Some Nationwide customers set for borrowing boosts under new rules

Nationwide will hand some customers as much as £33,000 in borrowing boosts, after changing how it calculates the maximum loan amount members can be given. The world's largest building society said on Tuesday, August 12, that an individual or couple with an income of £70,000, who is remortgaging to Nationwide from a different lender and wants to take additional borrowing, could now borrow a maximum of £314,300.

This is an increase of £33,600 more than before, and is based on them having a mortgage with 20 years remaining on the term. It's important to note this larger loan size is only available for those taking out five or ten-year fixed-rate mortgages and doesn't apply to homeowners fixing for any smaller terms.

Nationwide said the change "provides higher affordability for eligible customers who'll have a track record of mortgage payments and greater payment security through a rate fixed for at least five years".

Henry Jordan, Nationwide's Director of Home, said: "The ability to borrow enough can be a barrier when people look to remortgage, even when they can demonstrate a clean payment history.

"We're pleased to be able to help them by making this change, which should put Nationwide front of mind for those wanting a new mortgage deal.

"With our Helping Hand for first-time buyers as well as the enhanced affordability for home movers and now for those looking to remortgage, we are demonstrating that the country's second largest lender remains committed to supporting all borrowers across the mortgage market."