Atom bank has announced a series of improvements to its near prime criteria.
Unsatisfied registered defaults are now accepted up to £2,500, up from the previous cap of £1,000. The limit for unsatisfied registered defaults for communication and utility bills has also doubled from £250 to £500.
Atom bank has also reduced the timeframe in which defaults will be taken into account. Previously defaults from more than three years ago were discounted, but now this will apply to defaults from more than two years ago.
The changes follow a number of recent improvements. Atom bank widened its Near Prime range with the addition of a suite of three-year fixed rate deals in April, and continues to offer strong value products to near prime borrowers.
Prior to this, Atom bank removed missed payment and arrears management fees to ensure that when clients experience payment issues they are supported in getting back onto their feet as quickly as possible.
Atom bank head of mortgages Richard Harrison commented: “We know that customers with the odd payment blip are significantly underserved by mainstream lenders at the moment, yet brokers are seeing greater numbers of clients who fall into this category after the challenges of recent years.”
He added: “Atom bank is determined to support Near Prime clients for the long term, not only taking a more understanding approach to their current situation, but also offering them the opportunity to move onto Prime products once their circumstances improve.”
