With a month on month increase of nearly 19% in March, and an increase of over 50% in Q1 compared to figures recorded at the same time in 2013, secured lending shows no sign of slowing down.
With 10 lenders reporting increased lending in March, £56,382,296 marks the best lending figures since 2009 and surpasses last October’s ground breaking news of the first £50,000,000 (£50,371,000) month since the onset of the credit crunch.
Matt Tristram, Co-Founder & Director of Loans Warehouse & Clearly Loans comments:
"March has seen several changes announced to key personnel. Nemo have announced changes to their management structure, most noticeable, Phil Jones, Managing Director, has taken the decision to step down. Phil established Nemo with Sam Marshall and led them to become one of the most respected lenders in the second charge market. He will be sadly missed but we welcome the announcement that Guy Thomas will take on the role of Chief Executive Officer at Nemo with immediate effect, working alongside Joanne Edwards, who was appointed as Head of Sales last year.
"On the back of Spring Finance completing a £100 million bank funding loan last month, they have appointed Zena Campbell as its Head of New Business. Zena left her roll as COO at Firmus last month after the lenders short lived entrance into the secured loan market. Zena will be best known to most as Sales and Marketing Manager at Swift Advances Plc."
"Shawbrook’s Secured Lending Division welcomed Claire Rankin and Paula Purdy to the team. The most interesting appointment was Claire Rankin who joins as Head of Networks an area that many think will produce a great opportunity over the coming years as secured lending falls under the same regulation as mortgages. Shawbrook also announced Ian Henderson has resigned from his position as CEO of Shawbrook and has been succeeded by Richard Pyman.
"There have been some noticeable criteria changes which coincide with the switch to FCA regulation; Shawbrook Bank announced they will no longer be able to accept bank statements as evidence of the primary source of income for self-employed applicants, whilst also tightening their criteria around consolidating credit by now insisting that items above £1000 are now be paid directly via BACS to the creditors by the bank.
"Nemo also announced changes, reducing the rate on their E0 product to 5.784% whilst reducing the minimum loan from £40,000 to £30,000 on several plans.
"Prestige Finance have rebranded with a design aimed at creating a more integrated identity with other companies within the OneSavings Bank (OSB) family. They have also introduced E-ID as an option to borrowers / introducers whilst increasing the valuation panel in Scotland with the addition of Hardies."
As the launch of the much anticipated Optimum Credit grows ever closer, Commercial Director, Simon Mules said:
"Over the last 6 months we have been busy recruiting staff and building our innovative Secured Lending system which will help with achieving favorable outcomes for both brokers and customers alike. Anyone who has launched something new, realises very quickly that testing a system before launch is critical, this is what is happening now and we will bring our products to market in late May.
"We are aware of the fantastic service that other lender’s provide, so we know we will need to be at the top of our game in all areas to ensure we reach our objectives and help brokers achieve theirs. We are looking forward to being in touch with as many brokers as we can, as we enter late May and early June."
Secured loan packager Blimey! Loans held the first Mortgage and Finance Expo in Scotland since the credit crunch, in an event held in Edinburgh. Over 40 exhibitors gathered with over 300 attendees. As a mark of the success, Front Events - the events company behind Financial Services Expo - announced its acquisition of the Blimey! Loans Mortgage and Finance Expo Scotland shortly after the event. This will ensure its continued success in the years ahead. This is now the third annual event that will be held by Front Events with Expo Manchester set for May 21st & London’s show announced for 24th September 2014.
There has also been an increase in lenders offering roving underwriters; in recent months Masthaven, Blemain & Prestige have offered master brokers the opportunity to learn in house as their underwriters take to the road. The need for greater knowledge of the products offered has never been greater and seeing lenders embrace this is critical.
The reintroduction of secured lending in Northern Ireland became official last month with the completion of the first term secured loan since the credit crunch. Whilst Central Trust & TFS have both recently launched a product range, it was Clearly Loans who took the credit, through Loans Warehouse, with the first deal over the line in March.
