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Key Criteria Changes from Axis Bank

25 January 2017

Axis Bank logo

Axis Bank have launched  Like for Like remortgage products as well as reduce rates on some of their fixed and variable rate products. 

Plus SPV applications will now qualify for their standard range pricing on straight forward “vanilla” properties. 

Full product changes and guide can be seen here. 

Their rental stress has changed too: 

Rental Stress - Personal borrowers:

  • Products < 5 years, ICR of 145% against an interest rate of pay rate + 2% with a floor of 5.5%.
  • Fixed term of 5 years or more, ICR of 145% against an interest rate of pay rate. Like for like re-mortgages: 125%@ 5%, the customer’s portfolio must meet the new stress of 145% @ 5.5%.
  • Basic rate taxpayers may be assessed at an (ICR) of 125%@5.5%. 

Rental Stress - Corporate borrowers:

  • Products < 5 years, ICR of 125% against an interest rate of pay rate + 2% with a floor of 5.5%.
  • Fixed term of 5 years or more, ICR of 125% against an interest rate of pay rate. Like for like re-mortgages: 125%@ 5%, the customer’s portfolio must meet the new stress of 125% @ 5.5%.
  • Background Income Assessment: Background income to support any ICR shortfall may be considered. To a floor of 100% ICR on loans above £350k. Individual case basis where the borrower meets Axis Bank’s HNW definition : annual income £300K + min net worth of £3m excluding their BTL portfolio . Please note, this is on a case by case basis on referral only.

DON’T FORGET if you don’t have direct access, you can still access them through packagers Atom and Complete.


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