Mortgages plc pulls all fixed-rate offers

Mortgages plc has dropped all its fixed mortgages to concentrate on trackers, while ratcheting rates up by 1% on all its remaining deals.

The Merill Lynch-owned subsidiary will also pull its self-certifying and right-to-buy mortgages on 7 April.

The sub-prime lender will also cut its maximum loan-to-value ratio to 70% plus lowering its maximum loan size to £300,000.

Mortgages plc said it was following the trend of other lenders, dropping its fixed rate as business levels were increasing.

‘In common with a number of other lenders, we have recently experienced a rapid increase in new business enquiries,’ said Polly Hughes, head of marketing at Mortgages plc. ‘We therefore have no option but to adjust our criteria and pricing to keep control over business levels.’

Under Mortgages plc's new product range, borrowers with county court judgments against them will be able to take out a near prime plus mortgage, a two-year discounted tracker with an interest rate of 9.1%.