Monthly increase in secured lending of 5%

Loans Warehouse

February 2012, which was a post credit crunch record itself, saw £26,000,000 lent in secured loans, according to the latest secured loans index from Loans Warehouse.

The firm said that while a month-on-month increase in lending of £1,600,000 between January and February 2013 may seem relatively small, the year on year increase of over 21% shows the continual growth the market is experiencing.

February’s lending figure of £31,600,000 also represents the 16th month in a row the second charge market has grown year on year.

Matt Tristram, joint managing director at Loans Warehouse, claimed the monthly figures speak for themselves.

He said: “The industry is now consistently completing over £30,000,000 each month as borrowers continue to benefit from cheaper rates and more diverse options.

“The market continues to become more mainstream, with the introduction of historic low rates of 5.59% (Nemo Personal Finance), early repayment notice period of 28 days with just a £195 discharge fee and LTV’s up to 95% (both Shawbrook Bank), the second charge market is attracting the attention of some of the biggest names in the industry.

“The last month has again seen lenders at both ends of the market improve their product offering; Shawbrook Bank enhanced their Premier Plus range, increasing loan to values up to 85% for prime borrowers, whilst Equifinance launched Equifinance Plus, a range of products that accommodate recent mortgage arrears, defaults and CCJs within the last 6 months but at market leading loan-to-values.

“It has been six months in the making and the biggest change came this past Tuesday when Prestige Finance, now part of the OneSavings Bank group, released their new product range with the additional funding that a bank brings evident for all to see.”

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