Mortgage network offers later-life lending accreditation

Mortgage network offers later-life lending accreditation

The Right Mortgage Network has launched a new training session and accreditation aimed at helping brokers to find mortgages for older people.

Martin Wilson, CEO of the network, said that the group had created "specialist training and accreditation to meet the demands of these customers", who he described as "slightly higher risk, with more vulnerable clients who have unusual lending requirements".

The Network's first Later Life Lending Workshop, last week, covered specialist lending as well as associated topics such as lasting powers of attorney, wills and funeral plans. The 40 attendees received accreditation from the network following the workshop.

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The workshop included advice from specialist lenders such as Chorley and Ipswich Building Societies.

Matthew Graves, an attendee from Regal Finance Group, said: "It was good to be able to discuss these areas with some of the more niche lenders in the market place. This always adds value to the advice we give, and allows us to offer a more rounded proposition."

The issue of lending into retirement has been on the news agenda since the Building Societies Association (BSA) published its own views on the issue in November 2015, while the FCA also covered the issue in the Mortgage Market Review (MMR).

With the population expecting to live longer and work later, many more people are expected to pay mortgages into later life. Many lenders have recently raised the ages to which they will lend, though it is still harder to find interest-only loans that extend into later life.

Nationwide raised the age limit on lending to 85 last year, while Halifax raised its limit to 80. Santander recently raised the age limit for borrowers to still have interest-only mortgages to 70

Ombudsman Simon Pugh said recently that lenders are becoming less strict when it comes to enforcing age criteria, especially for older borrowers.

In the latest issue of Ombudsman News he said: "lenders are more willing to work around age limits – which they’re entitled to set – particularly for existing customers. They’re also applying policy exceptions flexibly."