Families hoping to get on the housing ladder may be set to benefit as lenders look for more imaginative ways to lend money to buy homes.
Last week, Skipton Building Society announced the launch of the first 100% mortgage in the UK since 2008, and now Leeds Building Society is using subscriptions services such as Netflix or Spotify to determine whether applicants are likely to pay back their loan.
Of course, there are many factors considered by lenders when assessing a mortgage application, such as income, employment status, and overall affordability and lenders will usually turn to at least one of the three major UK credit referencing agencies - Equifax, Experian and TransUnion - when considering a mortgage application. However, Leeds, which is the UK's 13th biggest building society, has become the first lender to use data on Experian Boost, and said that 7.5% of applicants should gain an improvement in their credit score.
