Building soc eases rules for divorcees
100% of income from child maintenance to be taken into account
Ipswich Building Society has announced that all of its residential mortgages will be available to divorcees with 100% of the income from child maintenance taken into account when assessing affordability, provided it is supported by the Child Support Agency or court order and has at least five years to run.
Paul Winter, Chief Executive of Ipswich Building Society, said:
"Despite a significant number of people across the country having been through a divorce, there is little consistency in terms of lending criteria for divorcees. Some banks and buildings societies will accept just 50% of income from child maintenance, whilst others refuse to accept this as a form of income at all, limiting single parents' access to the mortgage market. Furthermore, with the divorce rate highest amongst those in their forties and increasing amongst the older generation, this can add to the difficulties older borrowers already face when looking for a mortgage."
For a list of mortgage lenders showing the extent to which each will consider child support, see the table in This is Money.