The direct-to-consumer lenders in 2026
A small number of UK second-charge lenders accept direct applications from borrowers. The list changes as lenders adjust distribution strategy; as at 2026 the mainstream options are as follows.
| Lender | Direct Channel | Typical Strength | Notes |
|---|---|---|---|
| Selina Finance | Online portal | HELOCs and clean-credit second charges | Fast digital application |
| Tandem Bank | Online portal (via app) | Green home-improvement loans | Smaller panel |
| United Trust Bank (some products) | Direct enquiry | Prime and BTL second charges | Most products broker-only |
| Santander (some secured loans) | Branch & online | Existing Santander mortgage customers | Limited product range |
| Nationwide (existing customers) | Branch | Further-advance route — not second charge | Technically not a second charge |
The list is short for a reason: specialist second-charge lending is a credit-heavy product class where broker-led packaging and criteria-matching materially improves conversion. Lenders recoup distribution cost through procuration fees to brokers rather than through consumer marketing.
Why most lenders stay broker-only
UK second-charge lending historically evolved out of consumer-finance and sub-prime first-mortgage markets, and the business model still reflects that. Specialist lenders (Pepper, Together, Evolution, Norton, Spring, Equifinance) typically have small sales teams, sophisticated criteria, and a heavy reliance on intermediaries to pre-screen applicants. They price, underwrite and service around an expectation that every case arrives with a packaged document set and a broker recommendation.
From a consumer-protection perspective this is actually sensible. Second-charge lending frequently involves adverse credit, complex income, or debt consolidation where advising the borrower on alternative routes (further advance, unsecured, remortgage) is part of the right outcome. The FCA’s Consumer Duty reinforces this: lenders expect brokers to have properly assessed whether a secured loan is the right solution for the borrower’s circumstances.
A small minority of lenders see an opportunity in clean-credit, digitally-native borrowers who know exactly what they want and do not need advice. Selina Finance and Tandem Bank are the clearest examples. These lenders accept direct applications because their target customer is prime-credit, straightforward income, owner-occupier — a profile where broker advice adds less value.
What you gain going direct
The main attractions of applying directly are fee savings and simplicity. Broker fees for second-charge mortgages typically run at 1% to 5% of the loan amount, capped in some cases at £2,500 to £7,500. A £50,000 loan at a 3% broker fee costs £1,500; going direct saves this. Over the life of a 10-year loan, that £1,500 saving is equivalent to around 3 basis points on the APRC, which is significant though not transformative.
Simplicity is the other gain. Direct lenders typically run clean online portals where you answer 20 to 40 questions, upload documents, and receive a decision-in-principle in minutes rather than hours. Selina Finance advertises a DIP-to-offer time of 3 to 7 working days for straightforward cases.
Privacy is a smaller but real gain: some borrowers prefer not to disclose sensitive circumstances to a third party. Going direct puts you in one conversation with the lender rather than two (with broker, then with lender).
However, direct-to-consumer is only a rational choice if your circumstances fit within the direct lender’s criteria. If you have any adverse credit, complex income, buy-to-let purpose, non-standard property or high LTV, the direct panel narrows quickly and you are likely to be declined one lender at a time rather than placed efficiently.
What you lose without a broker
The biggest practical loss going direct is market access. The UK second-charge market runs 15 to 20 active lenders, each with different criteria, pricing tiers and risk appetite. A broker with panel access can — on a £50,000 loan to a borrower with a recent DMP — get three to five DIP outcomes within 24 hours, pick the best rate and proceed. A direct applicant is limited to lenders with direct channels, which for adverse-credit cases is effectively zero.
You also lose criteria-matching expertise. Lenders each have a subtle ruleset: Pepper Money accepts a satisfied CCJ over 36 months; Together Money accepts recent missed payments if not in the last six months; Spring Finance accepts active DMPs if conduct is clean for 12 months; Norton Home Loans serves very thin-file or unusual-income cases. A good broker knows these by heart and routes cases efficiently; a direct applicant has to try, fail and try again — each failed attempt leaving a mark on your credit file.
You lose negotiation leverage. Brokers with volume panels can negotiate reduced fees, waived valuation costs or free legals for good borrowers. A direct customer pays rack rate.
And you lose advocacy if something goes wrong. If valuation comes in low, if the first lender drags the Deed of Postponement, or if the lender queries income — a broker can escalate on your behalf. Direct applicants must navigate each problem themselves.
