Santander for Intermediaries will launch 95% loan-to-value mortgages that lie outside the government’s mortgage guarantee scheme on 1 June.

Its lending policy for loans above 90% LTV will remain the same as the lender’s existing lending policy. The firm adds that its 95% LTV standard rates will be the same as its existing mortgage guarantee scheme products. 

The government’s mortgage guarantee scheme is due to close for new applications on 31 December.

The bank says that for full mortgage applications over 90% LTV already submitted on introducer internet by close of business on 31 May, “it may not necessarily process the application as a mortgage guarantee scheme case”.

It adds that where a mortgage guarantee scheme customer declaration (MORT1181) has not already been uploaded to the lender on the mortgage application tracking system, it will send brokers a message on this system telling them that this is no longer needed.

The business says there will be no impact on brokers or their clients if they have a mortgage guarantee scheme product, or a 95% LTV standard product. 

The firm says all new full mortgage applications over 90% LTV submitted from 1 June will no longer need a mortgage guarantee scheme customer declaration. 

It adds that these changes will be updated on the Santander for Intermediaries website 95% LTV page, detailing lending criteria and evidence requirements from 1 June.