The app-based bank, founded in 2016, says it will use the acquisition to “access its experienced mortgage lending team”, grow its mortgage loan book and expand its reach in the mortgage intermediary market.  

It adds that ModaMortgages, like CHL Mortgages, will be a specialist BTL lender operating exclusively through intermediaries.

But it points out that CHL Mortgages offers “the flexibility of blending technology and manual underwriting across a wide criteria range”, while ModaMortgages will provide an automated business focused on fast decisions.   

The two lenders will trade independently, with their own brands, products and teams “who will complement one another, but will share skills, experience and expertise.”  

ModaMortgages will begin to accept applications for its landlord mortgages “in the coming months,” according to its website.  

Chetwood bought CHL Mortgages from Barossa Asset Purchaser Sarl for an undisclosed sum after a bidding process.  

Chetwood Financial founder and chief executive Andy Mielczarek (pictured) says: “When the chance presented itself to acquire CHL Mortgages, we felt it was simply too good an opportunity to miss out on, so we’re delighted that the deal is now complete.   

“CHL Mortgages is an established, respected brand in the specialist lending space, and we have ambitions to grow operations further in the months and years to come.”  

CHL Mortgages commercial director Ross Turrell adds: “Chetwood’s ambitious growth plans, which include the launch of ModaMortgages, will enable us to continue to develop our competitive product range and broad criteria offering, which has been well received by our intermediary partners”.