Suffolk Building Society is updating its lending criteria to help more households. The society will now accept four applicants and four incomes on all UK and expat applications (except self build). It will accept 75% of bonuses and commission, as long as the applicant has a reasonable track record.
There are Improvements to the criteria for contractors, such as a reduced amount of contracting experience required (12 months down from 2 years) and fewer months remaining on the current contract (3 months, down from 12 months).
Aunts and uncles can now gift deposits – previously only immediate family members, step-parents, and grandparents, were accepted.
Applicants can now use background investments to support affordability. The lender will now accept 75% of the value of a professionally managed fund over the term of the mortgage, or 10 years (whichever is higher).
Suffolk will allow applicants to capital raise to place funds in a trust (maximum 70% LTV). And the society is improving foster care criteria by treating foster carer income as a form of self-employed income.
Commenting on the criteria changes Suffolk Building Society head of intermediaries Charlotte Grimshaw said: “We’re listening to feedback and we’re keeping pace with complex scenarios. We know that some people have varied assets and income, and that families want to support their loved ones. Our changes will benefit borrowers directly, but we also want to help those who are providing the backing too.”
