M&S Bank has launched its first mortgage range and developed a first-time buyer range to support first-time buyers (FTBs).
The bank’s first mortgage range marks its transition from a financial services provider to a full-service bank.
Sue Fox, chief executive of M&S Bank, described the launch of an M&S mortgage as a ‘major milestone’. She said: “I’m delighted that customers will now be able to get the M&S-standard service they have come to know and expect from M&S Bank when they make the biggest and most important purchase they will ever make – their home.”
“With this in mind, we have developed a range of solutions to support first-time buyers and to assist families with their desire to help loved ones make that critical first step on the property ladder.”
To assist first-time buyers, the range includes two and five-year fixed rate and two-year tracker mortgages, from 60% to 90% LTV on terms up to 30 years, with fee-saver options across the range. The bank is also offering £1,000 cashback and a free valuation.
For further support for FTBs, M&S Bank will enable up to four borrowers who will live in the property to take out a mortgage together; ideal for a group of friends or siblings who dream of home ownership but are unable to do it alone. Home movers and those remortgaging can also benefit from these products.
The bank is also offering customers remortgaging with M&S Bank the option of additional borrowing at the same rate and term as their M&S Bank mortgage. The lump sum could be ‘gifted’ to a loved one to use towards their own home.
Customers remortgaging to M&S Bank from another provider will also benefit from fee assisted legal service, which covers the cost of the standard legal work required to remortgage from another lender.
In line with its first mortgage range, M&S Bank will also be working in partnership with housing and homelessness charity Shelter, which will see M&S Bank donate £25 to Shelter for every mortgage purchased.
“We are extremely excited about the potential to raise significant funds for Shelter, and want to thank M&S Bank, its employees and customers for this unique opportunity,” said Polly Neate, chief executive of Shelter. “Together, we can help to make sure no one has to fight bad housing or homelessness on their own.”
Fox added: “We launched M&S Bank to bring the M&S brand values to banking and in line with these values we wanted to mark this key milestone in our history by supporting Shelter with the fantastic work they do in the fight to end homelessness across the UK.”
M&S Bank Mortgages will be available directly from M&S Bank and via the broker channel, starting with London & Country and rolling out more widely throughout 2018.