Clever Lending has changed its fee policy by offering two options for second charge customers.

Clients can pay a £495 fee on application for packaging a second charge and pay subsequent fees, as detailed in the key facts illustration.

Alternatively a maximum £2,495 fee is added to the second charge but will be the only fee the client pays in most cases, with Clever fronting up other costs.

On the latter option, Clever will continue its 50/50 split on all net income with introducers and pay fees the day after completion.

Sam Kirtikar, managing director at Clever Lending, said: “We are all about transparency and our new dual option introduces a more cohesive and straightforward fee structure that benefits everyone in the loan process.

“The new fees are easy to understand and provide for the packaging and advisory options for the broker and their customers.

“We fully appreciate that second charges should in essence be seen as specialist mortgages and many require them for debt consolidation.

“In this scenario customers won’t have the fees readily available and therefore need to be able to rely on a fair and fixed fee on completion.

“We have reviewed our fees with feedback from brokers and other business partners and we are confident they are fair to the customer and highly competitive in the second’s market.

“Taking into consideration all the costs and qualified resource it takes to process these cases, we have managed to provide competitive options for either business route.”