"It's business as usual in lockdown 2, with no significant changes or restrictions to criteria announced following the PM's announcement of a second lockdown."
Loans Warehouse's Secured Loan Index shows that lending volumes totalled £71m in October, a monthly increase of £19m. Completions totalled 1,816, a 31% increase compared to September, while the average completion time from submission to completion improved by one day to an average of 11 days over the month.
Figures released in August 2020 by the FLA showed 100% growth in second charge lending since lockdown in May, with Loans Warehouse predicting that figures will double again in Q4 2020.
To see the full report, visit https://www.project-insights.co.uk/securedloanindex/october-2020.
Matt Tristram, managing director of Loans Warehouse, commented: "The message from the secured loan industry this month is very clear: It's business as usual in lockdown 2, with no significant changes or restrictions to criteria announced following the PM's announcement of a second lockdown.
"When coronavirus hit in March lending figures dropped over 80% but this time round it's very different as October showed the biggest monthly growth of 2020.
"This time round there is no restriction on physical valuations and for over a decade the industry has offered a huge range of products available using Hometrack or similar desktop valuation models.
"The optimism stems from several lenders announcing securitisations in recent weeks.
"First we saw Pepper Money owned Optimum Credit announce the first securitisation specifically for second charges since the start of the pandemic to the tune of £277m, a huge easing of criteria followed to ensure a return to pre-Covid lending levels in the coming months.
"West One parent company Enra Specialist Finance also announced their first ever securitisation of £267m to be split across their first and second charge products."
