What's the Deal with a Non-Status Remortgage?

A non-status remortgage does not meet the traditional requirements for proof of income. Instead, a borrower can simply state an income without providing tax schedules or payment receipts. 

What Does Non-Status Mean?

Non-status loans are any loans that do not require proof of income. You can seek a non-status car loan, home loan or refinancing loan. Non-status lenders disappeared in large numbers after the recession that began in 2007. There are still some lenders willing to take the risk of giving a loan without the borrower's proof of income, but most banks are no longer in the non-status business.

What Does Remortgage Mean?

A remortgage is a second mortgage on your home that replaces the first debt. The second mortgage is taken in an amount much larger than what you still owe on the current mortgage. You pocket the cash for additional liquidity. Non-status remortgages are popular for individuals who are self-employed, receive large bonuses, or have income streams that are not typically included in a paycheck. They can get a second mortgage with a higher limit and better terms from a non-status lender than they received on their first loan from a traditional lender.