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When lending exceeds a certain loan-to-value, lenders may require additional security. The simplest form of additional security is a single mortgage loan-to-value, however other security such as cash or shares may be accepted as security.

An insistence by the lender for additional security should borrowing exceed a fixed Loan to Value. The lender will use this additional fee to fund indemnity as a form of risk protection, or they could agree to accept other forms of security.

In today's mortgage climate it may be that lenders will require increased security to dela with the increased risks that the lenders have to accept in lending.



 

Bad Credit, Self Employed, In a hurry
Getting a new deal can be a challenge if your situation has changed. In the current climate remortgage problems are common.