Masthaven Secured Loans secured its first bank funding line through Royal Bank of Scotland in April.

The funding boost will allow the lender to compete more strongly in the second charge sector and develop its product range.

Loan Introducer speaks to Paul Brett, director of sales at MSL, about what the new funding means to the business.

Q: How significant is your recent funding line from RBS to the future of your secured loan business?

A: Even though we already have strong funding, the RBS line allows us to become a great deal more competitive.

Q; How hard was it to get the agreement?

A: It was a massive amount of work on all sides. However both sides recognise the positive future that secured loans have, which was the real driving force.

Q: Do you have any ambitions as to how much secured lending you would like to do in the next few years?

A: Yes of course, we need to match our reputation and award winning service with excellent products and our imminent product release will clearly demonstrate to the market that we mean business.

Q: Will brokers be seeing new products from Masthaven as a result of the funding line?

A: Yes, reduced rates and revised products together with first charge products.

Q: Do you think FCA regulation has had a positive effect on the sector?

A: There is always confusion and fear when a market becomes regulated, but then it settles down and the market will be better for it. Not only does regulation ensure that professional integrity becomes embedded, it also increases customer confidence in the long run.

Q: Do you expect demand for secured loans to keep increasing over the next twelve months and if so, what types of product do you think borrowers want to see?

A: The housing market recovery and increased consumer confidence, coupled with job stability, will mean that the public will be looking to spend money on their properties to complete home improvements etc that may have been needed for years, and of course there are many other reasons for borrowing.

Q: Are you confident mortgage brokers will start to embrace the second charge market?

A: As MMR kicks in, brokers and networks are realising that they have to have a secured loan option in their box of tools, so yes.

Q: What do you think some of the challenges facing the sector are?

A: Broker and consumer education. Both take time and money

Q: What is the one item in your life you could not live without and why?

A: Really? Probably a cook’s knife (8 or 10 inch – doesn’t matter)

Q: Which three people would you most like to be stranded on a desert island with and why?

A: Hmmm, Caesar Ritz, Auguste Escoffier and Nat King Cole. Ritz to build a hotel, Escoffier to cook the food and Cole to provide the music. Let’s face the music and dance!