New 95% LTV mortgages and updates to lending criteria

We’ve got great news with the relaunch of Virgin Money’s 95% LTV Shared Ownership deals and a new 95% LTV 2 year fixed rate, helping more customers with smaller deposits.

We’ve also made selected rate reductions and updated our Virgin Money and Clydesdale Bank lending criteria.

1. Virgin Money’s new and reduced rates

Intermediary Exclusive purchase deals with £1,000 cashback

85% LTV 2 Year Fixed Rate with £995 fee has been reduced to 2.40%.
85% LTV 5 Year Fixed Rate with £995 fee has been reduced to 2.70%.

Core

NEW Shared Ownership 95% LTV 2 and 5 year fixed rates, starting from 4.04%.
NEW 95% LTV 2 Year Fixed Rate fee-saver at 3.79%.
95% LTV 5 Year Fixed Rate has been reduced to 3.95%.
65% LTV 5 Year Fixed Rate fee-saver has been reduced to 1.48%.
Selected 85% LTV Fixed Rates, including Greener options, have been reduced by up to 0.07%.
Selected HTBEQL 75% LTV Fixed Rates, including Greener options, have been reduced by 0.16%.
Selected BTL Fixed Rates have been reduced by up to 0.50%.

Product Transfer

95% LTV Shared Ownership 5 Year Fixed Rate has been reduced to 4.14%.
85% LTV 2 Year Fixed Rate with £995 fee has been reduced to 2.38%.
65% LTV 5 Year Fixed Rate fee-saver has been reduced to 1.48%.
Selected BTL Fixed Rates have been reduced by up to 0.50%.

A quick reminder that our Shared Ownership deals are available up to a maximum term of 35 years and lending on flats over 80% LTV must be in buildings of no more than 10 storeys.

Our 95% LTV mortgages are offered through the Government’s Mortgage Guarantee Scheme. To find out more, view our eligibility criteria.

These changes apply to Virgin Money products only.

2. Virgin Money and Clydesdale Bank contractor lending criteria

Following recent IR35 rule changes, we wanted to let you know that we accept contracts that fall within IR35 rules. We also accept contract income received via a payroll services (umbrella) company.

When a contractor is paid via an umbrella company, or falls inside IR35 and receives payslips, we need to see the last two months’ payslips in addition to standard documentation. Any statutory employer costs (including employer NI contributions and Apprenticeship Levy) and any payroll service costs are deducted from gross pay before we multiply gross pay by 46 weeks.

3. Virgin Money Buy-to-Let Assured Shorthold Tenancy

We can now accept Buy-to-Let mortgage applications for Assured Shorthold Tenancy agreements of over 36 months.