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Lending criteria.

We can help with all types of cases, so check our lending criteria for the latest guidelines.

Our criteria is split into residential and buy to let, so use the options below to find the criteria you need.

Can extend mortgage offer

Indicates if we can potentially extend a clients mortgage offer beyond the standard expiry.

We can extend a clients mortgage offer beyond the standard expiry.

CCJs registered between 12 to 24 Months

Indicates if we can potentially accept applicants that have had any CCJs registered more than 12 months ago and less than 24 months ago. Other factors will also be taken into consideration such as, but by no means limited to, number of adverse, value and the overall credit profile of an applicant.

We can potentially consider applicants that have had CCJs registered more than 12 months ago and less than 24 months ago.

For applications where the LTV is less than 80% we will ignore CCJ’s made more than 1 year ago which has since been satisfied.

For applications where the LTV ratio is over 80% we will consider CCJ’s up to £500 made over 12 months ago but now satisfied.

If LTV is 95% we would expect the credit report to be very clean.

CCJs registered between 24 to 36 Months

Indicates if we can potentially accept applicants that have had any CCJs registered more than 24 months ago and less than 36 months ago. Other factors will also be taken into consideration such as, but by no means limited to, number of adverse, value and the overall credit profile of an applicant.

We can potentially consider applicants that have had CCJs registered more than 24 months ago and less than 36 months ago.

For applications where the LTV is less than 80% we will ignore CCJ’s made more than 1 year ago which has since been satisfied.

For applications where the LTV ratio is over 80% we will consider CCJ’s up to £500 made over 12 months ago but now satisfied. Where the applicant has multiple CCJ’s, defaults or they exceed £1000 in value refer to underwriting.

If LTV is 95% we would expect the credit report to be very clean.

CCJs registered between 3 to 12 Months

Indicates if we can potentially accept applicants that have had any CCJs registered more than 3 months ago and less than 12 months ago. Other factors will also be taken into consideration such as, but by no means limited to, number of adverse, value and the overall credit profile of an applicant.

We will not consider applicants that have had CCJs registered more than 3 months ago and less than 12 months ago.

CCJs registered in last 3 Months

Indicates if we can potentially accept applicants that have had any CCJs registered in the past 3 months. Other factors will also be taken into consideration such as, but by no means limited to, number of adverse, value and the overall credit profile of an applicant.

We will not consider applicants that have had CCJs registered in the past 3 months.

CCJs registered over 36 Months ago

Indicates if we can potentially ignore CCJs that were registered more than 36 months ago. Other factors will also be taken into consideration such as, but by no means limited to, number of adverse, value and the overall credit profile of an applicant.

We can potentially ignore any CCJs that were registered over 36 months ago. Where the applicant has multiple CCJ’s, defaults or they exceed £1000 in value refer to underwriting.

If LTV is 95% we would expect the credit report to be very clean.

Concessionary purchase (Family)

Indicates if we accept concessionary purchase applications where the current owner is related to one of the applicants. For example, Mr Smith has agreed to sell a property he owns to his grandson (Joe) for £150,000. The property is worth £200,000. Joe wishes to purchase the property for £150,000 and would like a lender who will use the difference between the property value and the purchase price as a deposit (£50,000).

This would be treated as transaction at under value. Our underwriting team will need to be made aware of the original property value and the value that the client is purchasing the property for. Your client will need to provide their own deposit as well.

Concessionary purchase (Landlord)

Indicates if we accept concessionary purchase applications where the current owner is the landlord of the property and the applicant(s) are the tenants. For example, Mr Landlord has agreed to sell the property he Lets to his tenants (Tom and Sally) for £150,000. The property is worth £200,000. Tom and Sally wish to purchase the property for £150,000 and would like a lender who will use the difference between the property value and the purchase price as a deposit (£50,000).

Concessionary purchase Where Giftor Will Remain

Indicates if we accept concessionary purchase applications where the current owner is providing a gift of equity AND WILL REMAIN IN THE PROPERTY. For example, Mr Lane has agreed to sell a property he owns to his son (Tony) for £150,000. The property is worth £200,000. Tony wishes to purchase the property for £150,000 and would like a lender who will use the difference between the property value and the purchase price as a deposit (£50,000) and is happy for Mr Lane senior to remain in the property.

We will not accept the situation where it is a concessionary purchase where the gifter will remain an occupant of the property.

Consent to Let a Room (via AirBnB or similar)

Indicates if we allow borrowers to Let a room via services such as AirBnB or similar. FOR CLARIFICATION this is for the situation whereby the borrower resides in the security property and Lets a room in that property.

We do not allow borrowers to Let a room in their main residence via AirBnB or similar

Consent to Let, Tied Accommodation

Indicates if we can potentially allow applicants that are in tied accommodation to take a residential product and give the applicant permission to Let the property whilst they remain in the tied accommodation. For example an applicant who is moving into or currently in tied accommodation linked to their employment (e.g. boarding school teacher, vicar/minster, estate worker, army barracks etc) and will remain in this situation until their job ceases at some point in the future. They’d like to purchase a property that they intend to live in at a later date but would like to Let the property whilst they remain in tied accommodation.

We are only able to accept this for Armed Forces

Contract Reassignment

Indicates if we are potentially able to accept the situation whereby the purchaser is looking to buy a new build property from a third party (not the builder/developer) who has yet to complete on the transaction. An example of this is whereby a third party has secured the property off plan and exchanged contracts but has not completed. They then sell the contract to a new purchaser. This is known as ‘contract reassignment’. Sometimes this is for a premium of the original purchase price and sometimes it is without a premium.

We do not accept applications where contract reassignment exists

Contractor Income: Agency work

Displays if we will accept Agency work as an acceptable source of income for affordability purposes.

We are unable to accept this form of income

Contractor Income: CIS Contractor

Displays if we will accept CIS Contractor as an acceptable source of income for affordability purposes.

We are able to accept CIS Contractors – we will assess income using applicants SA302/accounts.

Contractor Income: Fixed Term Contract

Displays if we will accept Fixed Term Contract as an acceptable source of income for affordability purposes.

Employees on a fixed term contract are acceptable provided:

This is normal practice for nature and line of employment
There is a reasonable history of contract employment in that line of work (2 years or more) and there is at least three months left to run on the current contract
If less than 2 years contract history then the current contract must have at least 12 months left to run

Contractor Income: IT Consultant

Displays if we will accept IT Contractor as an acceptable source of income for affordability purposes.

We can accept IT Consultants.

Contractor Income: Nursing Bank

Displays if we will accept Nursing Bank as an acceptable source of income for affordability purposes.

We can accept 100% but must not be the applicants primary source of income and they must have a minimum of 18 months history as well as a P60 and 3 months payslips.

Contractor Income: Piecework Contract

Displays if we will accept Piecework Contract as an acceptable source of income for affordability purposes.

We are unable to accept income from a Piecework contract

Contractor Income: Probationary contract

Specifies if we accept someone’s income who is on a ‘probationary contract’. A probationary contract is not the same as a probationary period. If your client is simply in a probationary period then you should check that specific criteria.

We will not accept someones income who is on a ‘probationary contract’.

Contractor Income: Rolling contract

Indicates if we can accept a rolling contract as an acceptable source of income for affordability purposes.

We can potentially accept income from a rolling contract

Contractor Income: Seasonal Contract

Displays if we will accept Seasonal Contract as an acceptable source of income for affordability purposes.

We are not able to accept this form of income

Contractor Income: Short Term Renewable Contract

Displays if we will accept Short Term Renewable Contract as an acceptable source of income for affordability purposes.

We cannot accept customers on short term renewable contracts.

Contractor Income: Sub contractor

Displays if we will accept Sub contractor as an acceptable source of income for affordability purposes.

We can accept 100% of a sub contractor income – This is assessed using our self employed criteria.

Contractor Income: Temporary Contract

Displays if we will accept Temporary Contract as an acceptable source of income for affordability purposes.

We are unable to accept income from a temporary contract

Contractor Income: Umbrella Company

Indicates if we can consider contractor income where the income paid to the applicant is paid via an umbrella company.

We can consider contractor income that is paid via an umbrella company. Affordability is based on Day Rate x 5 Days per week x 46 weeks.

Contractor Income: Zero Hours Contract

Displays if we will accept Zero Hours Contract as an acceptable source of income for affordability purposes.

We accept 100% of income provided there is a minimum of 18 months track record of earnings, now including bank nurses.

County Court Judgements (CCJs) (Satisfied) potentially accepted

Indicates if we can potentially accept applications from applicants that have had/or have satisfied CCJs registered against their name.

We can potentially ignore County Court Judgements that have been satisfied. Either the original Satisfaction Certificate must be seen prior to completion or the credit search must confirm that the CCJ is satisfied. For applications where the LTV is less than 75%, we will ignore CCJs that were made more than a year ago that have since been satisfied. CCJs up to £500 made within the last 12 months but now satisfied are also considered. Where the LTV ratio is over 75%, we will ignore CCJs that were made more than three years ago that have since been satisfied. CCJs up to £500 made over 12 months ago but now satisfied are acceptable.

County Court Judgements (CCJs) (Unsatisfied) potentially accepted

Indicates if we can potentially accept applications from applicants that have had/or have unsatisfied CCJs registered against their name.

We will not consider applicants that have a CCJ outstanding, this would need to be satisfied.

Covid-19: Are you offering a payment holiday?

Displays if we will allow borrowers to take a payment holiday due to payment difficulties related to the Covid-19 outbreak.

We can potentially consider allowing borrowers to take a payment holiday due to problems relating to the Covid-19 outbreak. Following the government’s statement on 17 March 2020 regarding mortgage payment holidays, we have updated our approach to how we can offer this to our members affected by COVID-19. Affected borrowers who are up to date with their mortgage payments and seeking a mortgage payment holiday are asked to complete and return our self-certification form by post or by email to [email protected] (we suggest using secure email where possible). Agreed arrangements will not be reported to credit reference agencies. Borrowers who are already in a payment shortfall or arrears will need to contact us in the first instance to discuss the options available.

Covid-19: Fees waived for missed mortgage payments (not agreed payment holidays) due to Covid-19 difficulties

Displays if we will consider waiving fees for late mortgage payments that were due to payment difficulties related to the Covid-19 outbreak.

We will not waive fees for late-payments that were due to payment difficulties related to the Covid-19 outbreak at this time unless a payment holiday has already been agreed within a reasonable time before the next payment.

Covid-19: Policy

Displays if we have a Covid-19 policy and if so the details of it.

Most Covid-19 policy changes no longer stand and normal criteria prior to the pandemic has resumed. Please contact the Business Development Team to discuss further.

Covid-19: Will allow conversion to interest only?

Displays if we will allow borrowers to convert their mortgage from repayment to interest-only due to payment difficulties related to the Covid-19 outbreak.

Please contact the Business Development Team to discuss further.

Credit Checks with Equifax

Indicates if we use Equifax as a credit reference agency when assessing applications.

We use TransUnion as a credit reference agency when assessing applications

Credit Checks with Experian

Indicates if we use Experian as a credit reference agency when assessing applications.

We use TransUnion as a credit reference agency when assessing applications

Credit Checks with Transunion (formerly Callcredit)

Indicates if we use Transunion (formerly Callcredit) as a credit reference agency when assessing applications.

We use TransUnion as a credit reference agency when assessing applications

Credit Scores?

Indicates if we use ‘credit scoring’ to assess a client(s) mortgage application usually, at, agreement in principle (AIP) stage.

We do not credit score. We will carry out a credit search for all applicants at all known addresses covering a three-year history. All parties eligible to vote should appear on the Voters Roll at those addresses. Where an applicant does not appear on the Voters Roll, we will need alternative satisfactory proof of residency, for a full two-year history from the date of application. If the applicants are existing customers then no proof of residency will be required (although we will still carry out a credit check). Any proof of residency must be original. Alternatively, copies can be accepted annotated with wording similar to “I confirm this is a true copy of the original document”. The documentation should be signed and dated by the mortgage intermediary.

Criminal Convictions

Indicates if we can potentially accept applicants that have a criminal record.

We can potentially accept applicants that have criminal convictions. These convictions must be spent and cannot be monetary related, such as fraud, money laundering etc. They must be able to obtain home insurance on standard terms.