Alliance & Leicester pulls plug on PlusMortgage
Tuesday, 19 Feb 2008 15:20
Alliance & Leicester is pulling its range of PlusMortgage products from the market today, less than a year after they were launched.
The building society said it was withdrawing the products, which offered a mortgage and combined personal loan, because of "current market conditions".
Alliance & Leicester's PlusMortgage range was launched in April 2007 and was offered through brokers only to 'high quality' applicants. It provided a mortgage of up to 95 per cent of the property's value with an additional unsecured loan.
The products are similar to, and were thought to have been launched to compete with, Northern Rock's Together range which has come under strong criticism recently.
However, today, Stephen Leonard, director of mortgages, said: "Alliance & Leicester is a prudent and responsible lender with PlusMortgage successfully targeting high-quality applicants.
"However, we keep our product range under constant review and given current market conditions, we will be withdrawing our PlusMortgage products at this time."
Just two months ago, in December, the mortgage lender announced it was launching more PlusMortgage products alongside new residential and buy-to-let deals.
The products will be officially withdrawn at close of business today.