Pepper, the Irish subsidiary of the Australian-listed financial services group, is to start selling mortgages directly to Irish customers for the first time through the launch of a new direct-to-consumer platform .
Pepper Money will provide mortgages for both residential and buy-to-let customers, and it specialises in a number of areas including refinancers, buy-to-let, the self-employed and people with historic credit issues.
Customers can apply for a mortgage with the lender via its website (peppermoney.ie) or its customer services team in Shannon. Customers can also still submit an application through Pepper’s panel of approved mortgage brokers. Pepper promises to respond with an approval in principle for customers within 24 hours.
Paul Doddrell, chief executive of Pepper Ireland, said the move was a reflection of the success of its mortgage launch in the Irish market, particularly for groups of consumers with otherwise limited options.
“ Our products are intended to target a broader and more diverse range of customers so we tailor our loans based on people’s needs; for example, our Advantage mortgage is really unique and fit-for-purpose in this market because it gives people with a legacy credit event an option they probably won’t find elsewhere.”
Post-crash
Pepper became the first new mortgage lender in the Irish market since the banking crash in late 2008 and the first non-bank group to offer home loans, when it started offering mortgages last February through a small group of brokers. Now it’s ramping up its presence.
Pepper Money is the new consumer-facing brand launched globally by Pepper Group, and it offers a range of consumer finance products including mortgages, personal and car loans, equipment finance and credit cards. It is expected that the group will roll out some of these additional products, such as car loans, in Ireland too.
“The new Pepper Money brand will support our ambition to expand our finance products into areas such as auto and personal loans, as we look to grow the business,” Mr Doddrell said.
Three products
Pepper offers three mortgage products, with specific products available for self-employed professionals or those with non-standard employment types, as well as those with legacy credit issues that may hinder their ability to borrow. Rates start from 3.1 per cent or 3.23 per cent APR for borrowers with a loan to value of less than 50 per cent, or from 3.85 per cent (4.01) for those with credit issues. For investors, Pepper has buy-to-let rates starting at 4.4 per cent. However, there are restrictions in where it will lend; on its website Pepper says it will only lend in Dublin and surrounding counties (Louth, Meath, Kildare, Wicklow); Cork city; Galway city; Limerick city; Ennis; Shannon; and Kilkenny. However, according to Pepper, while its initial focus is on the main geographic regions and commuter belts, it will look to expand to new locations over time, and recently added Kilkenny to its approved locations.
Pepper first came to Ireland in 2012 and it now employs more than 400 people in Shannon and Dublin, where its offices are located. It has over €16 billion of assets under management.
