Non-bank lender, Bluestone Mortgages, has announced its entry into the near prime space.
The move includes rate cuts of up to 225 basis points across its entire product suite, at a time when “PAYG and credit impaired customers are affected by the tightening criteria of traditional lenders”.
It comes off the back of extra funding through the acquisition of Cerberus Capital Management.
The Crystal Blue portfolio is being seen as particularly ambitious, comprising of full and alt doc products geared to support established self-employed borrowers and PAYG borrowers with a clear credit history.
Head of sales and marketing at Bluestone Mortgages, Royden D’Vaz, said, “The recent acquisition of the Bluestone’s Asia-Pacific operations by Cerberus Capital Management has enabled a number of immediate opportunities to be realised, most notably the assessment of our full range of products and to ensure they fully address market demands.
“We’re now in an ideal position to aggressively sharpen our rates based on the new line of funding, and pass on the considerable net benefit to brokers and end-users alike.
“The rate reductions have significant strategic implications as it places the company in a position to expand its operations into the near prime space as a natural extension of its specialist lending focus. This comes at an opportune time as a growing volume of self-employed, PAYG and credit impaired customers are affected by the tightening criteria of traditional lenders.
“Unlike big banks, we don’t have credit scorecards, which means we’re able to assess every borrower based on their merits and individual circumstances. We’re not one-size-fits-all by any means, which is increasingly appreciated.”
The move is being actively supported by the extension of the BDM, credit assessor and support teams to enhance access to decision makers to help brokers get more deals done, more often.
Bluestone’s is now focussed on actualising a number of imminent opportunities that address current market demands. The company says the series of rate reductions are the beginning of many initiatives that will enhance or expand the company’s portfolio.