HSBC for Intermediaries

When you submit an application online, we'll ask for one of the following documents (a separate document will be required to verify proof of identification):

When you submit an application online, we automatically run an electronic identity check. If the customer’s identity cannot be verified electronically, we’ll accept a valid full UK photo card driving licence, this can be used to both identify themselves and verify their address.

If a customer does not have a valid full UK photo card driving licence, we’ll ask for one of the following documents. A separate document will be required to verify proof of address.

If the applicant doesn't have any of the above documents, we may accept one of the following:

Please use the guidance below in conjunction with the International Mortgage policy. The following guidance applies to both where a customer is living, and where they are physically present. Please apply the guidance to any application where the customer is located / resident in a country other than the UK at point of application.

Only approved countries are listed below – any countries not listed are ‘not approved’.

Exceptions apply only to British Armed Forces. Please refer to the International Mortgage policy / Armed Forces policy for further information.

If the customer does not meet the criteria in the guidance below, or the country is not on the list, you cannot proceed with the application.

UK and foreign nationals who are not UK residents can apply for a mortgage subject to meeting the following criteria:

Please note, we can accept translations from a UK based translation company, provided we can verify them via their website. When submitting foreign language documents, please provide English translations as well as the original documents.

Foreign Nationals resident in the UK

All European Economic Area (EEA) Nationals and Swiss Nationals are treated as UK nationals.

We also accept applications from Non-EEA Foreign Nationals who have been granted the right of abode or indefinite leave to remain in the UK by the Home Office.

We will only lend to applicants without the right of abode or indefinite leave to remain in the UK if they meet all the following criteria:

Non-UK Residents

For overseas customers looking to purchase a property in the UK please see the overseas customers section.

Please note, we can accept translations from a UK based translation company, provided we can verify them via their website. When submitting foreign language documents, please provide English translations as well as the original documents.

We do not currently provide guarantor mortgages.

We do not currently provide Shariah compliant home purchase plans.

We do not currently accept any Help to Buy applications via HSBC for Intermediaries. We do accept them directly in our branches and over the phone.

The maximum number of applicants for a mortgage via HSBC for Intermediaries is 2.

Please note, the borrowing must be in the same name(s) as the ownership for all applications made via HSBC for Intermediaries.

Applicants may apply to remortgage at any time after they have completed their purchase. Please note that for properties owned for less than 6 months, we will require the applicant's solicitor to satisfy our responsible lending commitments and confirm the property was not purchased via a sub-sale style transaction.

The bank does not provide BTL mortgage facilities where it has been evidenced that a customer is classified as either a Professional Landlord or a Portfolio Landlord. Residential mortgage facilities will only be accepted on the above basis whereby rental income is excluded from the assessment, but all expenditure related to the customer's BTL properties are included within the application.

Rental income can be used in the affordability assessment where the customer is not deemed to be a professional landlord.

Where rental income is not being used to support the affordability assessment of a residential mortgage, there is no requirement to obtain evidence of any BTL income that the customer may have. However, all associated costs of the BTL's must be included in the affordability assessment.

A professional landlord is a person(s) with:

This includes income via a holding company.

A Portfolio Landlord is a person(s) with:

Four or more BTL mortgaged properties in aggregate at the end of the transaction

Right to Buy

We do not currently accept applications for Right to Buy properties via HSBC for Intermediaries. We do accept Right to Buy applications directly in our branches and over the phone.

Shared Ownership

We do not currently accept applications for properties under Shared Ownership schemes via HSBC for Intermediaries. We do accept Shared Ownership applications directly in our branches and over the phone.

We do not currently accept applications for properties owned in trust.

HSBC provides a flexible service to Armed Forces personnel and we are committed to honouring the Armed Forces Covenant.

For details on how we process requests from Armed Forces customers to let their property while overseas on active service, see our consent to let section.

All applicants are credit scored via Experian as part of the full mortgage application.

Light adverse credit

Applicants who have previously missed payments on their credit commitments will usually be declined. Individual cases may be considered under exceptional circumstances – please call the helpdesk for more details.

Income needs to be current, regular and consistent. Income can only be used where it is considered likely that a similar level of income will be received for the full term of the mortgage.

The maximum ratio is 4.75 times gross income (sole or combined) where the Loan to Valuation (LTV) ratio is less than or equal 90%

Non-UK residents must have a minimum income of £75,000 (excluding bonus, commission and overtime). For joint applications – at least one applicant must have an individual income of £75,000 (excluding bonus, commission and overtime).

For interest only loans, customers must have an annual minimum income of £100,000. For more information, see the Interest only section of our lending criteria.

Bank statements must not be used as the sole proof of income – payslips or business accounts are also required in line with the mortgage policy set out below.

Online bank statements and online payslips cannot be accepted together; hard copies of one or the other are required, or a letter from the applicant's employer.

Please ask the applicant for their income details and use their proof of income to validate these responses – never fill out the application directly using the statement information provided.

For self-employed applicants, income must be confirmed by their last 2 years' signed audited or certified accounts (the most recent being no more than 18 months old), plus a minimum of the last 3 months' commercial bank statements.

In conjunction with the assessment of financial accounting, the bank will require the provision of the last 3 months commercial bank statements or business trading management information (MI) to ensure the business is still trading at a similar level to that seen within the accounts. For existing HSBC business customers the examination of system based statements will be acceptable but for non-HSBC business customers the actual bank statements or business trading MI should be obtained dependent on the size of the business in accordance with the guide below:

The bank recognises that not all self-employed customers are legally obliged to produce financial accounting information for their business. Self-Assessment Tax Returns (SATRs) are acceptable to the bank where the self-employed customer is:

In these instances, Tax Returns can only be used where the income has been validated by HMRC and has formed the basis upon which customers have paid tax by way of HMRC SA302 Self-Assessment Tax Calculation/HMRC Tax Year Overview. Tax Returns for the last tax year should be completed by the 31st January the following year i.e. the 5th April 2015 tax return should be completed by the 31st January 2016.

Where a customer has completed their Self-Assessment directly with HMRC (online or paper submission) they must provide the following documentation as evidence of income:

Where a customer advises that they completed their Self-Assessment via a non HMRC website, in addition to the SATR and SA302 they must provide:

The affordability assessment reviews the customer's net income, the customer's committed expenditure, basic essential expenditure and the basic living costs of their household. Affordability is assessed on a capital repayment basis and takes into account likely future interest rate rises.

Evidencing customer expenditure

To help us assess expenditure and establish a fuller financial picture, each applicant must provide copies of their most recent 3 months' bank statements for all non-HSBC current accounts. They will also need to provide statements for any HSBC international, HSBC Offshore and HSBC Expat accounts. There's no need to provide statements for HSBC and first direct accounts as we have access to those.

When considering affordability we assess expenditure based on a mixture of customer declared information and/or details sourced from the Office of National Statistics (ONS). The ONS modelled data used in the application takes into account the:

Debts ending within 6 months

If an applicant can provide evidence that a commitment or ongoing cost is intended to cease within 6 months of their mortgage application, we will discount this debt from the debt/income calculation. Supporting evidence must be obtained from the applicant and/or Credit Reference Agency Search and will be retained in the mortgage file.

If further clarification is needed in respect of a customer's credit commitments, we reserve the right to examine Credit Bureau information to confirm the nature and true extent of their lending exposure.

Our assessment is based on the full costs associated with the Buy to Let – not just the rental income.

All rental income must be evidenced by the latest year's tax return and mortgage bank statements to show the Buy to Let borrowing outstanding. Tenancy agreements and bank statements showing rental income, mortgage payments and outgoings related to the Buy to Let property are only acceptable as evidence in the following cases:

For customers with existing Buy to Let properties who are applying to purchase/remortgage a residential property for their own use, we will also need to ensure the request 'makes sense' and that the property being purchased or remortgaged is in line with the customer's profile.

We consider childcare and school fees as a regular outgoing and commitment, which will be assessed on a case-by-case basis.

Let to buy residential mortgages are not currently available

This will be treated as running 2 properties. Our affordability calculations will consider both mortgage balances and running costs, plus the second property and income from employment (salary multiples) criteria will apply.

HSBC only provides mortgages and Homeowner loans where:

We will not provide residential or Buy to Let Mortgages in the following circumstances:

The list of other unacceptable property types are:

HSBC can provide mortgages in mainland England, Wales, Scotland, Northern Ireland and the Scottish Isles.

The same LTV limits apply to flats as to houses.

In order to be considered suitable for mortgage purposes, flats must be habitable with a fully functioning internal kitchen and bathroom and with no restrictions on occupancy.

Buildings insurance covering the full cost of re-building the flat must be taken out by the borrower and must remain in place during the term of the mortgage.

We will not normally lend where:

Please note, while blocks of flats with more than 4 floors including the ground floor with no lift are normally considered unacceptable for mortgage purposes, some exceptions can be made. Good quality, modern ex local authority medium and high-rise purpose built or converted flats in prestigious areas of central London and certain other cosmopolitan centres will be considered on individual merit by the valuer, subject to good mortgageability and sustainable resale potential.

In all cases, we will require the valuer to confirm that the flat is both mortgageable and marketable.

Studio flats

There are no restrictions on studio flats. We can lend, subject to valuer's comments that the property is suitable security.

The following types of tenure are acceptable:

Other than house boats and mobile homes, there is no particular type of property that we cannot lend against subject to the property meeting our non-standard construction type criteria.

In order to be considered suitable for mortgage purposes, properties must be habitable with a fully functioning internal kitchen and bathroom and with no restrictions on occupancy.

Buildings insurance covering the full cost of re-building the property must be taken out and must remain in place during the term of the mortgage.

We cannot provide lending for properties with covenants that restrict the period of occupation and/or the age or type of employment of the occupant.

We can lend where the commercial element represents a minor part of the property (for example a single room used by the borrower for home-working), providing the whole property can be sold as a complete residential unit.

We cannot provide residential mortgage facilities on a property that is used wholly for business purposes or where there are commercial buildings on the same title (for example, a holiday let/cottage).

We can lend against residential properties with commercial properties close by, subject to the valuer's comments that the property is suitable security.

Exceptionally, we can lend against properties with 2 kitchens, subject to the valuer's comments that the property is suitable security.

We will not provide residential mortgages for:

Timber-framed

Period timber frame properties will be considered on individual merit, subject to the valuer's comments and at the lower LTV ratio of 80%.

Timber-framed properties constructed between 1920 and 1965 are considered unacceptable for mortgage purposes due to inferior building regulations in relation to vapour barriers.

All timber

Due to the unusual nature of the construction, properties made entirely from timber are usually considered restricted. We will be guided by the valuer's comments on marketability. If acceptable, they will be subject to a maximum LTV of 80%

Wimpey No Fines and Laing Easiform

Properties dated from 1945 onwards are acceptable, subject to the valuer's comments, at the lower LTV ratio of 80%.

Bear in mind that Wimpey No-Fines properties are currently being monitored in the north of England where some deterioration has been noted. If this construction type is subsequently defined as 'defective', this could have a significant impact on the value and saleability of the property.

Steel frame

Water penetration and condensation can cause corrosion of the steel frame causing instability of the property. These properties are acceptable subject to a satisfactory structural engineer's report, at the lower LTV ratio of 80%.

Livett Cartwright steel frames and Hawthorn Leslie steel frames with boarded finish are unacceptable for mortgage purposes.

Ex-local authority

We accept ex-local authority properties on a case-by-case basis.

If the property is a flat, we can only lend if a minimum of 75% of the block is now privately owned. Medium and high-rise ex-local authority flats are considered restricted properties with a maximum LTV of 80%.

Blocks of flats with more than 4 floors including the ground floor with no lift are normally considered unacceptable for mortgage purposes. However, good quality, modern ex local authority medium and high-rise purpose built or converted flats in prestigious areas of central London and certain other cosmopolitan centres will be considered on individual merit by the valuer, subject to good mortgageability and sustainable resale potential.

Kit-built

The following 'kit-built' type of constructions with special architectural merit or proven long-term durability are considered restricted with a maximum LTV of 80%, subject to usual warranty provision if less than 10 years old:

Durisol

Durisol houses are accepted up to 80% LTV, subject to a satisfactory structural engineer's report. Durisol flats are considered unacceptable for mortgage purposes.

Mundic block

Properties containing mundic block materials (primarily situated in Cornwall & Devon) must be tested using the screening test developed by the Royal Institution of Chartered Surveyors. The results of the test will be considered as follows:

A= Suitable for mortgage purposes
A/B = Restricted, acceptable at up to 80% LTV, subject to valuer's comments
B = Unacceptable for mortgage purposes
C = Unacceptable for mortgage purposes

We can provide mortgages for second homes if both loans can be serviced entirely from the applicant's salary, subject to our normal credit assessment. This is limited to one property in addition to the applicant's main residence.

Where both properties are mortgaged with HSBC, they will each have a maximum LTV of 80 % (subject to repayment type/borrowing amount LTV maximum).

Where the main residence is mortgaged elsewhere, the property being mortgaged to HSBC will still be limited to 80% LTV, regardless of the LTV on the other property.

The second property can only be used by the applicant and their immediate family. It must not be let on an assured shorthold tenancy or as a holiday let.

If the applicant has a mortgage on their main residence, the income multiple/affordability calculation needs to cover both mortgages and must include council tax, utility, insurance and property maintenance bills relating to both properties.

Home for dependent relative

We can provide mortgages for properties for dependent relatives. The same criteria apply as outlined above for second properties.

We can only lend up to the maximum allowable LTV of the lower of the 'discounted' purchase price or valuation. This will ensure that customers are contributing a deposit to the purchase, rather than relying on any equity in the property to fund this.

Family-discounted purchase

Where the property is a discounted purchase from a family member, we will only lend up to the maximum allowable LTV of the lower of the 'discounted' purchase price or valuation. We will also require the solicitor or licensed conveyancer to satisfy themselves that the family member gifting the property is not insolvent and to arrange suitable indemnity insurance for the full value of the property if they deem it necessary.

Please note, when an applicant is purchasing a property from a family member separate legal representation is required. It is HSBC policy that the same solicitor or licensed conveyancer cannot act for both seller and buyer.

Japanese Knotweed is an invasive plant that grows rapidly and can cause structural damage to buildings and roads. The valuer will follow the RICS guidelines to assess the risk where the weed has been identified on or near the property (e.g. within 7 metres of the garden fence).

We will rely on the Valuer to confirm whether a Japanese Knotweed Survey is required and may require the following:

• A fully paid up front Treatment Plan which has commenced with an appropriately qualified individual or company. This should be an accredited member of an industry recognised trade association such as the Property Care Association or the Invasive Non-Native Specialists Association
• A minimum 10 year insurance backed guarantee to be provided on completion of the works

Where Japanese Knotweed has been identified within 7 metres of a habitable space at the property (either within the boundary of the property being mortgaged to HSBC or on neighbouring land) and/or the Japanese Knotweed has caused serious damage to outbuildings, paths and boundary walls in addition to the above, the Treatment Plan will need to have been fully completed and we will require a copy of the Completion Certificate and 10 year Insurance backed guarantee which should be in force.

All documents relating to Japanese Knotweed will be provided to the Valuer for their confirmation that the property is suitable for mortgage security and whether there is any impact on the valuation of the property.

We define a new build property as one that will be occupied for the first time and/or has been built and completed within the last 24 months.

Although we can approve mortgages on properties not yet built subject to satisfactory valuation, we will not release funds until the property has been completed. A re-inspection may be required if the surveyor advises one is necessary in their original valuation.

Standard lending criteria apply subject to:

New Build Incentives

Financial Incentives

Financial incentives up to 5% of the property price are acceptable without impacting property value.

Where the value of a financial incentive is above 5%, the difference must still be deducted from the purchase price for LTV purposes.

Non-Financial Incentives

Any non-financial incentives offered by a builder / developer are acceptable without impacting LTV. 

Any incentives either financial or non-financial must still be declared.

Structural defects warranties

If the applicant is purchasing a property built within the last 10 years, or remortgaging a property built in the last 2 years, we require a suitable structural defects warranty to be in place. We will accept warranties from the following providers:

We do not lend to fund construction of a new property or the conversion to or renovation of a residential property.

We will consider applications for properties with leased solar panels, providing the indexed LTV is less than 90%. In line with the guidance given by the Council of Mortgage Lenders (CML), we will ask the solicitor to obtain the following:

To determine whether a property is suitable security for a mortgage loan, we will use either an automated valuation or professional valuation.

A professional valuation is mandatory in all the following cases:

For remortgage applications, the valuation type will be determined at the point of application – although a professional valuation is mandatory in all the following cases:

Drive-by valuations

A drive-by valuation cannot be used to support HSBC mortgage borrowing.

Existing valuations

An existing valuation will only be considered for further use where:

Re-inspections/Revaluation

If a re-inspection is recommended by the panel valuer, it will be mandatory.

Valuations for Scotland

In Scotland, the seller of a property has to have a Home Report published when they are looking to sell their home.  The report will contain a Standard Valuation Report which HSBC can use.

The Home Report needs to be dated within the last 3 months and be from a member of our panel of valuers. As long as they meet both of the criteria above, then we will be happy to accept the report and will not need to instruct a valuation of the property.

Valuations for Jersey, Isle of Man, Guernsey and Sark properties

An automated valuation cannot be used to support mortgage facilities offshore – all borrowing requests must be supported by a professional valuation.

Valuations for Northern Ireland properties

An automated valuation cannot be used to support mortgage facilities in Northern Ireland and all borrowing requests must be supported by a professional valuation.

Survey panel

HSBC uses an approved panel of surveyors to carry out a standard valuation to ensure the property we are lending against provides suitable security for a HSBC mortgage.

Applicants purchasing a property have the option to use their own valuer to carry out a homebuyers report or building survey. Alternatively, they can ask us to instruct our approved valuer for a more comprehensive valuation when they visit the property to carry out their standard valuation. See our valuation fees page for details of costs.

Conveyancing options for purchases

For England and Wales all 3 options apply. For properties in Scotland or Northern Ireland, HSBC mortgage customers are required to choose from a HSBC managed panel firm or instruct their own solicitor.

Solicitors for remortgages

We outsource the processing of the legal requirements for the following cases to a third party solicitor/conveyancer on the Legal Marketing Services (LMS) managed panel:

LMS only represent the bank when undertaking the legal processing of a remortgage, undertaking all required searches, liaising with the customer for completion of the security documentation, redeeming the existing lender and registering the charge.

Customers are not required to have their own legal representation on a remortgage. However, the customer can appoint their own legal representation if they wish to have independent advice but their legal representative will not be able to undertake any aspects of the legal processing for the remortgage. If the customer does appoint their own legal representative for this, the customer will be responsible for any associated legal costs.

Where there is additional legal work attached to the remortgage application, the customer will need their own legal representation. The customer can choose to either:

Below is a list of the most common types of additional legal work:

The minimum term that we offer is 5 years.
The maximum term is 25 years for interest-only loans and 30 years for capital repayment loans.

The minimum amount we can lend is £10,000.
There is no maximum loan amount restriction for residential mortgages, as long as the application meets all other criteria.

Please note: for split terms where there are both repayment types, the interest-only maximum LTV will apply to the combined borrowing amount.

HSBC can only lend the amount required by the existing lender for redemption.  This means if the lending requested is greater than the redemption figure, the customer will not receive the surplus funds.

Further advances as stand alone applications via HSBC for Intermediaries are only available when linked to a re-mortgage from another lender. Further advances as stand alone applications are available via our branch network and over the phone. For information on further advances for debt consolidation please see the debt consolidation section.

Please note, for homeowner loans/further advances linked to a remortgage from another lender the minimum loan amount must be no less that £10,000 with the remortgage element of the lending being no less than £1000 of the total loan.

We can lend up to the maximum allowable LTV of the discounted purchase price or valuation. This ensures that customers are contributing to the purchase, rather than relying on any equity in the property to fund the deposit.

We need to confirm and document the source of an applicant's deposit and will be unable to complete the mortgage without this information. Whether evidence of deposit is required will be considered on a case-by-case basis.

Developer-gifted deposit
Any incentives provided by a developer should be discounted from the purchase price. We can only lend up to the maximum allowable LTV of the discounted purchase price or valuation. Minimum deposit from applicant is 10%.

Vendor-gifted deposit
Any incentives provided by the vendor should be discounted from the purchase price. We can only lend up to the maximum allowable LTV of the discounted purchase price or valuation. Minimum deposit from applicant is 10%.

Family-gifted deposit
Where the deposit has been 'gifted' by a parents or another family member, you must make the applicant(s) aware that the acting solicitor/conveyancer will need to obtain a letter from the donor stating that the deposit is: 'non-refundable and an unconditional gift and that no interest is claimed or will be claimed in the property'. If this written confirmation cannot be obtained, a Letter of Consent will be required.

Declaration of trust
If a family member or third party is contributing towards the purchase price and wishes to protect their beneficial interest by way of a Declaration of Trust, we will need to approve this and may ask for changes to be made to protect our interest in the property. We will also require a Letter of Consent to be signed by the contributor. Please notify us as soon as possible to prevent any delays in completion.

Second charge
If a family member or third party is contributing towards the purchase price and wishes to protect their beneficial interest by way of a second charge, we don't need to see the charge form but our consent must be obtained. Please notify us as soon as possible to prevent any delays in completion.

Family loan as a deposit
If the deposit is provided by a family member as a loan to be repaid, please ensure the monthly repayments are included in the affordability assessment.

Unsecured loan as a deposit
We can only accept an unsecured loan as a deposit if it comes from another lender - HSBC personal loans cannot be used. Where a personal loan is being used for a deposit, please ensure all relevant costs are included in the affordability assessment.

Single applicants requesting a residential interest-only mortgage will be required to have an annual minimum income £100,000 which must meet our income eligibility criteria below. For joint applications at least one applicant must have an annual minimum income of £100,000.

Eligible income sources:

Employed income: basic + fixed allowances (excluding bonus, commission, overtime and rental income)

Self employed income: net profits + director's salary

Pension

Benefit income

With an interest only loan, the maximum term is 25 years (subject to maximum age policy) and the minimum term is 5 years. The maximum LTV is 75% for both remortgage or purchase applications dependent on the size of the loan.

Acceptable repayment vehicles

For more details, please see Interest Only Repayment Strategies.

We are unable to accept the following as a suitable repayment strategy:

We can split a mortgage into two separate terms for example, 10 years capital repayment and 10 years interest only. Under this scenario, a fee may be payable on each portion of the loan and the interest-only maximum LTV will apply to the combined borrowing amount.

Mortgage offers are valid for 6 months. Where a case is still be assessed after the offer has elapsed, we may consider extending offers on a case-by-case basis. Please call the helpdesk for more details.

HSBC does not currently provide offset mortgages

The interest chargeable on the mortgage balance will be calculated every day rather than at the end of each week, month or year.

A further advance for debt consolidation purposes is possible when linked to a remortgage, subject to customers meeting the following requirements:

• maximum of £30,000 and
• a maximum LTV of 80%, or 75% if there is any element of interest only borrowing.

Please note that all debt commitments will still be included in the affordability assessment, unless it can be proven that the commitment finishes in the next 6 months.

The following provides examples of common scenarios and gives guidance on whether they would be categorised by HSBC as debt consolidation (please note that this is not an exhaustive list):

Independent Legal Advice (ILA) is the process where a person is advised by their own solicitor or licensed conveyancer, in a face to face meeting in the absence of the borrower and other interested parties, as to the consequences for them of executing a mortgage deed and agreeing to secure new borrowing on a property they own or will own.

HSBC’s policy is that the owner(s) of a property must be advised of the legal consequences of providing a mortgage over it to secure residential or BTL mortgage lending. This will help ensure that the bank’s security is enforceable against the borrower(s) and the owner(s) of the property, that customers are treated fairly and that the bank is lending responsibly.

As a result, HSBC requires ILA in the following scenarios:

• The security being provided is indirect (i.e. where one or more of the owners is not also a borrower). In this instance ILA is required for any owner who is not also a borrower
• The security being provided is direct (i.e. where all owners are borrowers) and there is a difference of more than £50,000 between one or more individual owners the owner benefitting least will require ILA
• The funds are being gifted to a third party) and the difference in benefit to the third party compared to owners is more than £50,000. In this instance ILA is required for all owners/borrowers. Exception – ILA is not required where the difference in benefit is less than £50,000, regardless of funds being used for individual owners or gifted to a third party
• The funds are being injected into a business that is not 100% owned by the property owner/s and the difference in benefit to the business compared to the property owners is more than £50,000.
• Where the business is 100% owned by the property owner/s, ILA is recommended.

ILA Costs

The customer is responsible for all ILA-related fees, and should consult their chosen ILA firm for the exact cost. Where ILA is mandatory and the application is going through the LMS panel, there is an additional fee payable to the LMS panel firm for the additional work associated with this.

Guidance on who provides the ILA

If an LMS panel is acting for HSBC as part of the transaction, the customer must instruct a different firm to provide the ILA. LMS act for HSBC in the following applications and so a conflict of interest would result if the firm were also to provide the ILA:

• Remortgage
• Unencumbered HOL *
• Shared Ownership *
• Transfer of Title *

*We currently do not provide this specific type of mortgage through HSBC intermediary channel.

The person receiving ILA can use a solicitor or licenced conveyancer who they know to provide this service or they can find one by visiting:

England and Wales:

• http://solicitors.lawsociety.org.uk/?Pro=True
• http://www.clc-uk.org.clc-consumers.aspx

Scotland:

• http://www.lawscot.org.uk/

Northern Ireland::

• http://www.lawsoc-ni.org

Foreign Currency Loans

We accept Foreign Currency loans through HSBC for Intermediaries. Intermediaries must make customers aware of the risks of potential exchange rate fluctuations and an illustration of the potential impact of 20% exchange rate fluctuation will be provided in the KFI+.

HSBC will notify the customer of the potential impact of an exchange rate fluctuation if there is an adverse fluctuation of more than 20%.

Foreign currency income and residency must be captured if the customer is paid or lives in a foreign currency or country. For a list of acceptable foreign currencies please view our foreign currency matrix here: This PDF opens in a new window. For more information on non UK residents and foreign nationals living in the UK please see the foreign nationals section, and for overseas customers looking to purchase a property in the UK please see the overseas customers section.

The HSBC Standard Variable Rate is currently 3.69%.

If a customer wishes to temporarily let part or the whole of their property, please ask them to contact us as they must obtain our consent in accordance with the requirements of our legal charge. For customers not in the British Armed Forces or the Ghurkhas then we will only consider their request where they have had their HSBC mortgage for a minimum of 6 months.

For Members of the British Armed Forces, including Ghurkhas, who are on Active Service we will allow them to:

Apply for a period of Consent to Let appropriate to their circumstances (e.g. duration of posting away from home in the UK or overseas)

Apply for Consent to Let at any point during their mortgage term

Complete a rate-switch or apply for additional borrowing during the Consent to Let period

This policy only applies to a customer’s main residential home of which they are planning to return to. Where a property is being purchased for investment purposes, the standard BTL mortgage policy will apply.

Porting of HSBC mortgages is not currently available via HSBC for Intermediaries. Please ask your customer to contact us directly.

We do not currently offer loans to homeowners for home improvement purposes via HSBC for Intermediaries, unless they are linked to a remortgage from another lender. We offer homeowner loans directly to our customers in our branches and over the phone.

Please note, for homeowner loans/further advances linked to a remortgage from another lender the minimum loan amount must be no less that £10,000 with the remortgage element of the lending being no less than £1000 of the total loan.

Lump sum and overpayments can be made at any time to our lifetime tracker mortgages.

Our fixed rate and discount mortgages have an annual overpayment allowance equivalent to 10% of the outstanding balance at drawdown or at the start of a new rate switch, giving customers the flexibility to increase their monthly repayments or make lump sum payments up to this amount if they wish.

The overpayment allowance is refreshed annually on the anniversary of the drawdown or the start of the new rate following a switch and will be based on the current balance at the time. If the customer switches rates before this anniversary date, a new overpayment allowance will commence from the date the new rate begins. An Early Repayment Charge will apply to any overpayments made above this annual allowance (either regular or ad hoc).

Where overpayments are made on an ad hoc basis, we continue to collect the same monthly payment as before, unless the customer instructs us to reduce their monthly payment.

If a customer calls us to set up a flexible regular overpayment, we send them a confirmation letter containing a projection of the savings (both interest and term) they could make if they continue to maintain the overpayment.

If the customer subsequently makes any changes to their direct debit, payment date or payment amount or if the interest rate changes, we automatically recalculate and reschedule the monthly payment based on the current balance, interest rate and remaining agreed term. We also send a new projection of savings from the date of the change to the end of the loan. Please note, the savings already made prior to the reschedule are not included in the revised projection.

Our Fee Saver deal means no booking fee, no standard valuation fee and no completion fee.

We will cover the cost of one standard valuation where this is required by HSBC as part of the mortgage application.

Other fees and charges may be payable to other parties including, but not limited to legal fees and charges levied by an existing lender.

A booking fee is charged on some of our mortgages to secure a particular mortgage rate or deal. The customer can decide to pay the booking fee in full once the loan has been approved, alternatively a partial payment can be made and the remainder of the booking fee added to their loan.

Applicants who choose to add part of the booking fee to their mortgage instead of paying it in full at the outset, would need to pay £99 once their application has been approved (for booking fees of £999 or less), with the remaining balance of the booking fee added to their loan. Where the booking fee is greater than £999, the customer would need to pay £249 once their application has been approved with remaining balance of the booking fee added to their loan. If the customer chooses to add the booking fee to their loan, please make them aware they will pay more interest over the term of the loan than if they pay the booking fee in full at the outset.

Please note that the LTV will be based on the entire lending including the booking fee if this is added to the loan.

When you submit an application on behalf of an applicant, we'll ask you how the booking fee will be paid. If it's payable from an HSBC account, please advise which account number and sort code it can be debited from. If it's payable from a non-HSBC account, your customer will need to call us to make a payment after their application has been approved so we can issue the mortgage offer.

Please note a booking fee will only be refunded if a valuation proves to be unsatisfactory; approval is declined for an application agreed in principle or in the event of death before the mortgage is drawndown.

These are the fees payable to the applicant's solicitor or licensed conveyancer acting on behalf of the applicant and/or HSBC. For details on the conveyancing options available to your customers, see the solicitors section.

If a professional valuation report is required then no fee payment is required from the applicant.

For more on when a professional valuation is required, see the valuations section. To find out how much your customer might pay, see our valuation fees page.

If your customer requests a Homebuyer Report, the fee will be collected by the report supplier that we instruct. It is subject to a separate contract between the applicant and the valuation supplier. To find out how much your customer might pay, see our valuation fees page.

If your customer requests a building survey to be carried out, the fee will be collected by the survey supplier that we instruct. It is subject to a separate contract between the applicant and the valuation supplier. To find out how much your customer might pay, see our valuation fees page.

This fee is to cover the cost of electronically transferring the mortgage funds to our solicitor or licensed conveyancer so they can complete the purchase or redeem the mortgage from the existing lender.

Applicants may have to pay an Early Repayment Charge if they repay the whole or part of their mortgage early (including, if they move to a different product or lender) during a certain period. Early Repayment Charges do not apply to lifetime tracker mortgages.

Although Early Repayment Charges apply to our fixed and discount rate mortgages, we provide customers with an annual overpayment allowance equivalent to 10% of the remaining mortgage balance. This means customers can choose to increase their monthly mortgage payments or make lump sum payments up to this allowance each year that Early Repayment Charges apply, without incurring any charges. The overpayment allowance is refreshed annually on the anniversary of the drawdown or the start of the new rate following a switch, and will be based on the current balance at the time. If the customer switches rates before this anniversary date, a new overpayment allowance will commence from the date the new rate begins.

If fixed or discount rate customers exceed their annual overpayment allowance for a given year, an Early Repayment Charge will be charged on the amount they have repaid over the allowance.

HSBC does not currently charge borrowers any exit fee when they fully repay their mortgage.