Gen H launches lower revert rate and cuts SVR in bid to support customers through cost of living crisis

January 23, 2024
|
London, UK

Gen H has announced it is introducing a Bank of England base rate +2% revert rate for new business – one of the lowest in the residential market – and lowering its standard variable rate (SVR) for existing customers by 2% to 7.25%.

Whether a homeowner chooses to use a standard variable rate or revert rate for its flexibility, for example, to make overpayments without fees, or because they find themselves unsure of their next steps at the end of a fixed rate term, the rate they pay should be as low as it can be. 

Pete Dockar, Gen H Chief Commercial Officer, said, 

“For many homeowners, variable rates are a frightening thing, because they’re typically much higher than the fixed rates available to lock in. We don’t want to encourage people onto the revert rate, but we realise that sometimes, life happens – you might miss your deadline to lock in a new fix, you may want to wait for lower rates to come along, or you may want the flexibility to make big overpayments without extra fees. In all of these cases, customers deserve a more affordable alternative to the opaque variable rates offered by many high street banks. Homeowners shouldn’t be punished for not locking in a fix.”

The lower revert rate and SVR will also help insulate homeowners from possible payment shocks if they don’t lock in a new fix at the end of their term. 

Gen H retired its SVR and introduced its revert rate in January 2023. The tracker revert rate is intended to help customers better understand the cost of their mortgage and how wider market activity can impact their finances.

Gen H has long geared its innovation toward supporting first-time buyers onto the ladder with the unique affordability and deposit solutions. In December 2023, the lender also began incorporating Experian Boost data in its credit decisioning and was the first to reintroduce sub-4% rates, both moves intended to increase accessibility of homeownership. 

The reduction of the revert rate, in turn, is designed to help Gen H’s existing customers own their homes well and build wealth through homeownership. 

For editors

Pete Dockar is available for comment.

Gen H is a fintech mortgage lender founded in 2019 with the goal of helping everyone become a homeowner. Gen H takes a customer-first, tech-led approach to lending, prioritising fair prices, flexible criteria and exceptional customer service for a seamless and supportive borrowing experience. Products are available online and through select clubs and networks such as the Legal & General Mortgage Club, PRIMIS, TMA Club, and Simply Biz.

Gen H is authorised and regulated by the Financial Conduct Authority. Our Financial Services Register number is 921355.

For journalist use only. 

Terms & conditions apply.

Media contact:

Leanne Sarjant
leanne@generationhome.com