The news follows IBB’s announcement of a £20m capital injection from founding shareholder Qatar International Islamic Bank.
The HPP allows customers to purchase their home in partnership with the bank on a leasing and diminishing partnership agreement. Rates start at 3.99 per cent and all products carry an arrangement fee of £299.
The bank’s intermediary team are available to support and guide intermediaries through IBB’s Islamic mortgages. The bank also has an intermediary helpline and a dedicated intermediary Islamic finance website.
IBB commercial director Sultan Choudhury says: “There is a growing demand amongst UK home-buyers for competitive, Sharia compliant home finance as an alternative to conventional mortgages.
This partnership between Legal & General and IBB gives Mortgage Club intermediaries access to a wider choice of products, an additional revenue stream and the ability to extend their offering across a diverse range of communities. Working with Legal and General marks a significant step forward for the Bank’s plans to expand its reach.
”L&G head of mortgage products Martyn Smith says: “This relationship between IBB and Legal & General gives our brokers the opportunity to tap in to more potential customers and gain a real competitive edge. We pride ourselves on being ahead of the game by offering competitive and innovative products. We welcome IBB and look forward to a mutually beneficial partnership.”