Mortgages by jianghongl

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									                                                                                  RML 022 V2 03/08
      Mortgages
       Self-certified mortgage




                                     ■   We can lend up to 85%
                                         Loan to Value (LTV).
                                     ■   Minimum loan £25,000 up to maximum
                                         loan of £2,500,000.
                                     ■   Maximum loan decided on affordability
                                         using our web based model.
                                     ■   No evidence of income required.
                                     ■   We can accept foreign nationals living
                                         in the UK, with acceptable UK
                                         credit profile.

Heritable Bank
8 Hill Street, Berkeley Square
London W1J 5NG
T: +44 (0)20 7518 4224
F: +44 (0)20 7495 7577
DX: 44612 Mayfair
E: mortgages@heritable.co.uk
www.heritable-intermediaries.co.uk
1. Our commitment

Like all our products, our Self-Certified (Self-Cert) Mortgage is underpinned by Heritable Bank’s commitment to service:
■   You can always speak to a decision maker – no call centre.
■   All cases are personally reviewed by experienced underwriters.
■   We will work hard with you to understand your client’s case.
■   Treat our lending criteria as a guide – we will ‘design’ a mortgage for your client.
As a result we are also well placed to look at scenarios where your client’s
proposal does not fit mainstream products.
See our web site at www.heritable-intermediaries.co.uk or to contact us
for more information or to discuss a case:
■   Telephone                      +44 (0)20 7518 4224
■   Fax                            +44 (0)20 7495 7577
■   E-mail                         mortgages@heritable.co.uk
See separate product information sheets for details of our:
■ Full status product

■ Buy to Let products



2. Lending guidelines

                   We will normally accept cases within these criteria                              Our underwriters will be happy to
                                                                                                    consider these circumstances

Applicant types    Age     Minimum age 21.                                                          We will consider up to age 75
                           Maximum age 65 at maturity.                                              with rationale

                   Self-employed.                                                                   We can consider applications from good
                   Employed, provided also has income other than from employed position.            quality FTBs in exceptional cases.

                   Foreign nationals living in the UK accepted, providing they have an acceptable
                   UK credit profile (except new build flats).
                   We cannot normally accept first time buyers (FTB).

Employment         Self-employed: Sole traders, partners and directors holding 25% or more of the
details            issued share capital, who have been self-employed for at least 2 years in the
                   same business.

                   Employed: We can only accept applications where applicant has income from
                   other sources in addition to their employed position.

Purpose            Purchase or re-mortgage.
                   Further advances.
                   We do not lend on new build flats.

Credit history     No adverse credit history.                                                       We are happy to consider applications where
                                                                                                    applicants have satisfied CCJs and defaults
                   Applicants with outstanding defaults or CCJs will not normally be accepted.      and a satisfactory explanation can be provided.
                                                                                                    Evidence that the debt has been repaid will
                                                                                                    be required.
2. Lending guidelines (continued)

                 We will normally accept cases within these criteria                                    Our underwriters will be happy to
                                                                                                        consider these circumstances

Loan to value    Loan Amount                            LTV Limit                                       We can provide some flexibility on LTVs
limits                                                                                                  particularly where a number of properties are
                 Up to £300,000                         85%                                             mortgaged to us where we can average the
                 £300,001 up to £400,000                80%                                             LTV across the portfolio.
                 £400,001 up to £750,000                75%
                 £750,001 up to £1,000,000              70%                                             We can also provide flexibility if additional
                 £1,000,001 up to £1,500,000            65%                                             security is available e.g. second charge over
                 £1,500,001 up to £2,000,000            60%                                             another property with sufficient equity.
                 £2,000,001 up to £2,500,000            55%

                 Limits apply to the value of each property financed.

Income           All customers must complete the affordability calculator on our website to
multiples        ascertain the maximum loan available.

Remortgages      Where a remortgage takes place with a maximum of 10% increase in borrowing,
                 provided two years’ satisfactory payment history can be confirmed, no income
                 multiple will be used and no other external references sought.

Evidence of      Full details of income should be provided on the application form but evidence
earned income    not normally required. Please provide an explanation why the borrower is self-
                 certifying and provide as much information as possible to help our underwriter
                 understand the background.

Acceptable       We accept most common types of property construction.                                  Unusual properties will be considered.
properties       We only lend on property located in England and Wales.
                                                                                                        For semi-commercial mortgages, see separate
                 ■   Minimum property value £40,000.                                                    product information sheet.
                 ■   We can accept a freehold property split into flats.
                 ■   We do not normally lend on freehold flats, studios or live/work units.
                 ■   We do not lend on new build flats..

Tenure           Freehold:           except freehold flats / maisonettes.                               We can look at cases with short lease where
                                                                                                        intention is to extend the lease.
                 Leasehold:          50 years left at end of term.
                                     35 years left at end of term in London.
                                     Shorter leases considered for exceptional properties.

Repayments       Term:               minimum 5 years.
                                     maximum 35 years.

                 Method:             repayment, interest only (if interest only, the application form
                 must
                                   indicate the proposed method of repayment) or a
                 combination of both.

                 Payments:           monthly in arrears by direct debit,
                                     interest is accrued daily.

Discounts and    (1) New build houses
incentives       ■ We can lend up to 95% of the discounted purchase price provided the market

                   valuation does not exceed normal LTV limits.
                 ■ We do not accept valuation transcribes on new build property.

                 ■ We do not lend on new build flats.



                 (2) Gifted deposit from relative/ inheritance
                 ■ We can lend up to 95% of the discounted purchase price provided the market

                   valuation does not exceed normal LTV limits. We will apply deed of gift/
                   bankruptcy indemnity conditions.
                 ■ Vendor or gifted deposits and inherited properties accepted.

                 ■ We will require an adequate explanation and evidence of the discount.



                 For both of the above instances we can consider a re-mortgage application after
                 6 months’ ownership subject to fresh valuation.




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3. Rates and fees

We offer a comprehensive range of competitive interest rates on our Self-cert product. Please refer to our current mortgage interest rate guide,
available from our web site, for our latest deals together with details of fees and charges relating to new business. A separate tariff of charges leaflet
is also available listing all account fees and charges which may be payable in the future.

4. Application processing – help us to help you speed up the processing of your client’s mortgage application

Please obtain an Agreement In Principle online or, if you need to discuss the case with an underwriter, by phone first.

All application forms and documents are available to download from our website. Please complete an application form for each mortgage as fully as
possible. The following documentation should be included with every application:
Fees
The valuation and assessment fee – please refer to the tariff guide for the correct amount. We accept payment by credit or debit card so please complete
the appropriate section on the application form.
Reference requirements, one of the following:
Evidence of payment of last 12 months’ mortgage payments or rent.

Latest 3 months’ bank statements will be required. These are required to ensure that financial affairs are being properly conducted (not to check income).

For the employed, the Bank may contact the applicant’s employer. For the self-employed the Bank may contact the applicant’s employer.
Proof of income
None required, please complete the self-certification section of the application form.
Affordability results (self-employed only)
For all self-employed applicants using the affordability calculator, please print the results and submit with the application.
Verification of deposit
To comply with money laundering regulations, the applicant must always provide us with evidence of the source of a deposit, except where that deposit is
from the sale proceeds of another property. Where the deposit is from savings, a copy of the relevant account statement is required. If funds have recently
been deposited in that account, we will need further proof of their source. If the deposit is a gift, a letter is required from the donor confirming this,
accompanied by proof of the source of the deposit.




This information is intended for use by professional and authorised intermediaries only and should not be given or distributed to potential customers.
Registered Office: 24 Great King Street, Edinburgh EH3 6QN. Registered in Scotland No. 717. We are a member of the Landsbanki Group. Authorised and Regulated by the Financial Services Authority FRN: 139207.
The Financial Services Authority does not regulate Buy to Let mortgages. All reference to Heritable Bank within this document refers to Heritable Bank Limited.

Heritable Bank’s documentation is available in Braille, large print and audio versions.

								
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