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Last updated 27 May 2022.
21 – if joint application, at least one applicant must be 21.
Normally the loan must be repaid before the oldest applicant’s state retirement age detailed below or applicant’s stated intended retirement age, whichever is lower.
Date of Birth State Retirement Age From 6 April 1950 – 5 June 1953 63 From 6 June 1953 – 5 September 1953 64 From 6 September 1953 – 5 October 1954 65 From 6 October 1954 – 5 March 1961 66 From 6 March 1961 – 5 April 1978 67 From 6 April 1978 onwards 68
Maximum Number of Applicants
CCJs & Defaults
CCJs/Defaults within the last 3 years are not acceptable.
CCJs/Defaults => 3 years prior to application are acceptable up to a maximum £2,500 – subject to an explanation and being cleared/satisfied 12 months prior to application.
No other adverse entries must show on credit file.
CCJs/Defaults are not acceptable over 80% LTV.
Up to 80% LTV: Mortgage, loan, HP arrears and missed payments => 3 years prior to application: Status 1s and 2s are accepted – status 3 or above not accepted.
Mortgage, loan, HP arrears and missed payments within the last 3 years are not acceptable.
Credit Card, mail order, utility commitments => 3 years prior to application: Up to and including status 2s are acceptable.
Credit Card, mail order, utility commitments <3 years prior to application: Status 2 – OK to proceed subject to the commitment being up to date for a minimum of 12 months prior to application. =< Status 3 are OK subject to commitments totalling less than £500 and being up to date for a minimum of 12 months prior to application.
Above 80% LTV: Mortgage, loan, HP arrears and missed payments are not acceptable.
Credit card, mail order, utility commitments: A maximum of 3 status 2s are acceptable if less than £100.
No other adverse entries within the last 3 years must show on the credit file.
For non-UK nationals we require the applicant(s) to have resided in the UK for a minimum of 2 years. We will also require proof of indefinite leave to remain/residence certificate or settled or pre-settled status in the UK.
Applicants in probationary period are acceptable, providing they are in like-for-like employment with no gap in employment.
LTV >80%: The applicant must have been in their current business for a minimum of 3 years.
LTV <80%: The applicant must have been in their current business for a minimum of 1 year with a further 2 years’ experience in the same field.
Directors with a shareholding of less than 25% will be classified as employed. We accept salary in dividend as income. If above 25%, we classify as self-employed.
LTV >80%: The applicant must have been contracting for a minimum of 3 years.
LTV <80%: The applicant must have been contracting for a minimum of 1 year with a further 2 years’ experience in the same field.
Zero-hour contracts accepted – please refer.
Applicants’ own deposit or gift from an immediate family member (spouse, parent, grandparent, sibling, child or grandchild) is acceptable. Evidence of the source of deposit is required.
We capture gross annual income and net monthly income details. In addition, we may also consider 60% of regular overtime, bonus or commission (avg. of these over the last 2 years P60). Second employment is considered on a case-by-case basis.
Self-employed: We require 2 years’ accounts covering a 3 year-period, together with 3 years’ tax computations/SA302s to establish income. We assess the income by averaging the last 3 years’ income or we will take the most recent year, whichever is lowest of the two.
Certified Accounts need to be signed and dated within 18 months. In addition, we would require sight of recent Business Bank Statements.
For sole traders we will accept 3 years’ tax overviews and SA302s supported with 3 months’ Business Bank Statements subject to underwriter approval. We will consider cases with 1 year’s trading accounts and 2 years’ P60 if previously employed in the same field, max LTV 80%.
Contractors/CIS Workers: Applicants operating on an hourly or daily rate of pay are acceptable max 80% LTV. Offshore Umbrella Companies are not acceptable. Minimum 6 months completed contract with evidence of past/present/future contracts.
CIS workers are acceptable Max 80% LTV. We require a minimum of 12 months evidence of minimum employment and latest 3 years’ tax overviews/SA302s or previous year’s P60s in same line of work.
For applicants on fixed-term contracts of less than 6 months, the minimum period of employment with the same employer is 6 months. For those on contracts of 6 – 12 months or more, the contract must have been renewed at least once. If the contract is for more than 12 months, the applicant must be more than 6 months into the contract.
100% private and/or state pension.
The Society may also take into account a percentage of any payments received in respect of investment, dividend or rental income if evidenced by 3 years SA302s and accounts or SA100s.
100% of maintenance can be used if court ordered or payments can be evidenced on the most recent 6 months’ bank statements.
100% child benefit payment (children must be included for affordability).
100% of disability living allowance and personal independence payment (must have been in receipt for last 2 years).
100% industrial injuries benefit.
The minimum loan size is £35,000 – at least 50% of the discounted purchase price to be funded by mortgage lending. The maximum mortgage is 95% of the discounted market value, £237,500 (£399,000 London).
Minimum: 5 years (product dependent)
Maximum: 35 years
Consent to Let
Can be considered but we must obtain Local Authority approval. The maximum consent to let period is 2 years – beyond this term, further Local Authority approval will be required.
Minimum Property Value
The property must be the main residence of the applicant(s).
Properties must be of traditional construction.
Timber framed properties may be considered if brick clad.
New build houses subject to NHBC/Local Authority Building Control Scheme/Premier/Checkmate (Castle 10)/Buildzone/Zurich/ICW (International Construction Warranties)/AHCI Ltd or Professional Consultants Certificates.
HMOs, self-builds, properties held in Trust, present or former hotels/guest houses/B&Bs, commercial properties (even if applicants intend to convert back to residential).
Studio flats and ex-local authority flats/maisonettes.
Purpose built flats/maisonettes.
New build flats.
Flats/apartments more than 4 storeys.
Flats above commercial property.
Any construction covered by Housing Defect Legislation such as high alumina cement, prefabricate reinforced concrete, large panel system, BISF.
Any property where an EWS1 form for wall cladding is required.
Reasons for Additional Borrowing
Debt consolidation (maximum £30,000).