130 per cent mortgage from Bradford & Bingley could be investigated

19 January 2005
The new 130 per cent mortgage released by Mortgage Express, the specialist lending arm of Bradford & Bingley, could be investigated by MPs.

The Times has reported that Labour MP Nigel Beard, a member of the Treasury Select Committee, has said this sort of loan should face an inquiry.

Mr Beard said: "I would like to see the committee investigate such high-value loans before they become a trend."

Bradford & Bingley said the loan was created to let first-time buyers and existing owners consolidate their credit card and other personal debts, and that it had proved successful during a two-year trial in Northern Ireland.

"We ran an expensive two-year pilot on this product and found that there was a market for it. We always act as a responsible lender," Bradford & Bingley said.

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