Second charge lending booming:
The value of second charge lending issued in February of this year rose by 40% year on year to £81m, according to figures just released from the Finance and Leasing Association (FLA).
The FLA report states £887m of second charge loans were written in the year to February which is up 36% more than the year to February 2015. FLA head of research stated “the latest figures reflect robust consumer confidence with particular regard to their own personal finances”.
This is strong evidence to support the recent reports stating second charge lending is increasing at a rapid pace. Second charge lending is growing in popularity for several reasons, speed of completion and lower interest rates are the two main ones. This form of lending is now a real alternative to the customary re-mortgage and offers borrowers real alternatives.
The range of second charge loans are increasing on a daily basis, offering more flexible repayment methods and lower interest rates. This form of lending is now falling into line with the tradition mortgage but does offer a far quicker completion time which is very popular with borrowers.
Second charge loans do not suit every need and it’s vitally important any potential borrower seeks professional advice from a qualified adviser. If you would like to discuss a potential loan please do contact one of our fully qualified advisers.