Accord Mortgages has changed the tax thresholds it uses when applying interest coverage ratio to buy-to-let loan applications.

The intermediary-only lender has to date used a threshold of £45,000 to determine whether an applicant is a higher or lower rate taxpayer, but from today, will align to HMRC’s UK tax bandings.

The Yorkshire Building Society-owned lender says simplifying its policy in line with recognised higher or lower tax bandings will make it easier for brokers to place business.

Accord senior manager for new propositions Nicola Alvarez says: “We’re always looking at ways we can improve our policies and processes, and we recognise that having different thresholds to determine taxpayer rates can add complexity.

“We’re pleased aligning our tax band thresholds to that of HMRC’s will improve broker experience and make us easier to do business with, and we know from broker feedback that this change will be welcome.”

Last week, Accord made a series of cuts to its BTL mortgage offering, in total making 48 changes across its loan to value range.