Consultant Zone

Interest Only is it really a ticking time bomb?

Interest Only is it really a ticking time bomb?

The MMR clearly retains the overarching ‘responsible lending’ rule, but one of the key elements of the reforms specifically focusses on interest only. In a nutshell, from April 2014, when the new rules kick in, lenders must assess affordability on a capital and interest basis, unless there is a clearly understood and believable alternative source […]