Second charge loan gets borrowers shaken and stirred

Second charge loan gets borrowers shaken and stirred

The second charge market continues to grow and secured loans are being employed for an increasingly varied range of uses. United Trust Bank (UTB) recently completed a £105,000 second charge loan for a married couple who wished to purchase a cocktail bar and wine business close to where they live in Central London.

The applicants both have considerable experience of working in the hospitality industry, which was evident in the comprehensive business plan they provided with the application. The Credit Intermediary was also able to evidence to us that the income used to service the loan would continue to be sustainable as the first applicant, the current sole earner, was remaining in full time employment.

The application was received with the latest payslips for the first borrower together with the business case. The other requirements, which included the Valuation Report and Certificate of Identity, were received by UTB within the next few days and this enabled us to send out the Binding Offer by post to the applicants and online to the Credit Intermediary.

At UTB offers are accepted by returning the original Mortgage Deed, which the customers did. Within 72 hours of receipt the funds had been released and the applicants were able to meet with their solicitor to arrange the purchase of the Cocktail Bar and wine business.

Both UTB and the Credit intermediary were pleased to meet the customers’ requirements, especially given the unusual purpose of the loan. At UTB we continue to work closely with our Intermediaries to find quick and suitable solutions for our customers’ needs.

Loan details for example:

Loan: £105,000
Term: 25 years

For further information on our products, please refer to your broker.



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