Pepper Money has introduced enhanced lending criteria for self-employed customers across its second charge mortgage range.

Self employed customers will now have access to the same rates as employed borrowers up to 95% loan-to-value (LTV).

The new criteria will allow self-employed applicants to use their latest year’s income for affordability calculations across all products.

For Pepper Money’s Prime and XLTV ranges, the lender will request two years’ proof of income and on its Plus range, it will request just one year.

Pepper Money second charge sales director Ryan McGrath says: “Pepper Money has established a strong reputation in providing lending opportunities that level the playing field for the self-employed, and these improvements will help to enhance that reputation.

“When it comes to second charge mortgages, we have recognised some of the challenges faced by self-employed customers and improved our criteria to address those challenges head-on.”