Existing customers
Mortgages
Homes for Ukraine
If your client is planning to support the government scheme to house Ukrainian refugees we are supporting them by making the process as simple as possible.
Your client will not be required to notify us if they are providing:
- A room(s) in their own their home (current limit of 2 lodgers will not apply)
- A residential property they own (no need to request consent to lease but they will need to obtain a tenancy agreement)
It is important they consider whether by providing this support they are still able to afford their own household bills, pay their mortgage and it doesn’t put them in financial difficulty. They may wish to look at any government guidance issued.
Your client should also check with their building/content insurance provider to see if they need their consent.
Product transfers
If your client already has a mortgage with Scottish Widows Bank, you can apply online to switch them to a new deal.
- Key up to six months before the expiry of an existing product.
- You can choose to start the new product up to three months before the end of the existing product, or from the first of the month following the product expiry.
- Simple online application process.
- No ERCs if there’s less than six months to go on their existing rate.
- No ERCs on SVR.
- No valuation required.
Your client must have an existing Flexible or Professional Scottish Widows Bank mortgage to use this service.
The online service is not available for the following:
- borrowing above £1 million
- guarantor mortgages
- mortgages with consent to let
- mortgages where the existing term extends beyond the client's anticipated retirement age or their state pension age, whichever is lower
- mortgages with any interest only lending, where the client does not have an acceptable repayment vehicle to cover the interest only amount.
The rate switch will take effect on the date chosen which can be either the first of the next month (or month after if less than 6 working days until month end), or the first of the month following expiry of the existing rate. NB - to start from the first of the next month the last day to apply would be the 7th working day before the month end.
Borrow more
If your client needs additional borrowing you can apply for a Further Advance on their existing Scottish Widows Bank mortgage.
Additional borrowing is subject to the following criteria:
- minimum advance £5,000
- minimum property value is £40,000
- maximum advance up to 85% LTV, based on current valuation*
- minimum term two years
- maximum term 40 years, or to age 80 if less
- existing customers can apply for a Further Advance once six months have elapsed after completion of the main mortgage.
*Further Advances above 80% of indexed valuation:
- For further advance applications (including combined product transfer/further advance applications), if the total loan (mortgage plus further advance) exceeds more than 80% (subject to standard lending limits) of the indexed valuation a revaluation is required for the case to proceed.
- If your client wishes to proceed and feels that the property value is higher and sufficient that the total lending will be within the maximum 85% limit, they may provide an estimated property value. A revaluation will be required to support the estimated property value being used.
- A revaluation fee of £100 will be charged and must be paid in advance by the client before a valuer can be instructed.
Interest rates & charges
- Interest charged at our Standard Variable Rate.
- £199 arrangement fee.
- You can switch the additional borrowing to a new rate once drawn down by applying for a Product Transfer.
Fees can be paid up front or rolled up with the additional borrowing.
Interest only borrowing
If your client is applying for an interest only Further Advance, or has any of their existing debt on interest only, we’ll also need to see evidence of the repayment plan your client intends to use to repay the amount at the end of the term. Check our criteria page
Other changes for our existing mortgage customers
You can make these changes on their own, or all at once, together with Additional Borrowing and Product Transfers.
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If you need to add or remove someone from the title deeds you can apply for a Transfer of Equity.
To apply for a Transfer of Equity call our Intermediary Support Team on 0345 845 0110. Lines are open 8am to 6pm Monday to Friday.
Upon completion the existing mortgage will be redeemed and closed, and a new mortgage (including Offset if applicable) will be opened.
The applicant(s) will need to appoint a solicitor who is on the Lloyds Banking Group panel to remove the charge at the Land Registry and register a new charge with the amended name(s). Applicant(s) are responsible for paying associated legal fees.
We require the charge at the Land Registry to be removed and a new charge registered with the amended name(s) – this will result in a legal fee which the applicant(s) are responsible for paying.
The application may include a Further Advance, for example if funds are required to buy out the other party.
The existing borrowing amount on the current rate can be ported to the new mortgage. Any further borrowing will be on Product Transfer rates. If the current borrowing is on our Standard Variable Rate, we can also process a Product Transfer for this amount at the same time.
Properties must be registered with the land registry in the owner's name(s) for at least 6 months before any new lending can be considered. An exception to this rule is an inherited property where the applicant is a beneficiary.
No procuration fee is paid unless there is a Further Advance and/or Product Transfer on the existing borrowing.
The Halifax Index is used for the valuation:
- If the total loan (mortgage plus any further advance) exceeds more than 80% (subject to standard lending limits) of the indexed valuation a revaluation is required for the case to proceed.
- If your client wishes to proceed and feels that the property value is higher, they may provide an estimated property value. A revaluation will be required to support the estimated property value being used.
- A revaluation fee of £100 will be charged and must be paid in advance by the client before a valuer can be instructed.
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If a customer is moving house they can apply to port their existing loan and keep the current rate. If any further borrowing is required it would be on new business rates.
To make a Porting application call our Intermediary Support Team on 0345 845 0110. Lines are open 8am to 6pm Monday to Friday.
We’ll produce the Mortgage Illustration which you can then access using our Online Mortgage Service and proceed to full application. The application would then be processed as a new business application.
The purchase of the new property and redemption of the existing property need to be completed simultaneously otherwise Early Repayment Charges may apply.
If the customer sells their property, but they’re not ready to buy another, they’ll need to repay their existing mortgage. This means they’ll have to pay any early repayment charges that apply.
However, if they submit a new mortgage application with us within 90 days of repaying the existing mortgage, they can apply for a refund of the early repayment charge once the new mortgage has started. In this scenario they would need to select a new rate from our current range, and if the new loan is for a reduced amount, the early repayment charge refund will be pro-rata. This concession may not always be available.
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If you want to change the term or the repayment type of the existing mortgage you can apply for Contract Changes.
To apply for any Contract Changes call our Intermediary Support Team on 0345 845 0110. Lines are open 8am to 6pm Monday to Friday.
We'll produce the mortgage illustration and key the application for you over the phone.
The application is subject to full underwriting with income verification; and where the change is to Interest Only we’ll need to see evidence of an acceptable repayment plan.
No procuration fee is paid unless there's a Product Transfer on the existing borrowing, for which we would pay our standard amount.
There are no fees for Contract Changes.