Metro Bank have announced a broker update, available below. Contact us to see how we help brokers like you across the UK, Alternatively please refer to our Mortgage Lending Criteria Guide and Product Guides.
Announcement
ACCEPTABLE INCOME TYPES
We understand that over the last decade the way in which people in the UK receive their income has changed dramatically. We consistently evolve our policy to be able to offer solutions to as many of your customers as possible.
Acceptable income highlights
Employed: 100% of basic and fixed acceptable allowances if 12 month track record and sustainable
Self-employed: Profit before taxation plus Directors remuneration used if 100% of Ltd company shareholders are on the application. Max LTV 95% subject to criteria & sustainability checks
Contractor: Daily rate x 5 x 46, no minimum contract value, all industries accepted, no more than six weeks of gaps, umbrella companies accepted
Investment income: Accepted at 5% of fund value over a maximum term of 20 years – subject to a minimum managed portfolio value of £250,000
Private pension: SIPP/SSAS income accepted at 5% of the fund value, over a maximum term of 20 years, this can be considered even if not currently being drawn if the customer is over age 55 and the assets are liquid
Variable income: We use 50% of cash bonus/commission/overtime from the latest/current tax year
For full details on the points above, please refer to our Mortgage Lending Criteria Guide and Product Guides.