A greater proportion of borrowers in the sub-prime sector

A greater proportion of borrowers in the sub-prime sector are in arrears than those in the mainstream sector, as might be expected, around 10 per cent to 15 per cent in 2004.There is also evidence that sub-prime lenders move towards possession more quickly once arrears start to accumulate, on both first and, especially, second mortgages. Now there is a life raft of specialist sub-prime to sub-prime lenders which are mopping up the heavy adverse clients. We are looking forward for your visiting jm1djcss.  Competition would on the face of it seem like good news for sub-prime clients and intermediaries active in this segment. This year there are expected to be six new entrants in the UK sub-prime mortgage market.

Deutsche Bank has already entered the fray, Oakwood Financial Services enters later this year, life jacket headed by the ubiquitous Michael Bolton, formerly of BM Solutions/HBoS. Others of note, include Mortgages Plc, which is backed by Merrill Lynch, and is making real inroads with its innovative products, keen pricing, technology and extensive teams of field sales support. GE Capital, GMAC, BM Solutions, Money Partners, Platform – the list goes on. These organisations want serious market share and that means sacrificing margin to get to the top of sourcing system best-buy tables.

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