10:37 AM, 7th February 2014, About 8 years ago 21
In an announcement that seems to make no sense, the Nationwide who own their own Buy to Let arm “The Mortgage Works”, have said they will no longer accept remortgage applications from Nationwide customers where the purpose of an increased loan is buying investment property.
A Nationwide spokeswomen said, “as part of Nationwide’s move to a single mortgage processing system, the society is streamlining a small number of specific lending scenarios and reducing manual processes.”
“As a result, additional lending to existing Nationwide residential mortgage customers to purchase a second property, where the new property is to be let out, is no longer available.”
The Mortgage Works, will still accept remortgage applications to fund buy-to-let, but just not from Nationwide customers.
This seems completely contradictory to have a policy from the parent company banning doing business for the purposes of its subsidiary!
Andy Young of TBMC said “there have been restrictions on capital-raising through remortgages for business purposes, so this may be the reason for their decision. Even then, this is a confusing policy indeed.”
In probably even more of a controversial move the Nationwide have stopped lending to our armed forces when they are based overseas serving our country.
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