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Mainstream lenders worry that floating borrowers will, well, sail away.
However, most mainstream lenders still have far lower age limits.
That is what produces financial statistics that leave mainstream lenders in the shade.
"I had one year's books but that wasn't enough for the mainstream lenders.
Mainstream lenders don't on the whole refuse to deal with third parties.
"In 2011, the best way to get credit from the mainstream lenders is to have a good FICO score".
Similar(21)
Brokers say that the return of a mainstream lender is notable.
This week Abbey National, part of Spain's Santander banking group, became the final mainstream lender to stop offering mortgages that allowed people to buy homes without deposits.
Efficient assessment of credit risk kept default rates last year to 7.4% – a rate that would disgrace a mainstream lender but is easily tolerable for Wonga at its astronomical rates of interest.
Borrowers who had taken out interest-only mortgages in the past and have found themselves unable to move to another mainstream lender are among those turning to equity release loans, the company said.
I have seen transactions on which a competitive lender will pay a rebate of over $8,000 while a mainstream lender will charge the maximum fee of $6,000.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com