Shawbrook Bank has announced the completion of a short term loan (STL) deal, processed from initial enquiry to completion in 10 business days.
The bank was approached by the broker, MCIFA, whose client was desperately seeking a short term finance solution, to facilitate the purchase of an additional property at almost immediate notice.
With the initial enquiry received on 19 October, the Shawbrook lending officer was able to process an Application in Principle on the same day for a loan value of £1,174,635, on a gross LTV of 71% applying the STL1 product.
Pure Law, Shawbrook’s in-house legal team was instructed immediately and set about referring the case to their title insurers. It became evident that cover may not necessarily be provided, due to the security in question being a new build and the valuer initially unsure whether there were snagging issues still outstanding. The alternative was to proceed with a full title investigation, which would have slowed up the deal and prevented the borrower from purchasing their additional property in time.
The lending manager contacted the valuer to work through the problem, and received subsequent confirmation that all works were complete on 29 October.
Normally, Shawbrook would insist on a full title investigation for any loan of £1m and over to guarantee absolute clarity for all parties involved in the loan. However, in an effort to get this case completed to the tight time scales required, the bank used title insurance to progress the case.
Shawbrook also stated that credit must go to Jon Scammell, the broker, whose prompt responses to all questions were vital in processing the deal from enquiry to completion so efficiently.
Scammell said: “My client found a property they were desperate to purchase at short notice; however, they needed to borrow a substantial sum of money to facilitate this. We required a lender who would assess the case on its merits, provide a quick answer if the deal was possible or not, then act decisively to complete in time.
“Shawbrook immediately sprung to mind; having worked extensively with the bank before, my clients have benefitted from the proactive approach taken by the Shawbrook lending managers in the past. As a property professional, I really enjoyed the daily work which went into making this deal a reality – something which Shawbrook truly excel at.”