Northern Rock to offer 90% mortgages

The lender could make the new high loan-to-value mortgage available from today, as it seeks to boost revenue ahead of a return to private ownership, reports the Financial Times. The bank's risky policies, offering borrowers up to 125% of the property's value, contributed to the financial crisis, according to the paper. Since then, it has capped its loans to a maximum of 85%. It is expected to limit the amount of funds it makes available for 90% deals. Rates could start at just below 6% and the deals will only be made available direct to consumers. Northern Rock received £3bn in t...