Atom bank cuts Near Prime rates and helps customers back onto Prime
12 June 2025
- Atom bank has repeatedly cut rates on its Near Prime range in 2025, providing customers with lower borrowing costs
- More than 70% of Atom Near Prime customers have qualified for a Prime product over the past 12 months.
Atom bank, the UK’s highest rated mortgage lender on Trustpilot, has reduced rates on its Near Prime residential mortgage range.
Rates have been reduced by 0.10% on two- and three-year fixed rate Near Prime products up to 85% loan-to-value (LTV). The reductions take place with immediate effect.
As a result of the latest round of reductions, rates on two-year fixed rate Near Prime products start at 5.39%, while rates on three-year products begin at 5.24%. Pricing on Atom bank’s five-year fixed rate Near Prime products is unchanged, with products starting at 5.14%.
The path back to Prime
A compelling feature of Atom bank’s proposition is automatically rewarding Near Prime customers who improve their credit position with a Prime product at maturity. More than 70% of these customers have qualified for a Prime product over the past 12 months.
Atom bank has also repeatedly cut rates on its Near Prime range in 2025, providing customers with lower borrowing costs.
The maximum LTV available on Near Prime products was increased to 90% earlier this year, and followed a host of enhancements to criteria in 2024 which has opened up the range to a broader number of borrowers who have experienced credit issues. These include more than doubling the acceptable level of unsatisfied defaults to £2,500 and reducing the ‘look back’ period for defaults from three years to two.
Atom bank has reported seeing record levels of activity on its Near Prime range, with applications in April 2025 setting a new high. This record level of activity comes off the back of the criteria improvements and rate cuts, which aim to make it easier for borrowers with less than perfect credit to access funding.
Richard Harrison, Head of Mortgages at Atom bank, said:
“I am delighted to confirm another round of rate cuts on our Near Prime range, which I know will be welcomed by brokers and their clients. We are determined to provide borrowers with great value, even if they have experienced a temporary payment blip in the past.
“Combined with our market-leading speeds and flexible criteria, Atom bank’s Near Prime proposition is striking a chord with brokers, ensuring we increasingly become a go-to option for borrowers with an imperfect credit history.
“We are really proud of the fact that the majority of our Near Prime customers have qualified for a Prime product at maturity in the last year. We continue to provide a clear path back to Prime status for those borrowers who have suffered a temporary credit blip, ensuring that they get back on a sound financial footing when the time is right.”
