Citadel Servicing Corp., a California-based nonbank wholesale mortgage lender and servicer, has rolled out a subprime second trust deed loan program.
The loan allows borrowers with credit scores as low as 550 access to up to $350,000 in credit using bank statements as proof of income, despite already having a mortgage on their home.
"This is the first time since 2008 that a second trust deed loan has been available to borrowers with distressed credit or alternative income verification requirements," Citadel's press release touting the new product said.
"This is a needed alternative to rising interest rates in prime lending and a complement to our current menu of nonprime residential lending programs," said William Fisher, Citadel's senior vice president and national sales director in the release.
Citadel's release claimed that it is the first lender to begin lending on residential properties to subprime borrowers again after the financial crisis.
