Mortgages from Northern Rock. Friday, 24th April 2009

London mortgage broker, london mortgage advice.

Northern Rock, the nationalised mortgage lender, is planning a major mortgage initiative, lending up to £14 billion to prospective home buyers in the next two years. The news accompanies acknowledgement from the company that a higher than expected level of customers could be facing early debt repayment problems.

Northern Rock, the northern mortgage lender will attempt to boost the ailing UK housing market, with the potential for a £5 billion boost to lending this year. Repayment arrears amongst customers of the bank have shot up in the last three months.

Because of the bad economic climate, Northern Rock is expected to make a substantial loss this year, the bank warned. They also made it clear that they had anticipated the repayment problems faced by customers. In contrast to their earlier lending practices, Northern Rock now lend conservatively and apparently focus on risk management in their lending .