Atom Bank has introduced a new rate level in its Near Prime proposal.
The bank has added a £1,995 product fee to its two-year fixed rate Near Prime products, with rates starting from 4.94%.
The new products include loan values of up to 90%.
The addition of the new rate level follows the introduction of the £1,500 rate level in July this year.
Richard Harrison, head of mortgages at Atom Bank, said: “Near Prime is becoming an increasingly important option for brokers who are seeing more and more clients experiencing something of a historic credit crunch.”
“These credit problems are often one-off, but can have a long-lasting impact on a borrower’s prospects, which is why it’s so important that brokers have a wide range of options to choose from.”
“By adding the £1,995 rate level, we can deliver products that will be particularly attractive to those who prioritize keeping monthly repayments as low as possible, as well as those with larger loan amounts.”
“There may be misconceptions about what Near Prime borrowers look like, but as our Near Prime Index has highlighted, almost a third of our cases are households with incomes above £75,000, so they may be looking for larger amounts.”
Last month, research from Atom Bank found that around 70% of near-prime borrowers have a household income of more than £50,000 a year.