on external investment. The success of the pension fund has now attracted new funding and this allows us to offer our loans to all credit worthy borrowers.”””
