Criteria A-Z

As we manually underwrite our mortgages we’re much more flexible with our criteria than most. Using our common sense approach (and our ears!) means we can cater for a larger variety of life stages and circumstances for your clients than many other lender. 

Browse criteria by A-Z below or search criteria by keyword to find what you need.

Take a look at what we have to offer
Owner Occupier Criteria
Address History (Min UK address history needed)

Our standard acceptability

36

Criteria definition:

This is the required number of months we specify an applicant has to have had a UK address history for.

Our policy notes:

We require a three year UK address history.

Our outside policy allowances:

We can consider applications from UK expatriates abroad without a three year UK address history. Please refer to the acceptable list of countries expatriates can be resident in which is located on our website.

Last updated:

20 April 2017

Advisor Own Application

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept residential applications from an advisor wishing to apply for his or her own mortgage.

Our policy notes:

Family Building Society can accept applications from advisors applying for their own mortgage.

Last updated:

09 September 2019

Affordability Assessment: Additional Voluntary Pension Contributions

Our standard acceptability

Can Be Ignored

Criteria definition:

Indicates if we can potentially ignore additional voluntary pension contributions when assessing applicants expenditure for affordability purposes.

Our policy notes:

Family Building Society will ignore 'Additional Voluntary Pension Contributions' when assessing borrowers affordability.

Last updated:

10 May 2018

Affordability Assessment: Charitable Donations

Our standard acceptability

Can Be Ignored

Criteria definition:

Indicates if we can potentially ignore charitable donations when assessing applicants expenditure for affordability purposes.

Our policy notes:

Family Building Society will ignore 'Charitable Donations' when assessing borrowers affordability.

Last updated:

10 May 2018

Affordability Assessment: Child Care Vouchers

Our standard acceptability

Not Ignored

Criteria definition:

Indicates if we can potentially ignore childcare vouchers when assessing applicants expenditure for affordability purposes.

Our policy notes:

Family Building Society automatically allow for the cost of child care when assessing borrowers affordability. However, we will need to factor in the cost of nursery fees or school fees and these need to be declared at application.

Last updated:

06 November 2018

Affordability Assessment: Company Pension

Our standard acceptability

Can Be Ignored

Criteria definition:

Indicates if we can potentially ignore company pension contributions when assessing applicants expenditure for affordability purposes.

Our policy notes:

Family Building Society will ignore 'Company Pension Contributions' when assessing borrowers affordability.

Last updated:

10 May 2018

Affordability Assessment: Maintenance Payments

Our standard acceptability

Not Ignored

Criteria definition:

Indicates if we can potentially ignore maintenance payments when assessing applicants expenditure for affordability purposes.

Our policy notes:

Family Building Society will include 'Maintenance Payments' when assessing borrowers affordability.

Last updated:

10 May 2018

Affordability Assessment: Private Healthcare

Our standard acceptability

Can Be Ignored

Criteria definition:

Indicates if we can potentially ignore private health care premiums when assessing applicants expenditure for affordability purposes.

Our policy notes:

Family Building Society will ignore 'Private Healthcare Payments' when assessing borrowers affordability.

Last updated:

10 May 2018

Affordability Assessment: School Fees

Our standard acceptability

Not Ignored

Criteria definition:

Indicates if we can potentially ignore school fees when assessing applicants expenditure for affordability purposes.

Our policy notes:

Family Building Society will include 'School Fees' when assessing borrowers affordability.

Last updated:

10 May 2018

Affordability Assessment: Season Ticket Loans

Our standard acceptability

Can Be Ignored

Criteria definition:

Indicates if we can potentially ignore season ticket loans when assessing applicants expenditure for affordability purposes.

Our policy notes:

Family Building Society will ignore 'Season Ticket Loans' when assessing borrowers affordability.

Last updated:

10 May 2018

Affordability Assessment: Sharesave Schemes

Our standard acceptability

Can Be Ignored

Criteria definition:

Indicates if we can potentially ignore share save schemes when assessing applicants expenditure for affordability purposes.

Our policy notes:

Family Building Society will ignore 'Sharesave Schemes' when assessing borrowers affordability.

Last updated:

10 May 2018

Affordability Assessment: Student Loans

Our standard acceptability

Not Ignored

Criteria definition:

Indicates if we can potentially ignore student loans when assessing applicants expenditure for affordability purposes.

Our policy notes:

Family Building Society will include 'Student Loans' when assessing borrowers affordability.

Last updated:

10 May 2018

Age Limits: Interest Only Maximum Age at end of term

Our standard acceptability

89

Criteria definition:

Indicates the maximum age at the end of the mortgage term we could consider for an interest only application on residential applications

Our policy notes:

Family Building Society allows Interest Only mortgages up until a maximum age of 89 for the oldest applicant. Please refer to the table located here;

https://intermediaries.familybuildingsociety.co.uk/docs/default-source/lifetime-mortgage/fbs_m184_10...

Last updated:

11 September 2020

Age Limits: Maximum Age at End of Mortgage Term

Our standard acceptability

95

Criteria definition:

Indicates the absolute maximum age we might lend to. In summary 'Age Limits: Maximum Age at End of Mortgage Term' indicates the age we can potentially lend up until if you meet all required criteria.

Our policy notes:

The maximum age based on an 89 year old applying for an interest only mortgage is 94. The actual term for other ages depends on the age at application please refer to the table on our website located here.

The maximum age for a capital and interest repayment mortgage is 95 years.

Last updated:

25 March 2019

Age Limits: Maximum Age at End of Term for a Non Contributory Applicant

Our standard acceptability

89

Criteria definition:

Specifies the maximum age we can potentially accept for a non-contributing applicant. A non-contributing applicant is an applicant whose income is not factored into the affordability of the mortgage. 

Our policy notes:

Our normal mortgage term maximums apply whether an applicant contributes to the mortgage or not.

Last updated:

23 May 2017

Age Limits: Maximum Age AT POINT OF APPLICATION

Our standard acceptability

89

Criteria definition:

Indicates the maximum age (at the point of application) an applicant can be in order for them to be considered for an application with us.

Our policy notes:

The maximum age of each applicant should be no greater than 89 years old. Our maximum term at this age would be 5 years.

Last updated:

20 April 2017

Age Limits: Maximum Age at Term End Without Pension Proof ( max retirement age )

Our standard acceptability

70

Criteria definition:

Specifies the maximum age we might be able to accept before proof of acceptable pension income would be required. This figure can vary from applicant to applicant as it often depends upon other factors such as an applicant's planned retirement age. Therefore the value shown is the maximum age we may be able to lend to before pension proof would be required and assumes applicants planned retirement age is not sooner than our stated maximum.

Our policy notes:

We will only allow a mortgage term to age 70 where no pension income is being assessed.

Last updated:

07 October 2018

Age Limits: Minimum Age at Application

Our standard acceptability

18

Criteria definition:

Specifies our minimum age at point of application requirement for residential mortgages. 

Our policy notes:

The minimum age of each applicant must be 18.

Last updated:

20 April 2017

Age Limits: Retirement Interest Only (RIO) MAXIMUM Age at Application

Our standard acceptability

No Maximum

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so, do we have a MAXIMUM AGE AT APPLICATION requirement.

Our policy notes:

There is no maximum age.

Last updated:

10 March 2020

Age Limits: Retirement Interest Only (RIO) Maximum Age at Term End

Our standard acceptability

Does not offer RIO Mortgages

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so, do we have a maximum age at the end of the term requirement. Mortgage lenders are not required to set a fixed term for the mortgage and so the repayment date can be when the borrower dies or goes into care, as with Lifetime Mortgages. 

Our policy notes:

Family Building Society does not offer Retirement Interest Only (RIO) mortgages at this time.

Last updated:

16 September 2020

Age Limits: Retirement Interest Only (RIO) Minimum Age at Application

Our standard acceptability

65

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so, do we have a minimum age requirement.

Our policy notes:

For the variable discounted rate for term products and the fixed rate for 5 years the youngest borrower must be aged 65 or over at the time of application.

Last updated:

03 March 2020

Applicants on Furlough

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we are potentially able to accept an applicant who is currently on furlough leave.

Our policy notes:

Family Building Society can potentially consider an application from applicants who are on furlough leave.

Last updated:

11 September 2020

Arrangement Fees Can Be Added When Exceeding LENDING LTV Limits

Our standard acceptability

No

Criteria definition:

Indicates if we allow borrowers to add the arrangement fee (where one is payable) to the mortgage advance where this will mean the max lending policy loan to value will be exceeded. 

Our policy notes:

Family Building Society does not allow fees to be added where it means the lending loan to value limits will be exceeded.

Last updated:

10 May 2018

Arrangement Fees Can Be Added When Exceeding PRODUCT LTV Limits

Our standard acceptability

No

Criteria definition:

Indicates if we allow borrowers to add the arrangement fee (where one is payable) to the mortgage advance where this will mean the product loan to value will be exceeded.

Our policy notes:

Family Building Society does not allow fees to be added where it means the product loan to value limits will be exceeded.

Last updated:

10 May 2018

Arrangement to Pay

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept applicants that have an arrangement to pay registered on their credit file on residential applications.

Our policy notes:

Family Building Society will not consider applicants that have an arrangement to pay registered on their credit file.

Our outside policy allowances:

Arrangements to pay that were cleared/satisfied over two years ago can be considered subject to referral to the Society with an up to date credit file.

Last updated:

09 September 2019

Arrears (secured/mortgage)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept applications from applicants that have a history of mortgage or secured loan arrears.

Our policy notes:

Any existing mortgage or secured loan must be up to date at the time of application. A maximum of one month’s arrears within the last 12 months will be allowed, provided the account is currently up to date. An explanation of any arrears will be required.

Last updated:

20 April 2017

Arrears (unsecured)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept applications from applicants that have a history of unsecured loan arrears.

Our policy notes:

Any existing mortgage/rent/loan must be up to date at the time of application. A maximum of one month’s arrears within the last 12 months will be allowed, provided the account is currently up to date. An explanation of any arrears will be required.

Last updated:

20 April 2017

Assessment of Additional Residential Mortgages: Monthly Payment or Outstanding Balance

Our standard acceptability

Monthly Payment

Criteria definition:

Indicates if we will use the monthly payment of any background other residential mortgages when assessing affordability or the outstanding balance. For example, Applicant 'A' is applying for a new mortgage with Lender 'A'. Applicant 'A' has a second property in the background that is used as a second home with an outstanding mortgage of £50,000 and a monthly payment of £300 per month. When assessing Applicant 'A's' income Lender 'A' take the monthly payment of the background mortgage as a monthly commitment as opposed to deducting the outstanding balance (£50,000) from the total amount they have calculated Applicant 'A' could borrow based on his income.

Our policy notes:

Family Building Society will use the monthly payment of any additional residential mortgages when assessing affordability as opposed the outstanding balance.

Last updated:

25 September 2019

Back to Back (Remortgage - Bridging)

Our standard acceptability

Not Acceptable

Criteria definition:

Back to back is typically where the vendor has owned the property for less than six months, or remortgages where they've owned the property for less than six months.

Back to Back (Remortgage - Bridging) indicates if we will accept applications where the customer has funded the purchase from a bridging loan and now wishes to mortgage the property.

Our policy notes:

We normally expect properties to have been owned at least 6 months.

Last updated:

03 July 2017

Back to back (Remortgage - Customer Funded)

Our standard acceptability

Not Acceptable

Criteria definition:

Back to back is typically where the vendor has owned the property for less than six months, or remortgages where they've owned the property for less than six months.

Back to back (Remortgage - Customer Funded), indicates if we can accept applications where the customer has funded the purchase from their own funds and now wish to mortgage the property.

Our policy notes:

The property must be owned at least six months in this situation.

Last updated:

03 July 2017

Back to back (Remortgage - Inherited)

Our standard acceptability

Acceptable

Criteria definition:

Back to back is typically where the vendor has owned the property for less than six months, or remortgages where they've owned the property for less than six months.

Back to back (Remortgage - Inherited) 
indicates if we will accept applications where the customer has inherited a property and now wish to mortgage it on a residential basis.

Our policy notes:

We will consider remortgages where an inherited property has been owned for less than 6 months.

Last updated:

03 July 2017

Back to back (Remortgage - Other)

Our standard acceptability

Not Acceptable

Criteria definition:

Back to back is typically where the vendor has owned the property for less than six months, or remortgages where they've owned the property for less than six months.

In the case of Back to back (Remortgage - Other) it indicates if we are able to potentially accept remortgage applications where the current owner has owned the property for less than 6 months and is now looking to remortgage for a reason other than due to the property being inherited, remortgaging having recently ported, to repay bridging finance or to mortgage having originally purchase the property for cash.

Our policy notes:

We do not accept back to back remortgages.

Last updated:

03 July 2017

Back to back (Remortgage - Ported)

Our standard acceptability

Not Acceptable

Criteria definition:

Back to back is typically where the vendor has owned the property for less than six months, or remortgages where they've owned the property for less than six months.

Back to back (Remortgage - Ported) 
indicates if we will accept applications where the customer has recently moved and ported their mortgage, their product has come to an end shortly after and they now wish to remortgage. For example, Jeff moved into his new property last month and ported his existing mortgage across so as to avoid an early repayment charge on his then-current mortgage. The current product, however, expires about a month after his move in date and so he would like to remortgage to a new lender in order to obtain a new product even though he has only been in the property for one month.

Our policy notes:

We do not accept back to back remortgages.

Last updated:

03 July 2017

Back to back (Sub Sale Purchase - Other)

Our standard acceptability

Not Acceptable

Criteria definition:

Back to back is typically where the vendor has owned the property for less than six months, or remortgages where they've owned the property for less than six months.

In the case of Back to back (Purchase - Other) it indicates if we are able to potentially accept applications for purchases where the current owner has owned the property for less than 6 months and is now wishing to sell for a reason other than due to a previous part exchange or a lender repossession.

Our policy notes:

The property must be owned at least six months.

Last updated:

03 July 2017

Back to back (Sub Sale Purchase - Part Exchange)

Our standard acceptability

Not Acceptable

Criteria definition:

Back to back is typically where the vendor has owned the property for less than six months, or remortgages where they've owned the property for less than six months.

In the case of Back to back (Purchase - Part Exchange), it indicates if we are able to potentially accept applications for purchases where the current owner took the property as a part exchange on a previous sale. An example would be where a builder sold a property to someone and took their property as a part exchange and now wishes to sell that property and the part exchange falls within the last 6 months.

Our policy notes:

We do not accept back to back remortgages.

Last updated:

03 July 2017

Back to back (Sub Sale Purchase - Repossessed)

Our standard acceptability

Not Acceptable

Criteria definition:

Back to back is typically where the vendor has owned the property for less than six months, or remortgages where they've owned the property for less than six months.

In the case of Back to back (Purchase - Repossessed), it indicates if we are able to potentially accept applications for purchases where the current owner is a lender that has repossessed the property being sold from the previous owner in the past 6 months. 

Our policy notes:

We would expect the property to have been owned at least six months.

Last updated:

03 July 2017

Benefit Income: Adoption Allowance

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will accept Adoption Allowance as an acceptable source of income for affordability purposes.

Our policy notes:

We do not accept this as a source of income.

Last updated:

20 April 2017

Benefit Income: Attendance Allowance

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will accept Attendance Allowance as an acceptable source of income for affordability purposes.

Our policy notes:

This source of income is not acceptable.

Last updated:

11 July 2017

Benefit Income: Carers Allowance

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will accept Carers Allowance as an acceptable source of income for affordability purposes.

Our policy notes:

We do not accept this as a source of income.

Last updated:

20 April 2017

Benefit Income: Child Benefit

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will accept Child Benefit as an acceptable source of income for affordability purposes.

Our policy notes:

We do not accept this as a source of income.

Last updated:

20 April 2017

Benefit Income: Child Tax Credits

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we accept child tax credits as an allowable income type for affordability purposes. 

Our policy notes:

We do not accept this as a source of income.

Last updated:

20 April 2017

Benefit Income: Constant Attendance Allowance

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will accept Constant Attendance Allowance as an acceptable source of income for affordability purposes.

Our policy notes:

These are not acceptable.

Last updated:

17 July 2017

Benefit Income: Disability Living Allowance (DLA)

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will accept Disability Living Allowance as an acceptable source of income for affordability purposes.

Our policy notes:

We do not accept this as a source of income.

Last updated:

20 April 2017

Benefit Income: Employment and Support Allowance

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will accept Employment and Support Allowance as an acceptable source of income for affordability purposes.

Our policy notes:

This source of income is not acceptable.

Last updated:

17 July 2017

Benefit Income: Guardian Allowance

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will accept Guardian Allowance as an acceptable source of income for affordability purposes.

Our policy notes:

We will not accept this form of income.

Last updated:

03 July 2017

Benefit Income: Industrial Injuries Disablement Benefit

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will accept Industrial Injuries Disablement Benefit as an acceptable source of income for affordability purposes.

Our policy notes:

We would not wish to take this source of income.

Last updated:

03 July 2017

Benefit Income: Personal Independence Payment (PIP)

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will accept Personal Independence Payment as an acceptable source of income for affordability purposes.

Our policy notes:

We do not accept this as a source of income.

Last updated:

20 April 2017

Benefit Income: Universal Credit

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will accept Universal Credit as an acceptable source of income for affordability purposes.

Our policy notes:

Family Building Society does not accept universal credit as an acceptable income type.

Last updated:

10 May 2018

Benefit Income: Working Tax Credits

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we accept working tax credits as an allowable income type for affordability purposes. 

Our policy notes:

Unfortunately, this source of income is not acceptable.

Last updated:

08 May 2017

Buy for University (Student Mortgages)

Our standard acceptability

Not Offered

Criteria definition:

Indicates if we can potentially consider applications on a Buy for University Scheme. Buy for uni allows students to borrow up to 100% to buy a property and rent out rooms to meet the mortgage interest payments. Parents support the arrangement by being a joint borrower on the mortgage and by providing additional security if necessary

Our policy notes:

Family Building Society will not consider applications on a Buy for Uni Scheme

Last updated:

11 September 2020

Can extend mortgage offer

Our standard acceptability

Yes

Criteria definition:

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

Our policy notes:

Documentation and the valuation may need to be updated if these items exceed six months old.

Last updated:

23 May 2017

CCJs registered between 12 to 24 Months

Our standard acceptability

Not Acceptable

Criteria definition:

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.

Our policy notes:

Family Building Society will not consider applicants that have had CCJs registered more than 12 months ago and less than 24 months ago.

Our outside policy allowances:

We can consider one satisfied County Court Judgement, with a total value of up to £500, within the last three years. Subject to a suitable explanation for the circumstances around the CCJ being registered.

Last updated:

09 September 2019

CCJs registered between 24 to 36 Months

Our standard acceptability

Not Acceptable

Criteria definition:

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.

Our policy notes:

Family Building Society will not consider applicants that have had CCJs registered more than 24 months ago and less than 36 months ago.

Our outside policy allowances:

One satisfied CCJ for up to £500 can be considered subject to a satisfactory explanation.

Last updated:

25 September 2019

CCJs registered between 3 to 12 Months

Our standard acceptability

Not Acceptable

Criteria definition:

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.

Our policy notes:

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

Last updated:

25 September 2019

CCJs registered in last 3 Months

Our standard acceptability

Not Acceptable

Criteria definition:

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.

Our policy notes:

Family Building Society will not consider applicants that have had CCJs registered in the past 3 months.

Last updated:

09 September 2019

CCJs registered over 36 Months ago

Our standard acceptability

Potentially Ignored

Criteria definition:

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.

Our policy notes:

Family Building Society can potentially ignore any CCJs that were registered over 36 months ago.

Last updated:

09 September 2019

Concessionary purchase (Family)

Our standard acceptability

Acceptable

Criteria definition:

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).


Our policy notes:

We can accept the equity being 'gifted' as the deposit for a family purchase. The family member who is the vendor must vacate the property and not retain a financial interest.

Last updated:

03 July 2017

Concessionary purchase (Landlord)

Our standard acceptability

Acceptable

Criteria definition:

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).

Our policy notes:

The Society will lend up to 100% of the purchase price or 80% of the valuation, whichever is the lower. We insist on an insolvency indemnity to be arranged by the solicitors.

Last updated:

31 August 2017

Concessionary purchase Where Giftor Will Remain

Our standard acceptability

Not Acceptable

Criteria definition:

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.

Our policy notes:

Family Building Society does not accept the situation where it is a concessionary purchase where the giftor will remain an occupant of the property.

Last updated:

10 May 2018

Consent to Let a Room (via AirBnB or similar)

Our standard acceptability

Not Acceptable

Criteria definition:

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.

Our policy notes:

We are unable to accept applications with Let a room

Last updated:

23 October 2017

Consent to Let, Tied Accommodation

Our standard acceptability

Not Acceptable

Criteria definition:

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.

Our policy notes:

These are not acceptable.

Last updated:

17 July 2017

Contract Reassignment

Our standard acceptability

Not Acceptable

Criteria definition:

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.

Our policy notes:

These are not acceptable.

Last updated:

17 July 2017

Contractor Income: Agency work

Our standard acceptability

Not Acceptable

Criteria definition:

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

Our policy notes:

We would not accept income from an agency.

Our outside policy allowances:

If employment is based on agency income but has been in existence for three years or more please refer the application for further consideration.

Last updated:

20 April 2017

Contractor Income: CIS Contractor

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

We can accept income from a CIS contractor however we would regard them as self-employed and would ask to see their last two year's SA302s or accounts.

Last updated:

20 April 2017

Contractor Income: Fixed Term Contract

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

These are generally acceptable but need to be assessed on a case by case basis. Please refer these to the Society for individual assessment.

Last updated:

17 July 2017

Contractor Income: IT Consultant

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

IT contractors are usually paid via their own limited company and so are self-employed. In this instance we would treat them as we would any self-employed individual.If they are employed on a PAYE basis (sometimes through an 'umbrella company' we can consider them under our contractor criteria. The minimum daily rate would have to be £350 per day and two years consistent history of contracting would need to be provided. We calculate income for 'employed' contractors as daily rate times 5 days times 48 weeks.

Last updated:

03 July 2017

Contractor Income: Nursing Bank

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

We would expect the applicant to have two year's experience as a bank nurse.

Last updated:

03 July 2017

Contractor Income: Piecework Contract

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

We would accept this income if there is sufficient evidence provided justifying a consistent level of income over a reasonable period of time (normally two years).

Last updated:

03 July 2017

Contractor Income: Probationary contract

Our standard acceptability

Not Acceptable

Criteria definition:

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.

Our policy notes:

These are not acceptable.

Last updated:

11 July 2017

Contractor Income: Seasonal Contract

Our standard acceptability

Not Acceptable

Criteria definition:

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

Our policy notes:

We do not accept this as a source of income.

Last updated:

20 April 2017

Contractor Income: Short Term Renewable Contract

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

If for self-employed contract workers these are acceptable.

Last updated:

11 July 2017

Contractor Income: Sub contractor

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

Sub contractors normally refer to those employed under the CIS scheme and, as such, we regard them as self-employed.

Last updated:

08 May 2017

Contractor Income: Temporary Contract

Our standard acceptability

Not Acceptable

Criteria definition:

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

Our policy notes:

We do not accept applications from those on temporary contracts as we do not feel this income can be relied on.

Last updated:

03 July 2017

Contractor Income: Umbrella Company

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

Family Building Society can potentially consider contractor income that is paid via an umbrella company.

We would treat income as we would a zero hours employee and look for a history of employment in that industry or role together with sight of the contractor's last two years' P60s or SA302s. Where applicable, we would also take into account deductions for 'employer' National Contributions (where these are paid for by the contractor) and the umbrella company charges when assessing affordability.

Last updated:

06 November 2018

Contractor Income: Zero Hours Contract

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

A track record demonstrating income must be provided covering no less than a 2 year period.

Last updated:

03 July 2017

County Court Judgements (CCJs) (Satisfied) potentially accepted

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

One County Court Judgement (CCJ), with a total value less than £500, within the last three years subject to being satisfied and a satisfactory explanation provided.

Last updated:

20 April 2017

County Court Judgements (CCJs) (Unsatisfied) potentially accepted

Our standard acceptability

Not Acceptable

Criteria definition:

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

Our policy notes:

We will not accept applications where CCJs exist that have not been satisfied.

Last updated:

20 April 2017

Covid-19: Are you offering a payment holiday?

Our standard acceptability

Contact Lender

Criteria definition:

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

Our policy notes:

If the situation surrounding coronavirus is affecting your ability to pay your mortgage, please contact us to discuss the options available to you. You can send an email to: mortgage.service@familybsoc.co.uk or call our mortgage team on 03330 140146. We promise to respond as soon as we are able to. We are here to help. https://familybuildingsociety.co.uk/

Last updated:

19 March 2020

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

Our standard acceptability

Contact Lender

Criteria definition:

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

Our policy notes:

If the situation surrounding coronavirus is affecting your ability to pay your mortgage, please contact us to discuss the options available to you. You can send an email to: mortgage.service@familybsoc.co.uk or call our mortgage team on 03330 140146. We promise to respond as soon as we are able to. We are here to help. https://familybuildingsociety.co.uk/

Last updated:

19 March 2020

Covid-19: Policy

Our standard acceptability

Yes

Criteria definition:

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

Our policy notes:

If the situation surrounding coronavirus is affecting your ability to pay your mortgage, please contact us to discuss the options available to you. You can send an email to: mortgage.service@familybsoc.co.uk or call our mortgage team on 03330 140146. We promise to respond as soon as we are able to. We are here to help. https://familybuildingsociety.co.uk/

Last updated:

19 March 2020

Covid-19: Will allow conversion to interest only?

Our standard acceptability

Contact Lender

Criteria definition:

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.

Our policy notes:

If the situation surrounding coronavirus is affecting your ability to pay your mortgage, please contact us to discuss the options available to you. You can send an email to: mortgage.service@familybsoc.co.uk or call our mortgage team on 03330 140146. We promise to respond as soon as we are able to. We are here to help. https://familybuildingsociety.co.uk/

Last updated:

19 March 2020

Credit Checks with Callcredit

Our standard acceptability

no

Criteria definition:

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

Our policy notes:

We currently don't use Callcredit for our credit search facility

Last updated:

20 April 2017

Credit Checks with Equifax

Our standard acceptability

Yes

Criteria definition:

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

Our policy notes:

We currently use Equifax for our credit search facility

Last updated:

20 April 2017

Credit Checks with Experian

Our standard acceptability

No

Criteria definition:

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

Our policy notes:

We currently don't use Experian for our credit search facility.

Last updated:

20 April 2017

Credit Scores?

Our standard acceptability

No

Criteria definition:

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

Our policy notes:

We don't credit score applications. Applications are assessed individually based on their own merit by underwriters.

Last updated:

20 April 2017

Criminal Convictions

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

Family Building Society can potentially accept applicants with criminal convictions.

Last updated:

10 May 2018

Day 1 Remortgage (if inherited property)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we accept remortgage applications from an applicant who has recently inherited the property. For example, James inherited a property today and wishes to remortgage it to raise some funds. 

Our policy notes:

We would consider applications for a day one remortgage on an inherited property if it were to improve the property or buy out other beneficiaries.

Last updated:

03 July 2017

Day 1 Remortgage (NOT inherited property)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we accept day one remortgage applications. An example of this type of situation would be where an applicant has recently purchased a property at auction for cash and then wishes to release funds by remortgaging the property straight away. 

Our policy notes:

We would not accept a day 1 remortgage that is not an inherited property.

Last updated:

20 April 2017

Debt Management Plan (Current/Unsatisfied)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept an application from an applicant who is currently in a debt management plan.

Our policy notes:

We do not accept applications where there is an existing and unsatisfied debt management plan.

Last updated:

20 April 2017

Debt Management Plan (satisfied)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept an application from an applicant who has previously had a debt management plan that is now satisfied.

Our policy notes:

We do not accept applications from applicants who have had a satisfied debt management plan.

Our outside policy allowances:

We could consider applicants who have had a satisfied debt management plan where this was satisfied at least three years ago. Please refer the application for further consideration.

Last updated:

20 April 2017

Debt Related: Debt being repaid fully or partially ignored

Our standard acceptability

Yes

Criteria definition:

Indicates if, when assessing affordability, we are able to potentially ignore debts that an applicant is intending to repay on or before completion of the new mortgage. 

Our policy notes:

If applicants indicate that a credit commitment is to be repaid on or prior to completion we will ignore it from an affordability perspective. It is our standard policy to condition any mortgage offer to stipulate that the commitment be settled if affordability requires it.

Last updated:

23 May 2017

Debt Related: Expiring debt can be partially or fully ignored

Our standard acceptability

Yes

Criteria definition:

Indicates if, when assessing affordability, we are able to potentially ignore (in part or in full) loans that are coming to an end (typically 6 months or less to run). 

Our policy notes:

We usually ignore loans which have less than 12 months to run. These still need to be declared on the application form.

Last updated:

23 May 2017

Debt Related: Payday loan (current)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept an application from an applicant who is currently in a payday loan credit agreement

Our policy notes:

We do not accept applications where any applicant has a payday loan.

Last updated:

20 April 2017

Debt Related: Payday loan (previous)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept an application from an applicant who has had a payday loan in the past but is not currently in a payday loan credit agreement.

Our policy notes:

We do not accept applications from applicants who have taken a payday loan.

Our outside policy allowances:

Please refer applicants where a payday loan hasn't been used for at least 12 months. Evidence of the satisfactory conduct of the applicant's current account will be required.

Last updated:

20 April 2017

Defaults (satisfied) potentially accepted

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

One default, with a total value less than £500, within the last three years subject to being satisfied and a satisfactory explanation provided.

Last updated:

22 May 2017

Defaults (unsatisfied) potentially accepted

Our standard acceptability

Not Acceptable

Criteria definition:

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

Our policy notes:

Unsatisfied defaults are not acceptable

Last updated:

23 May 2017

Defaults registered between 12 to 24 Months

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept applicants that have had any Defaults 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.

Our policy notes:

Family Building Society will not consider applicants that have had Defaults registered more than 12 months ago and less than 24 months ago.

Last updated:

25 September 2019

Defaults registered between 24 to 36 Months

Our standard acceptability

Potentially Acceptable

Criteria definition:

Indicates if we can potentially accept applicants that have had any Defaults 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.

Our policy notes:

Family Building Society can potentially consider applicants that have had Defaults registered more than 24 months ago and less than 36 months ago.

Last updated:

07 November 2019

Defaults registered between 3 to 12 Months

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept applicants that have had any Defaults 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.

Our policy notes:

Family Building Society will not consider applicants that have had Defaults registered more than 3 months ago and less than 12 months ago.

Our outside policy allowances:

Defaults registered by mobile phone providers are ignored up to £100.

Last updated:

25 September 2019

Defaults registered in last 3 Months

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept applicants that have had any Defaults 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.

Our policy notes:

Family Building Society will not consider applicants that have had Defaults registered in the past 3 months.

Last updated:

09 September 2019

Defaults registered over 36 Months ago

Our standard acceptability

Potentially Ignored

Criteria definition:

Indicates if we can potentially ignore Defaults 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.

Our policy notes:

Family Building Society can potentially ignore any satisfied Defaults that were registered over 36 months ago subject to a satisfactory explanation.

Last updated:

25 September 2019

Discharged Bankrupt (years)

Our standard acceptability

3

Criteria definition:

Indicates if we can accept discharged bankrupts and if so how long a client has to have been discharged for. For example, Mr Smith was made bankrupt 7 years ago and was discharged one year later so has been discharged for 6 years. 

Our policy notes:

We can consider discharged bankrupts as long as they have been discharged at least three years, have no subsequent adverse registered credit and can provide a satisfactory explanation. Please refer these for consideration prior to an application being submitted.

Last updated:

20 April 2017

Employment : Zero Hours Contract Minimum Time in Position (in Months)

Our standard acceptability

24

Criteria definition:

Indicates if we can consider income from a zero hours contract and if so what is the minimum requirement (in MONTHS) that the applicant must have held the position for.

Our policy notes:

Family Building Society requires applicants to have been in a zero hours contract for at least 24 Months.

Last updated:

26 November 2019

Employment Income: Additional Duty Hours

Our standard acceptability

Acceptable

Criteria definition:

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

Our policy notes:

As long as this source of income is regular and can be evidenced in payslips we will accept 50%.

Last updated:

03 July 2017

Employment Income: Additional Responsibility Allowance

Our standard acceptability

Acceptable

Criteria definition:

Displays if we will accept Additional Responsibility Allowance as an acceptable source of income for affordability purposes.

Our policy notes:

100% of this source of income can be taken.

Last updated:

17 July 2017

Employment Income: Bonus (Annual)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept annual bonus as an allowable income type for affordability purposes.

Our policy notes:

We are able to take 50% of regular bonus (as long as we can see it is a regular feature of the employment). There is flexibility to take more if the employment justifies it. Please refer cases where more than 50% is required.

Last updated:

08 May 2017

Employment Income: Bonus (Half Yearly)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept half-yearly bonus as an allowable income type for affordability purposes. 

Our policy notes:

We are able to take 50% of regular bonus (as long as we can see it is a regular feature of the employment). There is flexibility to take more if the employment justifies it. Please refer cases where more than 50% is required.

Last updated:

08 May 2017

Employment Income: Bonus (Monthly)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept monthly bonus as an allowable income type for affordability purposes.

Our policy notes:

We are able to take 50% of regular bonus (as long as we can see it is a regular feature of the employment). There is flexibility to take more if the employment justifies it. Please refer cases where more than 50% is required.

Last updated:

08 May 2017

Employment Income: Bonus (Quarterly)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept quarterly bonus as an allowable income type for affordability purposes. 

Our policy notes:

We are able to take 50% of regular bonus (as long as we can see it is a regular feature of the employment). There is flexibility to take more if the employment justifies it. Please refer cases where more than 50% is required.

Last updated:

08 May 2017

Employment Income: Car Allowance

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept car allowance as an allowable income type for affordability purposes. 

Our policy notes:

We would accept 100% of this source of income.

Last updated:

20 April 2017

Employment Income: Commission (annual)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept annual commission as an acceptable source of income for affordability purposes.

Our policy notes:

We are able to take 50% of regular commission (as long as we can see it is a regular feature of the employment). There is flexibility to take more if the employment justifies it. Please refer cases where more than 50% is required.

If we can see consistently high levels of commission are worked then we may look to take more than 50%. It is recommended that these cases are referred prior to submission and the last two year's P60s are provided in addition to the last three month's payslips.

Last updated:

08 May 2017

Employment Income: Commission (half yearly)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept half-yearly commission as an acceptable source of income for affordability purposes.

Our policy notes:

We are able to take 50% of regular commission (as long as we can see it is a regular feature of the employment). There is flexibility to take more if the employment justifies it. Please refer cases where more than 50% is required.

If we can see consistently high levels of commission are worked then we may look to take more than 50%. It is recommended that these cases are referred prior to submission and the last two year's P60s are provided in addition to the last three month's payslips.

Last updated:

08 May 2017

Employment Income: Commission (monthly)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept monthly Commission as an acceptable source of income for affordability purposes.

Our policy notes:

Providing we can see this is a regular source of income we will take up to 50%.

Last updated:

03 July 2017

Employment Income: Commission (quarterly)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept quarterly commission as an acceptable source of income for affordability purposes.

Our policy notes:

Providing we can see this is a regular source of income we will take up to 50%.

Last updated:

03 July 2017

Employment Income: Employers Housing Allowance

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Employers Housing Allowance as an acceptable source of income for affordability purposes.

Our policy notes:

If we can see this is a guaranteed source of income we will take 100%.

Last updated:

03 July 2017

Employment Income: Employers Mortgage Subsidy

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Employers Mortgage Subsidy as an acceptable source of income for affordability purposes.

Our policy notes:


We will take 100% of this source of income.

Last updated:

17 July 2017

Employment Income: Employment Income from Family Business

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Employment Income from Family Business as an acceptable source of income for affordability purposes.

Our policy notes:

Employed income from a family business is acceptable subject to confirmation of the income from the external accountant.

Last updated:

17 July 2017

Employment Income: Flight Pay

Our standard acceptability

Acceptable

Criteria definition:

Displays if we will accept Flight Pay as an acceptable source of income for affordability purposes.

Our policy notes:

Family Building Society can potentially consider Flight Pay as an acceptable source of income for affordability purposes.

Last updated:

16 September 2020

Employment Income: Foreign currency

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Foreign currency as an acceptable source of income for affordability purposes.

Our policy notes:

We accept employed incomes paid in a foreign currency so long as the mortgage application is on an interest only basis.

Last updated:

30 June 2017

Employment Income: Large Town Allowance

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Large Town Allowance as an acceptable source of income for affordability purposes.

Our policy notes:

We can take 100% of guaranteed income.

Last updated:

08 May 2017

Employment Income: London Weighting

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept London Weighting as an acceptable source of income for affordability purposes.

Our policy notes:

We would accept 100% of this source of income. Evidence of this would need to be evident in payslips or an employment reference.

Last updated:

20 April 2017

Employment Income: Mileage Allowance

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are able to potentially accept mileage allowance an applicant receives from his/her employer as part of the affordability assessment.

Our policy notes:

Family Building Society does not accept mileage allowance as an acceptable source of income for affordability purposes.

Last updated:

10 May 2018

Employment Income: Overtime (less than monthly)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept overtime which is paid less frequently than monthly (for example quarterly) as an acceptable source of income for affordability purposes.

Our policy notes:

We are able to take 50% of regular overtime (as long as we can see it is a regular feature of the employment). There is flexibility to take more if the employment justifies it. Please refer cases where more than 50% is required.

If we can see consistently high levels of overtime are worked then we may look to take more than 50%. It is recommended that these cases are referred prior to submission and the last two year's P60s are provided in addition to the last three month's payslips.

Last updated:

08 May 2017

Employment Income: Overtime (weekly or monthly)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept monthly or less overtime as an acceptable source of income for affordability purposes.

Our policy notes:

We are able to take 50% of regular overtime (as long as we can see it is a regular feature of the employment). There is flexibility to take more if the employment justifies it. Please refer cases where more than 50% is required.

If we can see consistently high levels of overtime are worked then we may look to take more than 50%. It is recommended that these cases are referred prior to submission and the last two year's P60s are provided in addition to the last three month's payslips.

Last updated:

08 May 2017

Employment Income: Parental/Maternity leave pay (back to work salary)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept the client's full salary when they return to work after Parental/Maternity leave pay.

Our policy notes:

Acceptable subject to a check being made to ensure that the Applicant has statutory rights to return to work, and has a stated intention to do so. Confirmation will need to be obtained of the Applicant’s ability to service the mortgage repayments during the period of leave, e.g., what income will be received, or evidence of savings. Subject to the above proving satisfactory, income may be taken into consideration in the usual way.

Last updated:

11 July 2017

Employment Income: Salary (paid cash in hand)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept salary paid in cash as an allowable income type for affordability purposes. For example, Mr Jones works as a fruit picker on the local farm and is paid weekly in cash.

Our policy notes:

Although we expect most incomes to be paid into personal accounts we accept that some jobs may still receive cash in hand. As there is less of an audit trail we are more cautious when assessing this type of income.

Last updated:

08 May 2017

Employment Income: Second Job

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept income from a second job as an acceptable source of income for affordability purposes.

Our policy notes:

50% of income from second job, providing the Applicant has been in the job for at least six months and is permanently employed.

Last updated:

17 July 2017

Employment Income: Shift Allowance

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Shift Allowance as an acceptable source of income for affordability purposes.

Our policy notes:

Providing this is a regular source of income we will take up to 50%.

Last updated:

03 July 2017

Employment Income: Standby / Call Out

Our standard acceptability

Acceptable

Criteria definition:

Displays if we will accept Standby / Call Out as an acceptable source of income for affordability purposes.

Our policy notes:

Family Building Society can potentially consider Standby / Call Out as an acceptable source of income for affordability purposes.

Last updated:

16 September 2020

Employment Income: Supply Teacher

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Supply Teacher income as an acceptable source of income for affordability purposes.

Our policy notes:

Family Building Society can potentially accept supply teacher income for affordability purposes.

Last updated:

10 May 2018

Employment Income: Tronc Payments (Tips etc)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider tronc payments (Tips etc) as an allowable income type when assessing affordability on residential applications.

Our policy notes:

Family Building Society can potentially accept applicants that receive tronc payments (tips etc) when assessing affordability.

Last updated:

07 November 2019

Employment: CIS Contractor Assessment

Our standard acceptability

Treated as Self Employed

Criteria definition:

Indicates how we assesses CIS contractor income which will either be on a self employed basis or based on the CIS vouchers

Our policy notes:

Family Building Society will treat as self employed when assessing affordability of a CIS contractor

Last updated:

11 September 2020

Employment: Contractors Minimum Experience Requirement (Months)

Our standard acceptability

24

Criteria definition:

Indicates if we have a general 'minimum contracting experience requirement' threshold for contractors that must be met in order for their income to be considered.

Our policy notes:

Family Building Society has a minimum experience requirement for contractors of 24 months.

Last updated:

07 November 2018

Employment: Contractors Weekly Multiplier for Income Assessment

Our standard acceptability

48

Criteria definition:

Indicates how we assess contractor income which will either be on a self-employed basis or based on the contractor's day rate indicated by a weekly multiplier. For example 'Lender A' will calculate a contractor's income based on the weekly amount * 48 where '48' indicates the weekly multiplier and 'Lender B' will treat them as self-employed and income will be assessed in line with their self-employed policy. 

Our policy notes:

We can consider contractor workers who are self-employed (possibly via their own limited company) using a multiple of their weekly contract rate or simply taking their income via their accounts/SA302s.

Last updated:

23 October 2017

Employment: Employed with Voluntary Breaks

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are able to potentially accept a situation whereby someone is employed but takes an unpaid break from employment for a period greater than what would constitute a holiday. For example, John works 9 months of the year in an office job but in June, July and August each year he takes 3 months off in order to pursue other things (for example a seasonal second job or charity work). After the break, he returns to his office job.

Our policy notes:

We normally only accept breaks that do not exceed two weeks.

Last updated:

23 May 2017

Employment: Minimum length of time employed (months)

Our standard acceptability

0

Criteria definition:

Specifies if there is a minimum number of months (if so how many) employed applicants must have been continuously employed for their income to be considered in affordability.

Our policy notes:

We have no minimum period of employment although we ask for three year's history. We would be concerned if we could see employment changing frequently within that period. We would normally expect any probationary period to have been completed before we consider a mortgage application.

Last updated:

23 May 2017

Employment: Minimum length of time in current job (months)

Our standard acceptability

0

Criteria definition:

Specifies if there is a minimum length of time a person must have been in their current job and if so how many months. 

Our policy notes:

We have no minimum period in their current job although we would normally expect that they have completed any probationary period before an application was submitted.

Last updated:

23 May 2017

Employment: Pending new job salary accepted

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially use an applicants salary for a job they have yet to start when assessing affordability.

Our policy notes:

We would not normally consider an income from a wholly new job prior to it's start.

Last updated:

23 May 2017

Employment: Pending pay rise accepted

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept an applicants salary who are set to get a pay rise in the near future. For example, Sally is currently earning a salary of £20,000 but this will be increasing to £22,000 in a couple of months. 

Our policy notes:

We can consider payrises providing they can be evidenced and are normally to occur within the next three months.

Last updated:

22 May 2017

Employment: Probationary Period

Our standard acceptability

Not Acceptable

Criteria definition:

Specifies if we will allow a clients income to be considered for affordability if they are in a probationary period.

Our policy notes:

We would normally expect an applicant's probationary period to have been completed prior to submitting an application.

Last updated:

23 May 2017

Escalating Ground Rents

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on residential applications for leasehold properties that have an escalating ground rent clause.

Our policy notes:

Family Building Society can potentially consider lending on leasehold properties where an escalating ground rent clause exists.

Last updated:

09 September 2019

Estate Rentcharges

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on residential applications for freehold properties where 'Estate Rent Charge' clauses exist.

Our policy notes:

Family Building Society can potentially consider lending on freehold properties where exists an estate charge for the general upkeep and maintenance of any shared areas.

Last updated:

09 September 2019

Expat Residential Mortgage

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider residential applications from expatriate applicants.

Our policy notes:

We can accept applications from expatriates from a restricted list of countries, as follows:

Austria, Barbados, Belgium, Bulgaria, Canada, Cyprus, Czech Republic, Denmark, Estonia, Finland, France (including Mayotte, New Caledonia, French Polynesia, Saint Pierre and Miquelon and Wallis and Futuna) , Germany, Greece, Hong Kong, Hungary, Ireland, Israel, Italy, Japan, Kingdom of the Netherlands (The Netherlands, Aruba, Curacao, Sint Maarten, Bonaire, Sint Eustatius and Saba), Latvia, Liechenstein, Lithuania, Luxembourg, Malta, Malaysia, New Zealand, Norway, Poland, Portugal, Romania, Singapore, Slovak Republic, Slovenia, South Korea, Spain, Sweden, Switzerland, United Kingdom (including UK Crown Dependencies), and United States.

A note for our packager partners
In addition, the Society has agreed a policy through our packager partners for lending to expats in China, India, Monaco, Oman, Kuwait, Qatar, Saudi Arabia, South Africa, and United Arab Emirates on an exceptional basis, but will be subject to an additional requirement:

•The monthly mortgage payments should be made from a UK bank account from where any rental payments are received.

We will also consider applications through our packager partners for lending to expats in China, India, Monaco, Oman, Saudi Arabia and South Africa, subject to stricter requirements including:
•Any deposit monies are paid from or evidenced as held within a UK bank account
•Applicants must be working for recognised large organisations that have a UK presence.

Last updated:

27 May 2020

Family assist 100% mortgages

Our standard acceptability

Not Offered

Criteria definition:

Indicates if we can potentially consider Family assist 100% mortgages

Our policy notes:

Family Building Society will not consider Family assist 100% mortgages


Our outside policy allowances:

The Society does offer 95% mortgages with family assistance with our Family Mortgage scheme where 20% security from the family property or savings is accepted.

Last updated:

11 September 2020

Financial Associates with Adverse

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept residential applications from an applicant who is financially associated with someone who has adverse credit.

Our policy notes:

Family Building Society will not accept applicants that are financially associated with persons that have adverse credit.

Last updated:

09 September 2019

Flat/Maisonette Maximum LTV (New Build)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates the maximum potential loan to value (LTV) we can accept where the property type is a NEW BUILD flat or NEW BUILD maisonette.

Our policy notes:

We do not accept new build flats/maisonettes.

Last updated:

03 July 2017

Flat/Maisonette Maximum LTV (Standard)

Our standard acceptability

80

Criteria definition:

Indicates the maximum potential loan to value (LTV) we can accept where the property type is a flat or maisonette and it is NOT considered a new build.

Our policy notes:

The maximum LTV we can consider is 80% LTV providing applicants have evidence of a current mortgage or tenancy they have maintained.

Last updated:

03 July 2017

Flying Freehold: Maximum acceptable percentage of the gross floor area

Our standard acceptability

20

Criteria definition:

Indicates the maximum percentage of gross floor area the flying freehold part covers that can be considered by us

Our policy notes:

Family Building Society accepts flying freehold up to a maximum gross floor area of 20%

Last updated:

11 September 2020

Foreign Nationals (Living Overseas)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider applications from foreign nationals living overseas who wish to obtain a residential mortgage here in the UK. For example, a Chinese applicant who does not live or work in the UK who wants to purchase property here in the UK on a residential basis as he wants a residence in the UK (perhaps for his family to reside).

Our policy notes:

Family Building Society does not lend to Foreign Nationals living overseas.

Last updated:

06 November 2018

Foreign Nationals (with indefinite leave to remain)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we are potentially able to accept applications from foreign nationals that DO HAVE indefinite leave to remain

Our policy notes:

We do accept applications from foreign nationals with a permanent right to reside.

Last updated:

17 July 2017

Foreign Nationals (WITHOUT indefinite leave to remain)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are potentially able to accept applications from foreign nationals that DO NOT have indefinite leave to remain

Our policy notes:

We would not prepared to accept applications from non-EU nationals without a permanent right to reside.

Last updated:

17 July 2017

Gambling (recurring transactions)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider applicants with recurrent gambling transactions on residential applications

Our policy notes:

Family Building Society will not consider applicants that have recurring gambling transactions

Last updated:

11 September 2020

Guarantors

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we accept guarantor applications.

Our policy notes:

Normally the Society would require the Borrower’s income to be sufficient to service the proposed new mortgage advance on its own and the application will be required to pass the Society’s affordability test. The Society can however consider applications where a guarantors income is required to support the applicant (or even repay the mortgage) and in circumstances where the Guarantors income is required to service the loan in any way in addition to that of the Borrowers, full verification will be required and the case must pass the affordability test, taking into account any outgoings that the Guarantors may have. Our expectation is that the borrower would be in a position to take on the full mortgage repayments after approximately five years and we would expect them to be in an employment that is likely to lead to that growth in income.

Guarantors should be close family members. i.e. mother, father, brother, sister etc

Last updated:

20 April 2017

Guarantors: Reverse (younger applicant guarantor for older applicant)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider a reverse guarantor application. A reverse guarantor application is where the guarantor is younger than the applicant. This typically might occur when a son or daughter wishes to help their parents.

Our policy notes:

Family Building Society can potentially consider a reverse guarantor application although we process these under our Joint Mortgage Sole Owner (JMSO) policy.

Last updated:

11 September 2020

Guarantors: Where applicant significant income growth is not expected

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept a guarantor application where the applicant is not expecting significant income growth in the future

Our policy notes:

Family Building Society will only consider a guarantor application where significant income growth is expected

Last updated:

11 September 2020

Help to Buy Equity Loan

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we accept Help to Buy (Equity Loan) applications.

Our policy notes:

We do not currently accept purchases under the Help to Buy scheme.

Last updated:

03 July 2017

Help to Buy Equity Loan Remortgage

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are able to potentially accept remortgage applications where a Help to Buy Equity Loan exists and will continue to exist on completion of the remortgage.

Our policy notes:

Unfortunately, the Society does not do Help to Buy mortgages.

Last updated:

31 August 2017

Help to Buy Equity Loan Remortgage with Capital Raising

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are able to potentially consider remortgage applications with an element of capital raising where there exists a help to buy equity loan and it will continue to exist on completion of the remortgage.

Our policy notes:

Unfortunately, the Society does not do Help to Buy remortgages.

Last updated:

31 August 2017

Help to Buy: Equity Loan Rate for Affordability

Our standard acceptability

does not take part in Help to Buy Equity Loan

Criteria definition:

Indicates if we will take the 'Equity Loan' portion as a commitment for affordability assessment and if so at what rate of interest is it calculated. 

Our policy notes:

Unfortunately we don't take part in the Help to Buy Equity Loan scheme.

Last updated:

23 October 2017

Historic CIFAS Record (Years)

Our standard acceptability

3

Criteria definition:

Indicates if we can potentially accept residential applications from an applicant that is on the CIFAS register and if so, what time must have passed in order for us to potentially accept a new mortgage application from the customer.

Our policy notes:

Family Building Society can potentially accept customers that are registered on the CIFAS register. We require the applicant's registration date to be at least 3 Years ago.

Last updated:

07 November 2019

House/Bungalow Maximum LTV (New Build)

Our standard acceptability

80

Criteria definition:

Indicates the maximum potential loan to value (LTV) we can accept where the property type is a NEW BUILD house/bungalow.

Our policy notes:

The maximum LTV we can consider is 80% providing applicants can evidence maintaining a current mortgage or tenancy agreement.

Last updated:

03 July 2017

House/Bungalow Maximum LTV (Standard)

Our standard acceptability

80

Criteria definition:

Indicates the maximum potential loan to value (LTV) we can accept where the property type is a house or bungalow and it is NOT considered a new build.

Our policy notes:

The maximum LTV we can consider is 80% providing applicants can evidence maintaining an existing mortgage or tenancy agreement.

Last updated:

03 July 2017

Income made up primarily of benefits

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept income where it is primarily made up of benefits. An example of this would be where benefit income exceeds earned income or represents more than 50% of total income.

Our policy notes:

We will not accept income from benefits.

Last updated:

22 May 2017

Income Multiple (Joint) Maximum

Our standard acceptability

4.5

Criteria definition:

Indicates the maximum income multiple that cannot be exceeded when assessing how much joint applicants are able to borrow. This is the maximum potential income multiple and should just be used as a guide as other factors may reduce this figure.

Our policy notes:

The Society does not base lending on income multiples. Our preference is to use an affordability model available on our website.

Our outside policy allowances:

Our standard maximum income multiple is 4.5 times income although we can, by exception, go beyond that.

Last updated:

21 November 2019

Income Multiple (single) Maximum

Our standard acceptability

4.5

Criteria definition:

Indicates the maximum income multiple that cannot be exceeded when assessing how much single applicants are able to borrow. This is the maximum potential income multiple and should just be used as a guide as other factors may reduce this figure.

Our policy notes:

The Society does not base lending on income multiples. Our preference is to use an affordability model available on our website.

Our outside policy allowances:

Our normal maximum is to lend up to 4.5 times income but, by exception, we can lend beyond this.

Last updated:

21 November 2019

Individual Voluntary Arrangements - IVA (Years satisfied)

Our standard acceptability

3

Criteria definition:

Indicates if we can potentially consider borrowers who have had an IVA and if so how many years it must have been satisfied for. An IVA is satisfied when the payment plan has been completed. For example, a home buyer is looking to obtain a mortgage to fund a house purchase but entered into an IVA 6 years ago which consisted of a 5-year plan to repay the agreed amount to their creditors. The plan was successfully completed without any unsatisfactory conduct so their IVA has now been satisfied for 1 year.

IMPORTANT NOTE: An IVA usually stays on the credit file for 6 years from the date it was REGISTERED not from the date it was satisfied which typically occurs 5 years after the date the IVA was entered into (the registered date). 


Our policy notes:

We will accept applications from applicants who have had satisfied IVAs for more than three years and with a satisfactory explanation for the circumstances leading up to the IVA.

Last updated:

20 April 2017

Individual Voluntary Arrangements - IVA (Years since registered)

Our standard acceptability

6

Criteria definition:

Indicates if we can potentially consider borrowers who have had an IVA and if so how many years ago it must have been registered. An IVA is registered when a payment plan is agreed with the creditors. For example, a home buyer is looking to obtain a mortgage to fund a house purchase but entered into an IVA 6 years ago which consisted of a 5-year plan to repay the agreed amount to their creditors. The plan was successfully completed without any unsatisfactory conduct so their IVA has now been satisfied for 1 year and was registered 6 years ago

IMPORTANT NOTE: An IVA usually stays on the credit file for 6 years from the date it was REGISTERED not from the date it was satisfied which typically occurs 5 years after the date the IVA was entered into (the registered date). 

Our policy notes:

We will look at satisfied IVAs only three years from when they are satisfied.

Last updated:

20 April 2017

Individual Voluntary Arrangements (IVA)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider an application from an applicant who has previously had an Individual Voluntary Arrangement (IVA) registered against them. 

This criteria displays if a person who has had an IVA can be considered on a general level but you should read the policy notes and related criteria carefully to dig deeper with regard to your client's specific situation.


Our policy notes:

We will accept applications from applicants who have had satisfied IVAs for more than three years and with a satisfactory explanation for the circumstances leading up to the IVA.

Last updated:

23 May 2017

Interest only: Annual lump sum repayment

Our standard acceptability

No

Criteria definition:

Indicates if we can potentially accept interest-only lending and if so are we able to accept interest-only applications where the repayment vehicle is the borrowers intention to make periodic lump sum reductions from savings, bonus payments, sale of assets and the like.

Our policy notes:

We are unable to accept annual lump sum repayments as an acceptable repayment strategy for an interest only mortgage.

Last updated:

20 April 2017

Interest only: Existing endowment or ISA

Our standard acceptability

Yes

Criteria definition:

Indicates if we can potentially accept interest-only lending and if so are we able to accept interest-only applications where the repayment vehicle is from the proceeds of an existing endowment or ISA.

Our policy notes:

For an existing endowment policy a copy of latest statement dated within the last 12 months giving the current projected maturity value. Mortgage must not exceed the value using the middle figure of the three growth rates provided. For an existing ISA a copy of the latest statement, dated within the last 12 months. Value to be assessed at 80% of the figure stated.

Last updated:

23 May 2017

Interest Only: Minimum Equity Requirement

Our standard acceptability

No Minimum

Criteria definition:

Indicates if we can potentially accept interest-only lending and if so do we have a minimum equity requirement for interest-only lending.

Our policy notes:

Family Building Society has no minimum equity requirement for interest only lending.

Last updated:

10 May 2018

Interest Only: Minimum Income Requirement

Our standard acceptability

No Minimum

Criteria definition:

Indicates if we can potentially accept interest-only lending and if so do we have a minimum income requirement for interest-only lending. 

Our policy notes:

Family Building Society has no minimum income requirement for interest only lending.

Last updated:

10 May 2018

Interest only: Other assets

Our standard acceptability

No

Criteria definition:

Indicates if we can potentially accept interest-only lending and if so are there any other acceptable assets that we could potentially accept as an acceptable means of repaying an interest-only mortgage. This does not include the standard repayment method like sale of mortgage property, sale of other property, endowments, ISAs, pensions and the other standard methods of repayment.

Our policy notes:

We do not accept this repayment method.

Last updated:

23 May 2017

Interest only: Pension Lump Sum

Our standard acceptability

Yes

Criteria definition:

Indicates if we can potentially accept interest-only lending and if so are we able to accept interest-only applications where the repayment vehicle is intended to be the proceeds from a pension lump sum.

Our policy notes:

For existing policies a copy of the latest statement, from within the last 12 months, or an illustration, from the company providing the policy, giving the final maturity value. 100% of the value can be utilised taking into account any tax implications and deductions that the pension provider may make.

Last updated:

23 May 2017

Interest only: Pure

Our standard acceptability

No

Criteria definition:

Indicates if we can potentially accept interest-only lending and if so are we able to potentially accept mortgage applications on an interest-only basis where there is no repayment method (pure interest only).

Our policy notes:

We do not accept this repayment type.

Last updated:

22 May 2017

Interest only: Sale of mortgaged property

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept interest-only lending and if so is 'sale of the mortgaged property' an acceptable repayment method on residential mortgages.

Our policy notes:

We can accept downsizing to a maximum 70% LTV.

Last updated:

31 August 2017

Interest only: Sale of other mortgaged property

Our standard acceptability

Yes

Criteria definition:

Indicates if we can potentially accept interest-only lending and if so is the sale of another mortgaged property (Not the security property) an acceptable repayment vehicle for residential interest-only lending.

Our policy notes:

Property details and proof of ownership evidence of any outstanding mortgage and estimate of value obtained via such sources such as “Zoopla”, “Rightmove” or an estate agents estimated sale value must be provided. 100% of any equity held.Properties solely owned by the applicants only will be considered.

Last updated:

23 May 2017

Interest only: Sale of other unencumbered property

Our standard acceptability

Yes

Criteria definition:

Indicates if we can potentially accept interest-only lending and if so are we able to accept interest-only applications where the repayment vehicle is the sale of another mortgage-free property (Not the security property).

Our policy notes:

Property details and proof of ownership evidence of any outstanding mortgage and estimate of value obtained via such sources such as “Zoopla”, “Rightmove” or an estate agents estimated sale value and placed on the mortgage file. 100% of any equity held. Properties solely owned by the applicants only will be considered.

Last updated:

23 May 2017

Investment Income: Investment Income (not rent)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Investment Income (not rent) as an acceptable source of income for affordability purposes.

Our policy notes:

This source of income is acceptable but the level of the income taken is assessed on a case by case basis.

Last updated:

11 July 2017

Investment Income: Rental Income (from mortgage free property)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Rental Income (from a mortgage-free property) as an acceptable source of income for affordability purposes.

Our policy notes:

100% of rental income that is declared to HMRC.

Last updated:

08 May 2017

Investment Income: Rental Income (from mortgaged property)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Rental Income (from a mortgaged property) as an acceptable source of income for affordability purposes.

Our policy notes:

We would assess this sort of income in the same was as we would all self-employed income which is via accounts or SA302s.

Last updated:

03 July 2017

Investment Income: Trust Income

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Trust Income as an acceptable source of income for affordability purposes.

Our policy notes:

We can accept income from a trust but will require a chartered/certified accountant's confirmation of the income.

Last updated:

03 July 2017

Japanese Knotweed

Our standard acceptability

Acceptable

Criteria definition:

Specifies if we are able to potentially accept applications where there is evidence of Japanese knotweed at the property or near the property.

Our policy notes:

Please refer these for assessment on a case by case basis. Japanese Knotweed is an invasive plant species and can cause damage to properties if left untreated. Where a valuation report identifys that Japanese Knotweed is present a program of eradication may be required before the Society can lend

Last updated:

11 July 2017

Joint application sole occupier

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we will accept joint applications where one applicant will NOT reside in the property. For example, a father and son are looking to buy a property together that only the son will live in.

Our policy notes:

Family Building Society can potentially accept applications on a joint application sole occupier basis subject to underwriter referral.

Last updated:

17 April 2019

Joint application sole proprietor

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we will accept applications from joint borrowers where only ONE applicant will OWN the property. A good example would be a close family member who wants to help increase the borrowing capacity.

Our policy notes:

We can accept applications where one applicant only is to be an owner and up to two other applicants are to occupy the property. Each application needs to be referred for consideration prior to submission.The two categories we'd consider are where son/daughter wish to use mother/father to support their income to secure the loan they need but that in time (approximately five years) the likelihood is their income will grow sufficiently to afford the mortgage in their own right.The other scenario is where an elderly parents needs the support of their son/daughter so secure a mortgage.Please refer either scenario to us for consideration before submitting an application.

Last updated:

31 August 2017

Late Payments (Not Missed)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider applications from applicants who have a history of late payments (NOT REGISTERED AS MISSED) on any credit agreements they hold.

Our policy notes:

Family Building Society can potentially accept applicants with previous 'Late Payments'.

Last updated:

07 November 2018

Leasehold Property where No Separate Management Company Exists

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on residential applications for leasehold properties where no separate management company exists.

Our policy notes:

Family Building Society can potentially consider lending on leasehold properties where no separate management company exists.

Last updated:

25 September 2019

Lending Location: Channel Islands

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider lending on properties located in the Channel Islands.

Our policy notes:

We cannot accept applications for mortgages in Guernsey.

Last updated:

24 August 2017

Lending Location: England

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider lending on properties located in England.

Our policy notes:

We do lend in England

Last updated:

24 August 2017

Lending Location: Isle of Man

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider lending on properties located on the Isle of Man.

Our policy notes:

Family Building Society does not lend on properties on the Isle of Man.

Last updated:

18 August 2017

Lending Location: Isle of Wight

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider lending on properties located on the Isle of Wight

Our policy notes:

We do lend on the Isle of Wight.

Last updated:

24 August 2017

Lending Location: Northern Ireland

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider lending on properties located in Northern Ireland.

Our policy notes:

Family Building Society does not lend on properties in Northern Ireland.

Last updated:

18 August 2017

Lending Location: Scilly Isles

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider lending on properties located in the Scilly Isles.

Our policy notes:

Family Building Society does not lend on properties in the Scilly Isles.

Last updated:

18 August 2017

Lending Location: Scotland

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider lending on properties located in Scotland.

Our policy notes:

Family Building Society does not lend on properties in Scotland.

Last updated:

18 August 2017

Lending Location: Wales

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider lending on properties located in Wales.

Our policy notes:

We do lend in Wales.

Last updated:

24 August 2017

Let to Buy (Existing lender consent to let)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially allow a customer to Let their existing residential mortgaged property. 

Our policy notes:

The Society will consider allowing an existing customer let their existing residential property and obtain a consent to let.

Last updated:

03 July 2017

Let to Buy (Onward Purchase)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we are potentially able to arrange the new residential mortgage where the existing residential mortgaged property is going to be Let with a different lender

Our policy notes:


Providing an applicant has obtained a consent to let from their existing lender we can consider a new application for an onward purchase.

Last updated:

03 July 2017

Let to Buy (Remortgage current residential to Buy to Let)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept applications to remortgage onto a buy to let basis when the current mortgage is residential. For example, Jack wants to move out of his current residential mortgaged property, remortgage onto a buy to let and purchase a new residential property to live in. This criteria relates to converting the current residential onto a buy to let mortgage.

Our policy notes:

We can accept applications for a remortgage onto a buy to let basis subject to our normal BTL criteria.

Last updated:

03 July 2017

Lodgers

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept applications where there is/will be a lodger residing in the security property.

Our policy notes:

We will not accept an application where a lodger is present.

Last updated:

11 July 2017

Maximum debt to income ratio

Our standard acceptability

100+

Criteria definition:

Indicates the maximum potential debt to income (DTI) ratio we might accept. For example, an applicant has outstanding unsecured debts of £26,000 and a salary of £40,000. Therefore their DTI is 65%. This criteria indicates if we have a maximum and if so what it is.

Our policy notes:

The Society does not have a maximum debt to income ratio.

Last updated:

12 November 2018

Maximum Ground Rent (as % of Property Value/Purchase Price)

Our standard acceptability

0.25

Criteria definition:

Indicates if we have a maximum threshold, and if so what it is, that the ground rent on a leasehold property cannot exceed measured against the property value. For example, Applicant 'A' is purchasing a leasehold flat valued at £100,000 that has a ground rent payable annually of £100. This ground rent equates to 0.1% of the property value. Lender 'A' has no maximum threshold on ground rents and therefor Applicant 'A' is able to proceed with a mortgage application on this property.

Our policy notes:

Family Building Society can potentially consider applications on leasehold properties so long as the ground rent is no more than 0.25% of the property value.

Last updated:

07 November 2019

Maximum Loan Size Retirement Interest Only (RIO)

Our standard acceptability

No Maximum

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so what our maximum loan size is for Retirement Interest Only (RIO) applications.

Our policy notes:

The Society's standard maximum loan amounts and LTVs apply.

Last updated:

03 March 2020

Maximum Loan to Value (LTV) for Interest Only mortgages

Our standard acceptability

60

Criteria definition:

Indicates if we can consider Interest Only lending on residential mortgages and if so up to what loan to value (LTV). Take care to check other factors such as:

  • Is there a minimum equity requirement?
  • Is their a minimum income requirement?
  • Is there a minimum property valuation?
  • Is the repayment vehicle acceptable to us?
  • Can any borrowing over the stated max LTV be taken on a repayment basis?

Our policy notes:

As a result of the covid-19 outbreak the Society will currently only lend to a maximum of 60% LTV.

Last updated:

30 March 2020

Maximum Loan to Value (LTV) for Retirement Interest Only (RIO): Purchases

Our standard acceptability

50

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so what is the maximum loan to value (LTV) for Retirement Interest Only (RIO) purchase applications.

Our policy notes:

The Society's maximum loan to value for RIO mortgages is 50% LTV.

Last updated:

03 March 2020

Maximum Loan to Value (LTV) for Retirement Interest Only (RIO): Remortgage Balance Swap

Our standard acceptability

50

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so what is the maximum loan to value (LTV) for Retirement Interest Only (RIO) remortgage applications where there is no element of capital raising and it is a simple balance swap.

Our policy notes:

The maximum LTV is 50%.

Last updated:

03 March 2020

Maximum Loan to Value (LTV) for Retirement Interest Only (RIO): Remortgage with Capital Raising

Our standard acceptability

50

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so what is the maximum loan to value (LTV) for Retirement Interest Only (RIO) remortgage applications where there is additional capital being raised.

Our policy notes:

The maximum LTV is 50%

Last updated:

03 March 2020

Maximum Mortgage Arrears in last 24 Months

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept residential applications from an applicant who has mortgage arrears in the past 2 years and if so what is the maximum number of missed payments in the past 2 years that can be accepted.

Our policy notes:

Family Building Society will not consider applicants with any mortgage arrears in the previous 24 months.

Last updated:

09 September 2019

Maximum number of applicants allowed

Our standard acceptability

4

Criteria definition:

Indicates the maximum number of applicants able to go on a mortgage application.

Our policy notes:

We can consider applications for up to four applicants.

Last updated:

20 April 2017

Maximum number of applicants income used for affordability

Our standard acceptability

4

Criteria definition:

Indicates how many applicants we can factor into the affordability calculation.

Our policy notes:

We will accept up to four applicants on a mortgage application and will consider incomes from all.

Last updated:

03 July 2017

Maximum Number of CCJs (Satisfied)

Our standard acceptability

3

Criteria definition:

Indicates if we can consider residential applications from applicants with previously satisfied CCJs and if so what the maximum allowable number registered against an applicant is. For example, applicant 'A' has 3 previously satisfied CCJs in the past 6 years and Lender 'A' says the maximum number they will allow is 2 registered on the applicants credit file. Therefore applicant 'A' would be unable to apply for a mortgage with Lender 'A' at this time. Other factors may also be factored in such as (but no limited to) total value and other adverse credit.

Our policy notes:

Family Building Society can consider applicants with up to three satisfied CCJs.

Last updated:

07 November 2019

Maximum Number of CCJs (Unsatisfied)

Our standard acceptability

0

Criteria definition:

Indicates if we can consider residential applications from with unsatisfied CCJs and if so what the maximum allowable number registered against an applicant is. For example, applicant 'A' has 3 previously unsatisfied CCJs in the past 6 years and Lender 'A' says the maximum number they will allow is 2 registered on the applicants credit file. Therefore applicant 'A' would be unable to apply for a mortgage with Lender 'A' at this time. Other factors may also be factored in such as (but no limited to) total value and other adverse credit.

Our policy notes:

Family Building Society will not consider applicants with unsatisfied CCJs.

Last updated:

09 September 2019

Maximum Number of Defaults (Satisfied)

Our standard acceptability

1

Criteria definition:

Indicates if we can consider residential applications from applicants with previously satisfied Defaults and if so what the maximum allowable number registered against an applicant is. For example, applicant 'A' has 3 previously satisfied Defaults in the past 6 years and Lender 'A' says the maximum number they will allow is 2 registered on the applicants credit file. Therefore applicant 'A' would be unable to apply for a mortgage with Lender 'A' at this time. Other factors may also be factored in such as (but no limited to) total value and other adverse credit.

Our policy notes:

Family Building Society can consider applicants with up to 1 satisfied Default that relate to a utility or communication supplier.

Last updated:

21 November 2019

Maximum Number of Defaults (Unsatisfied)

Our standard acceptability

0

Criteria definition:

Indicates if we can consider residential applications from with unsatisfied Defaults and if so what the maximum allowable number registered against an applicant is. For example, applicant 'A' has 3 previously unsatisfied Defaults in the past 6 years and Lender 'A' says the maximum number they will allow is 2 registered on the applicants credit file. Therefore applicant 'A' would be unable to apply for a mortgage with Lender 'A' at this time. Other factors may also be factored in such as (but no limited to) total value and other adverse credit.

Our policy notes:

Family Building Society will not consider applicants with unsatisfied Defaults.

Last updated:

09 September 2019

Maximum number of storeys considered for lending on ex local authority flats

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates the maximum number of stories we can consider when lending on ex-local authority high rise flats.

Our policy notes:

We do not lend on ex-local authority flats/maisonettes.

Last updated:

03 July 2017

Maximum number of storeys considered for lending on flats

Our standard acceptability

4

Criteria definition:

Indicates the maximum number of stories we can consider when lending on high rise flats.

Our policy notes:

The maximum number of floors we can consider is four stories although we can consider lending on flats in blocks with more floors but these should be referred individually before application submission.

Our outside policy allowances:

We can consider lending on properties five stories and above but these need to be referred.

Last updated:

06 November 2018

Maximum number of stories where no lift is present

Our standard acceptability

5

Criteria definition:

Indicates the maximum number of storeys we can consider when lending on flats when there is no lift access.

Our policy notes:

Family Building Society will only consider flats with no lift access up to five storeys

Last updated:

16 September 2020

Maximum Term (Years)

Our standard acceptability

40

Criteria definition:

Indicates the maximum term a mortgage can be taken over.

Our policy notes:

Our maximum term is 40 years. However, the actual maximum term is linked to the oldest applicant's age. Please refer to our website for more information.

Last updated:

20 April 2017

Maximum Term (Years): Retirement Interest Only (RIO)

Our standard acceptability

No Maximum

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so what is the maximum term for Retirement Interest Only (RIO) applications. Lenders do not have to set a fixed term for the mortgage and so the repayment date can be when the borrower dies or goes into care, as with Lifetime Mortgages.

Our policy notes:

Family Building Society does not have a maximum term. Please see our minimum and maximum age policy.

Last updated:

03 March 2020

Maximum Unsecured Arrears in last 24 Months

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept residential applications from an applicant who has unsecured arrears in the past 2 years and if so what is the maximum number of missed payments in the past 2 years that can be accepted.

Our policy notes:

Family Building Society will not consider applicants with any unsecured arrears in the previous 24 months.

Last updated:

09 September 2019

Maximum Value of CCJs (Satisfied)

Our standard acceptability

500

Criteria definition:

Indicates if we can potentially consider residential applications from applicants with previously satisfied CCJs and if so what the maximum allowable value of all registered against an applicant is. For example, applicant 'A' has 3 previously satisfied CCJs in the past 6 years totaling £1,230 and Lender 'A' says the maximum value they will allow is £500 registered on the applicants credit file. Therefore applicant 'A' would be unable to apply for a mortgage with Lender 'A' at this time. Other factors may also be factored in such as (but no limited to) total number registered and other adverse credit registered against the applicant.

Our policy notes:

Family Building Society can consider applicants with satisfied CCJs.

Last updated:

07 November 2019

Maximum Value of CCJs (Unsatisfied)

Our standard acceptability

0

Criteria definition:

Indicates if we can consider residential applications from applicants with unsatisfied CCJs and if so what the maximum allowable value of all registered against an applicant is. For example, applicant 'A' has 3 unsatisfied CCJs in the past 6 years totaling £1,230 and Lender 'A' says the maximum value they will allow is £500 registered on the applicants credit file. Therefore applicant 'A' would be unable to apply for a mortgage with Lender 'A' at this time. Other factors may also be factored in such as (but no limited to) total number registered and other adverse credit registered against the applicant.

Our policy notes:

Family Building Society will not consider applicants with unsatisfied CCJs.

Last updated:

09 September 2019

Maximum Value of Defaults (Satisfied)

Our standard acceptability

500

Criteria definition:

Indicates if we can potentially consider residential applications from applicants with previously satisfied Defaults and if so what the maximum allowable value of all registered against an applicant is. For example, applicant 'A' has 3 previously satisfied Defaults in the past 6 years totaling £1,230 and Lender 'A' says the maximum value they will allow is £500 registered on the applicants credit file. Therefore applicant 'A' would be unable to apply for a mortgage with Lender 'A' at this time. Other factors may also be factored in such as (but no limited to) total number registered and other adverse credit registered against the applicant.

Our policy notes:

Family Building Society can consider applicants with satisfied Defaults up to a maximum value of £500 that relate to a utility or communications supplier.

Last updated:

21 November 2019

Maximum Value of Defaults (Unsatisfied)

Our standard acceptability

0

Criteria definition:

Indicates if we can potentially consider residential applications from applicants with unsatisfied Defaults and if so what the maximum allowable value of all registered against an applicant is. For example, applicant 'A' has 3 unsatisfied Defaults in the past 6 years totaling £1,230 and Lender 'A' says the maximum value they will allow is £500 registered on the applicants credit file. Therefore applicant 'A' would be unable to apply for a mortgage with Lender 'A' at this time. Other factors may also be factored in such as (but no limited to) total number registered and other adverse credit registered against the applicant.

Our policy notes:

Family Building Society will not consider applicants with unsatisfied Defaults.

Last updated:

09 September 2019

Minimum Income Requirement

Our standard acceptability

No Minimum

Criteria definition:

Indicates if we have a minimum income requirement for residential mortgage applications and if so what it is.

Our policy notes:

Family Building Society does not have a minimum income requirement.

Last updated:

31 January 2018

Minimum Length of Time in Secondary Employment (in Months)

Our standard acceptability

24

Criteria definition:

Indicates if we can consider income from secondary employment and if so what is the minimum requirement (in MONTHS) that the applicant must have held the position for.

Our policy notes:

Family Building Society can consider applicants secondary employment subject to a minimum of 24 months in the role although we usually only take 50% of any second job income.

Last updated:

25 September 2019

Minimum Loan Size

Our standard acceptability

45000

Criteria definition:

Indicates the minimum loan size (if there is one) that we accept for new applications.

Our policy notes:

Our minimum loan is £45,000

Last updated:

20 April 2017

Minimum Loan Size Retirement Interest Only (RIO)

Our standard acceptability

45000

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so what the minimum loan requirement for Retirement Interest Only (RIO) applications is.

Our policy notes:

The Society's minimum loan for RIO mortgages is the same as standard mortgages.

Last updated:

03 March 2020

Minimum Percentage of Properties under Private Ownership on Ex-Local Authority Blocks of Flats

Our standard acceptability

We do not lend on Ex Local Authority Flats

Criteria definition:

Indicates if we can potentially lend on a ex-local authority flat/apartments and if so is there a minimum percentage in the block that must be privately owned.

Our policy notes:

Family Building Society won't lend on ex-local authority flats.

Last updated:

18 September 2019

Minimum period background property let before can be ignored (months)

Our standard acceptability

2

Criteria definition:

Indicates the minimum period (in months) any background properties that are Let or to be Let must have been Let for before they can potentially be discounted from a commitment point of view for affordability purposes. 

Our policy notes:

We state that the property needs to be let either on or shortly after the completion of the mortgage. Although we don't stipulate exactly how long that is we would normally expect the property to be let within a month or two of completion.

Last updated:

03 July 2017

Minimum Property Value

Our standard acceptability

120000

Criteria definition:

Indicates if we have a minimum property value we require for new applications.

Our policy notes:

Our minimum property value is £120,000.

Last updated:

03 July 2017

Minimum Property Value for Retirement Interest Only (RIO)

Our standard acceptability

120000

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so if we have a minimum property value requirement.

Our policy notes:

The Society's standard minimum property value is £120,000 which also applies to RIO mortgages.

Last updated:

03 March 2020

Minimum remaining lease at application

Our standard acceptability

55

Criteria definition:

Indicates the minimum required lease remaining at the date of application we can potentially accept. For example, 

Our policy notes:

The Society doesn't have a minimum lease term at application but the minimum is 50 years unexpired at the end of the mortgage term (with the minimum mortgage term being five years).

Our outside policy allowances:

We can consider shorter leases where the purpose of the remortgage is to extend the lease on completion.

Last updated:

23 July 2019

Minimum remaining lease at end of term

Our standard acceptability

50

Criteria definition:

Indicates the minimum required lease remaining at the end of the mortgage term we can potentially accept. For example, Alex is looking to purchase a flat which currently has a remaining lease term of 90 years and wishes to take out a mortgage over 20 years. Therefore his remaining lease at the end of the mortgage term will be 70 years (90-20=70).

Our policy notes:

The Society requires an unexpired lease of 50 years at the end of the term of the mortgage.

Last updated:

02 August 2018

Minimum Term (Years)

Our standard acceptability

5

Criteria definition:

Indicates the minimum term a mortgage can be taken over.

Our policy notes:

Our minimum term is 5 years.

Last updated:

20 April 2017

Minimum Time Owner Occupier (in Months)

Our standard acceptability

6

Criteria definition:

Indicates if we have a minimum requirement that an applicant must have been an owner occupier for (in MONTHS) in order to be considered for a residential mortgage.

Our policy notes:

Family Building Society requires applicants to have been an owner occupier for at least 6 months.

Last updated:

07 November 2019

Months passed where Mortgage Arrears can be ignored

Our standard acceptability

24

Criteria definition:

Indicates if we can potentially ignore mortgage arrears that are historic and if so at what point they can potentially be ignored when assessing residential mortgage applications.

Our policy notes:

Family Building Society can potentially ignore previous mortgage arrears that are older than 24 months old subject to a satisfactory explanation.

Last updated:

25 September 2019

New Build purchased off plan

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider an application for a new build purchase 'Off-Plan'. Buying new build property off-plan means you agree to purchase a property before the property is built or sometimes before construction has even started.

Our policy notes:

Family Building Society can potentially consider an application for a new build purchase 'off plan'

Last updated:

11 September 2020

New Build Warranty: AEDIS

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if AEDIS is an acceptable new build warranty to us on new build properties.

Our policy notes:

This is not acceptable.

Last updated:

17 July 2017

New Build Warranty: Build Assure

Our standard acceptability

Acceptable

Criteria definition:

Indicates if Build Assure is an acceptable new build warranty to us on new build properties.

Our policy notes:


This is acceptable.

Last updated:

17 July 2017

New Build Warranty: Building Life Plans

Our standard acceptability

Acceptable

Criteria definition:

Indicates if Building Life Plans is an acceptable new build warranty to us on new build properties.

Our policy notes:

This is acceptable.

Last updated:

17 July 2017

New Build Warranty: Buildzone

Our standard acceptability

Acceptable

Criteria definition:

Indicates if Buildzone is an acceptable new build warranty to us on new build properties.

Our policy notes:

This is acceptable.

Last updated:

17 July 2017

New Build Warranty: Checkmate (Castle 10)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if Checkmate (Castle 10) is an acceptable new build warranty to us on new build properties.

Our policy notes:

This is acceptable. Where outbuildings, such as a detached garage, are included in the construction, an endorsement to include these in the cover is required)

Last updated:

17 July 2017

New Build Warranty: CRL Management Ltd

Our standard acceptability

Acceptable

Criteria definition:

Indicates if CRL Management Ltd is an acceptable new build warranty to us on new build properties.

Our policy notes:

This is acceptable.

Last updated:

17 July 2017

New Build Warranty: Global Home Warranties

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if Global Home Warranties is an acceptable new build warranty to us on new build properties.

Our policy notes:

This is not acceptable.

Last updated:

17 July 2017

New Build Warranty: ICW

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept ICW as an acceptable new build warranty

Our policy notes:

Family Building Society does not accept ICW as an acceptable new build warranty

Last updated:

16 September 2020

New Build Warranty: LABC

Our standard acceptability

Acceptable

Criteria definition:

Indicates if LABC is an acceptable new build warranty to us on new build properties.

Our policy notes:

This is acceptable.

Last updated:

17 July 2017

New Build Warranty: NHBC Guarantee

Our standard acceptability

Acceptable

Criteria definition:

Indicates if NHBC Guarantee is an acceptable new build warranty to us on new build properties.

Our policy notes:

We will accept NHBC guarantees.

Last updated:

03 July 2017

New Build Warranty: Premier Guarantee Scheme

Our standard acceptability

Acceptable

Criteria definition:

Indicates if Premier Guarantee Scheme is an acceptable new build warranty to us on new build properties.

Our policy notes:

This is acceptable.

Last updated:

17 July 2017

New Build Warranty: Professional Consultants Certificate

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if Professional Consultants Certificate is an acceptable new build warranty to us on new build properties.

Our policy notes:

This is not acceptable.

Last updated:

17 July 2017

New Build Warranty: Protek

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if Protek is an acceptable new build warranty to us on new build properties.

Our policy notes:

This is not acceptable.

Last updated:

17 July 2017

New Build Warranty: Q Assure Build

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if Q Assure Build is an acceptable new build warranty to us on new build properties.

Our policy notes:

This is not acceptable.

Last updated:

17 July 2017

New Build Warranty: Zurich Municipal "New Build"

Our standard acceptability

Acceptable

Criteria definition:

Indicates if Zurich Municipal "New Build" is an acceptable new build warranty to us on new build properties.

Our policy notes:

This is acceptable.

Last updated:

17 July 2017

Non Simultaneous Sale and Purchase

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept a situation (on a residential basis) whereby an applicant is not selling their related sale property on the same day as the onward purchase. For example, this situation might arise when there is a deadline on a new build purchase and the sale is not quite ready to complete resulting in a non-simultaneous sale and purchase.

Our policy notes:

We can only accept these where the applicants have sufficient incomes to service any existing mortgage on their existing property. Any additional borrowing required to fund the deposit on the purchase must be referred.

Last updated:

03 July 2017

Number of credit reference agencies used

Our standard acceptability

1

Criteria definition:

Indicates the number of credit reference agencies we may use during the entire application process. 

Our policy notes:

We currently use Equifax only as our credit search facility.

Last updated:

20 April 2017

Offer expiry time (New Build)

Our standard acceptability

150

Criteria definition:

Displays the number of days a NEW BUILD mortgage offer is valid for.

Our policy notes:

Our offers are valid, as a standard, for five months for discounted products and to a specific date for fixed rates (see our product guide).

Last updated:

23 May 2017

Offer expiry time (Standard - Remortgages)

Our standard acceptability

174

Criteria definition:

Displays the number of days a standard REMORTGAGE mortgage offer is valid for in DAYS.

Our policy notes:

Family Building Society mortgage offers for standard remortgage cases are valid for a period of five months from the date of the application form.

Last updated:

07 November 2018

Offer expiry time (Standard)

Our standard acceptability

150

Criteria definition:

Displays the number of days a STANDARD mortgage offer is valid for.

Our policy notes:

Our offers are valid for five months, as a standard, for discounted products or to a specific date (see our product guide) for fixed rates.

Last updated:

23 May 2017

Offset Mortgages Available?

Our standard acceptability

Yes (subject to product availability)

Criteria definition:

Indicates if we offer residential offset mortgages (subject to product availability).

Our policy notes:

Family Building Society offers offset mortgages subject to product availability.

Last updated:

09 September 2019

Other Income: Bursary

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can accept Bursary as an acceptable source of income for affordability purposes.

Our policy notes:

We do not accept this as a source of income.

Last updated:

20 April 2017

Other Income: Foster Care Income

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept foster care income as an allowable income type for affordability purposes. For example, Mr & Mrs Jones receive £20,000 per year in foster care income and wish to apply for a mortgage based upon this income. 

Our policy notes:

Applicants whose main income is from fostering, and is therefore in essence the Applicant’s business, should be treated as self-employed. Their income must be assessed via their accounts or approved Tax Returns.

Last updated:

15 May 2017

Other Income: Income protection/Permanent Health Insurance

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept Income protection/Permanent Health Insurance as an income type.

Our policy notes:

Family Building Society can potentially accept Income protection/Permanent Health Insurance as an income type.

Last updated:

16 September 2020

Other Income: Lodger Income

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will potentially accept lodger income as an acceptable source of income for affordability purposes.

Our policy notes:

We do not accept this as a source of income.

Last updated:

20 April 2017

Other Income: Maintenance (not through the courts)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can accept maintenance that is by verbal agreement between the separating parties as an acceptable source of income for affordability purposes. Specifically, maintenance that is not via court order, CSA assessment or similar.

Our policy notes:

We do not accept this as a source of income.

Last updated:

20 April 2017

Other Income: Maintenance (through the courts)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Maintenance (through the courts) as an acceptable source of income for affordability purposes.

Our policy notes:

We would accept this source of income providing we can evidence the payments received in the applicant's bank statements plus sight of the court order and this isn't the main source of their income.

Last updated:

03 July 2019

Other Income: Stipend

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can accept stipend as an allowable income type for affordability purposes.

Our policy notes:

We do not accept this as a source of income.

Last updated:

20 April 2017

Overpayment facility as standard (percentage)

Our standard acceptability

10

Criteria definition:

Indicates the amount you can usually overpay (subject to product availability) without penalty.

Our policy notes:

Borrowers can overpay up to 10% without penalty.

Last updated:

23 May 2017

Partner in a professional LLP: Affordability Assessment

Our standard acceptability

Accounts / SA302

Criteria definition:

Indicates how a partner, in a professional Limited Liability Partnerships income, will be assessed.

Our policy notes:

Family Building Society will assess partners in professional partnership LLPS the same as we assess Self-Employed applicants when assessing income.

Last updated:

06 November 2018

Partner in a professional LLP: Minimum Length of Time Requirement (Months)

Our standard acceptability

24

Criteria definition:

Indicates the minimum length of time (IN MONTHS) a person must have been in the Limited Liability Partnership (LLP) for their income to be considered by us.

Our policy notes:

Family Building Society has a minimum length of time in the partnership of 24 months.

Our outside policy allowances:

It is possible that we would consider a far shorter period than two years where a partner has bought into an existing professional partnership (such as doctors, dentists, solicitors, accountants etc).

Last updated:

06 November 2018

Pension Income: Annuity

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept an annuity as an acceptable source of income for affordability purposes.

Our policy notes:

We will accept income from annuities as long as they are for life.

Last updated:

03 July 2017

Pension Income: Pension - War Disablement

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Pension - War Disablement as an acceptable source of income for affordability purposes.

Our policy notes:

This is acceptable.

Last updated:

17 July 2017

Pension Income: Pension - War Widower

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Pension - War Widower as an acceptable source of income for affordability purposes.

Our policy notes:

This is acceptable.

Last updated:

17 July 2017

Pension Income: Pension (Company)

Our standard acceptability

Acceptable

Criteria definition:

Displays if we will accept Company Pension as an acceptable source of income for affordability purposes.

Our policy notes:

Family Building Society can potentially consider Company Pension as an acceptable source of income for affordability purposes.

Last updated:

16 September 2020

Pension Income: Pension Credit

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can accept Pension Credit as an acceptable source of income for affordability purposes.

Our policy notes:

We do not accept benefits as a source of income.

Last updated:

17 July 2017

Pension Income: Private Pension

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Private Pension as an acceptable source of income for affordability purposes.

Our policy notes:

We will accept income from a private pension.

Last updated:

03 July 2017

Pension Income: Self Administered Drawdown Pension

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can consider income from a self-administered drawdown pension.

Our policy notes:

Family Building Society can potentially consider self administered drawdown pension income.

The Society's usual stance is to take the SIPP/SASS fund and divide it by the term of the mortgage.

Last updated:

06 November 2018

Pension Income: State Pension

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept State Pension as an acceptable source of income for affordability purposes.

Our policy notes:

We accept 100% of this source of income.

Last updated:

20 April 2017

Politically exposed persons

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept residential applications from an applicant that is considered a politically exposed person.

Our policy notes:

Family Building Society can potentially consider an applicant that is classed as a politically exposed person.

Last updated:

07 November 2019

Portable mortgages as standard

Our standard acceptability

Yes

Criteria definition:

Indicates if our mortgages are usually portable as standard.

Our policy notes:

Our products are portable.

Last updated:

23 May 2017

Power of Attorneys

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates we can potentially accept residential applications from an applicant that is acting with Power of Attorney.

Our policy notes:

Family Building Society will not consider an applicant from someone acting as a power of attorney.

Last updated:

09 September 2019

Previously Repossessed (years ago acceptable)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can accept applicants that have previously had a property repossessed and if so how many years ago we require the repossession to have taken place.

Our policy notes:

Unfortunately, we are unable to lend to any borrower who has been previously repossessed.

Last updated:

23 October 2017

Professional gambler

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider an application from a professional gambler on residential applications

Our policy notes:

Family Building Society will not consider an application from a professional gambler

Last updated:

11 September 2020

Professional Landlord (Rent is primary source of income)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept professional landlords where their primary income source is from the rent from their portfolio. For example, Jess wants to obtain a mortgage and her only source of income (or her main source of income) is derived from the rent she receives from her portfolio of rental properties.

Our policy notes:

Family Building Society can potentially accept professional landlords who wish to use rental income as their primary income source

Last updated:

23 October 2017

Properties with Asbestos

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on a property where there is evidence of asbestos present.

Our policy notes:

Family Building Society does NOT lend on properties where Asbestos is identified.

Last updated:

23 October 2017

Property being purchased at auction

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider an application where the property will be purchased at auction

Our policy notes:

Family Building Society can consider an application where the property will be purchased at auction

Last updated:

16 September 2020

Property Construction: 100% Timber Construction

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are able to potentially accept 100% timber construction properties - this is NOT the same as timber-framed.

Our policy notes:

These are not acceptable.

Last updated:

17 July 2017

Property Construction: BOPAS accreditation required for non-standard construction

Our standard acceptability

No

Criteria definition:

Indicates if BOPAS accreditation is required for non-standard construction where the non-standard construction type is acceptable to us

Our policy notes:

Family Building Society does not require BOPAS accreditation for non-standard construction where the construction type is acceptable to us

Last updated:

16 September 2020

Property Construction: British Iron and Steel Federation (BISF)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider properties where the construction type is British Iron and Steel Federation (BISF)

Our policy notes:

Family Building Society will not lend on properties where the construction type is British Iron and Steel Federation (BISF)

Last updated:

11 September 2020

Property Construction: Concrete construction

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we are able to potentially accept concrete construction properties.

Our policy notes:

Prefabricated or large panel concrete construction (LPS) are not acceptable. Pre-fabricated reinforced concrete construction (PRC) May be considered if the property has been repaired by PRC Homes with a brick external skin and has the benefit of a 60 year guarantee, and the Valuer confirms property is readily saleable. NB. If the property is either semi-detached or terraced, all properties in the row must have been repaired. Concrete block construction designated Mundic are not acceptable.

Last updated:

17 July 2017

Property Construction: Converted church

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider an application on a converted church

Our policy notes:

Family Building Society can potentially consider an application on a converted church

Last updated:

16 September 2020

Property Construction: Dutch barns

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider Dutch Barn properties

Our policy notes:

Family Building Society can potentially lend on a Dutch Barn property

Last updated:

16 September 2020

Property Construction: Easiform

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we are able to potentially accept Easiform construction properties.

Our policy notes:

Laing Easi-Form construction (providing in good condition) is acceptable.

Last updated:

17 July 2017

Property Construction: EWS1 required on properties with combustible cladding or materials on balconies?

Our standard acceptability

Property Type not acceptable

Criteria definition:

Indicates if we require an EWS1 certificate for properties with combustible cladding or materials on balconies

Our policy notes:

Family Building Society will not lend on properties with combustible cladding or materials on balconies.

Last updated:

16 September 2020

Property Construction: Flying Freehold

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept properties where there exists a flying freehold.

Our policy notes:

Flying freeholds are acceptable providing they don't exceed more than 20% of the floor area and the valuer confirming that the presence of the flying freehold will not adversely affect saleability, and the Solicitor confirming that the Title Deeds contain adequate rights of shelter and support plus arrangements for maintenance and repair.

Last updated:

17 July 2017

Property Construction: Insulating concrete form (ICF)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider properties where the construction type is Insulating concrete form (ICF)

Our policy notes:

Family Building Society will not lend on properties where the construction type is Insulating concrete form (ICF)

Last updated:

16 September 2020

Property Construction: Majority Flat Roof

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are potentially able to accept applications on properties that have majority flat roof. We classify 'majority' as anything over 50%.

Our policy notes:

These are not acceptable.

Last updated:

17 July 2017

Property Construction: Modern method of construction (MMC)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept applications on properties where the construction type is Modern method of construction (MMC).

Our policy notes:

Not normally accepted but considered on a case by case basis. These need to be referred to an underwriter to be assessed on a case by case basis.

Our outside policy allowances:

Please refer cases of good loan to value for consideration as an exception.

Last updated:

03 October 2017

Property Construction: Modular and POD Construction

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider lending on a property where the construction type is 'Modular' or 'POD'.

Our policy notes:

Family Building Society does not lend on properties where the construction type is modular and POD construction.

Last updated:

10 May 2018

Property Construction: Mundic block

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept applications on properties where the construction type is Mundic block.

Our policy notes:

Our general stance is we won't lend on properties where the construction, or part of the construction, is from Mundic block.

Our outside policy allowances:

Please refer for individual consideration with the address of the property and any existing reports that may assist the underwriter in making a decision.

Last updated:

20 April 2017

Property Construction: No-Fines

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept applications on properties where the construction type is No-Fines.

Our policy notes:

Wimpey No Fines construction (providing in good condition) is acceptable.

Last updated:

17 July 2017

Property Construction: Non repaired prefabricated reinforced concrete

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept NON repaired prefabricated reinforced concrete as suitable security for lending purposes.

Our policy notes:

These are not acceptable.

Last updated:

17 July 2017

Property Construction: Off site manufactured (MMC)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider properties where the construction type is Off site manufactured (MMC)

Our policy notes:

Family Building Society will not lend on properties where the construction type is Off site manufactured (MMC)

Last updated:

16 September 2020

Property Construction: Potton Homes

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider Potton Home properties

Our policy notes:

Family Building Society can potentially lend on a Potton Home property subject to the necessary builder's guarantees.

Last updated:

11 September 2020

Property Construction: Repaired prefabricated reinforced concrete

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept repaired prefabricated reinforced concrete as suitable security for lending purposes.

Our policy notes:

Pre-fabricated reinforced concrete construction (PRC) May be considered if the property has been repaired by PRC Homes with a brick external skin and has the benefit of a 60 year guarantee, and the Valuer confirms property is readily saleable. NB. If the property is either semi-detached or terraced, all properties in the row must have been repaired.

Last updated:

17 July 2017

Property Construction: Single skin

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider single skin properties

Our policy notes:

Family Building Society will not lend on single skin properties

Last updated:

11 September 2020

Property Construction: Steel framed

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept steel framed properties as suitable lending security.

Our policy notes:

These are not acceptable.

Last updated:

17 July 2017

Property Construction: Structural Insulated Panel Solutions (SIPs)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider properties where the construction type is Structural Insulated Panel Solutions (SIPs)

Our policy notes:

Family Building Society will not lend on properties where the construction type is Structural Insulated Panel Solutions (SIPs)

Last updated:

11 September 2020

Property Construction: Thatched roof

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept properties that have any element of a thatched roof.

Our policy notes:

These are acceptable.

Last updated:

17 July 2017

Property Construction: Timber framed

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept timber framed properties.

Our policy notes:

These are acceptable.

Last updated:

17 July 2017

Property Construction: Timber framed (1900 to 1970)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on a property that is of Timber-Framed construction built between 1900 to 1970 for residential applications.

Our policy notes:

Family Building Society will not lend on properties that are a timber frame construction dating between 1900 to 1970.

Our outside policy allowances:

Usually not acceptable but can be referred and will be subject to valuer's comments.

Last updated:

09 September 2019

Property Construction: Timber framed (Post 1970)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on a property that is of Timber-Framed construction built after 1970 for residential applications.

Our policy notes:

Family Building Society can potentially consider lending on properties that are a timber frame construction dated post 1970.

Last updated:

09 September 2019

Property Construction: Timber framed (Pre 1900)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on a property that is of Timber-Framed construction built prior to 1900 for residential applications.

Our policy notes:

Family Building Society can potentially consider lending on properties that are a timber frame construction dating pre 1900.

Last updated:

09 September 2019

Property Construction: Tower Block with Cladding

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider lending on a property in a tower block with cladding

Our policy notes:

Family Building Society will not lend on a tower block of flats that have cladding. Tower blocks are defined as blocks of flats over five stories.

Last updated:

16 September 2020

Property Construction: Wholly Timbered

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider wholly timbered property

Our policy notes:

Family Building Society will not lend on a wholly timbered property

Last updated:

16 September 2020

Property Construction: Woolaway

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider a woolaway property

Our policy notes:

Family Building Society will not lend on a woolaway property

Our outside policy allowances:

These are declared defective under the Defective Housing Act and the Society can only consider those that have been adapted and have a PRC certificate.

Last updated:

11 September 2020

Property Factors: Contaminated Land

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on properties that are on contaminated land.

Our policy notes:

Family Building Society will not consider properties that are situated on contaminated land.

Last updated:

06 November 2018

Property Factors: Mine Shafts

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on a property that is close to a mine shaft for residential applications.

Our policy notes:

Family Building Society can potentially consider lending on properties that are close to a mine shaft.

Last updated:

25 September 2019

Property Factors: Next to Commercial (Class A1 – shops and retail outlets)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on a property where it borders Class A1 commercial premises. Class A1 businesses are shops and retail.

Our policy notes:

Family Building Society can potentially lend on properties that border class A1 commercial premises.

Last updated:

07 November 2018

Property Factors: Next to Commercial (Class A2 – professional services)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on a property where it borders Class A2 commercial premises. Class A2 businesses are professional services.

Our policy notes:

Family Building Society can potentially lend on properties that border class A2 commercial premises.

Last updated:

07 November 2018

Property Factors: Next to Commercial (Class A3 – food and drink)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on a property where it borders Class A3 commercial premises. Class A3 businesses are for food and drink.

Our policy notes:

Family Building Society will not lend on properties that border class A3 commercial premises.

Last updated:

07 November 2018

Property Factors: Next to Commercial (Class A4 – drinking establishments)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on a property where it borders Class A4 commercial premises. Class A4 businesses are drinking establishments.

Our policy notes:

Family Building Society will not lend on properties that border class A4 commercial premises.

Last updated:

07 November 2018

Property Factors: Next to Commercial (Class A5 – hot food and takeaway)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on a property where it borders Class A5 commercial premises. Class A5 businesses are hot food and takeaway.

Our policy notes:

Family Building Society will not lend on properties that border class A5 commercial premises.

Last updated:

07 November 2018

Property Factors: Next to Commercial (Class B)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on a property where it borders Class B commercial premises. Class B businesses are considered further business and industrial activities.

Our policy notes:

Family Building Society can potentially lend on properties that border class B commercial premises.

Last updated:

07 November 2018

Property Factors: Next to Commercial (Class C)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on a property where it borders Class C commercial premises. Class C businesses are considered hotels, hostels and dwelling houses.

Our policy notes:

Family Building Society will not lend on properties that border class C commercial premises.

Last updated:

07 November 2018

Property Factors: Next to Commercial (Class D)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on a property where it borders Class D commercial premises. Class D businesses are considered non-residential institutions. Examples are museums, day nurseries, libraries.

Our policy notes:

Family Building Society can potentially lend on properties that border class D commercial premises.

Last updated:

07 November 2018

Property Factors: Next to Commercial (Sui Generis)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on a property where it borders 'Sui Generis' commercial premises. Certain uses do not fall within any use class and are considered 'sui generis' (Lit. Unique / of its own kind). Such uses include: theatres, houses in multiple occupation, hostels providing no significant element of care, scrap yards. Petrol filling stations and shops selling and/or displaying motor vehicles. Retail warehouse clubs, nightclubs, launderettes, taxi businesses, amusement centres and casinos.

Our policy notes:

Family Building Society will not lend on properties that border class 'Sui Generis' commercial premises.

Last updated:

07 November 2018

Property Factors: Overhead Power Lines

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on properties that have overhead power lines running above them.

Our policy notes:

Family Building Society will not lend on properties that have overhead power lines running above them.

Last updated:

06 November 2018

Property Factors: Part Renovated (Is Habitable)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on properties that are 'part renovated' but are in fact considered habitable by a surveyor.

Our policy notes:

Family Building Society can potentially lend on properties that have been part renovated that are likely to be considered habitable by a surveyor. Subject to valuers comments.

Last updated:

07 November 2018

Property Factors: Part Renovated (Not Habitable)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on properties that are 'part renovated' and considered non-habitable by a surveyor.

Our policy notes:

Family Building Society will not lend on properties that have been part renovated that are likely to be considered NOT habitable by a surveyor.

Last updated:

07 November 2018

Property Factors: Underpinned within last 10 years

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on properties that have been underpinned in the last 10 years.

Our policy notes:

Family Building Society can potentially lend on properties that have been underpinned in the last 10 years.

Last updated:

07 November 2018

Property has self contained annex

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept applications on properties that contain a self-contained annex within the grounds of the property.

Our policy notes:

Properties with annexes are outside of policy.

Our outside policy allowances:

Properties with annexes can be considered but these will need to be referred to an underwriter prior to submission of an application.

Last updated:

20 April 2017

Property Issues: Overage Clause

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider a property with an Overage Clause

Our policy notes:

Family Building Society can potentially consider a property with an Overage Clause

Last updated:

11 September 2020

Property Ownership: Possessory Title

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on residential applications for properties that only have possessory title.

Our policy notes:

Family Building Society can potentially consider lending on properties that are subject to a possessory title.

Last updated:

07 November 2019

Property Ownership: Shared access or shared services

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider a property with shared access or shared services

Our policy notes:

Family Building Society can potentially consider a property with shared access or shared services

Last updated:

16 September 2020

Property Ownership: Splitting of a title deed on completion

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider an application where the splitting of a title deed will take place on completion

Our policy notes:

Family Building Society can potentially consider an application where the splitting of a title deed will take place on completion

Last updated:

11 September 2020

Property Ownership: Tenancy in Common with Unequal Shares

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on residential applications on properties where the joint ownership is set up on a tenants in common basis where each owner has an unequal share. For example, Applicant 'A' owns 70% of the property and Applicant 'B' owns 30%.

Our policy notes:

Family Building Society will consider joint applications where the property ownership will be as tenancy in common with unequal shares.

Last updated:

07 November 2019

Property Ownership: Trust

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on residential applications for properties that are owned by a trust.

Our policy notes:

Family Building Society will not lend on properties that are owned by a trust.

Last updated:

09 September 2019

Property Type Studio Flat Minimum Floor Area (Sq Metres)

Our standard acceptability

We do not lend on studio flats

Criteria definition:

Indicates the area in square metres required when lending on studio flats.

Our policy notes:

Unfortunately, we do not lend on studio flats.

Last updated:

17 July 2017

Property Type: Basement flat

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on a basement flat

Our policy notes:

Family Building Society can potentially lend on a basement flat

Last updated:

16 September 2020

Property Type: Coach house

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider a coach house property

Our policy notes:

Family Building Society can potentially lend on coach houses

Last updated:

11 September 2020

Property Type: Commonhold Properties

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on commonhold properties.

Our policy notes:

Family Building Society can potentially lend on commonhold properties.

Last updated:

10 May 2018

Property Type: Ex local auth flat/maisonette

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are potentially able to lend on ex-local authority flats/maisonettes.

Our policy notes:

We would not lend on this property type.

Last updated:

03 July 2017

Property Type: Ex local authority house/bungalow

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we are potentially able to lend on ex-local authority houses/bungalows.

Our policy notes:

These are acceptable.

Last updated:

17 July 2017

Property Type: Farmhouse (where farmhouse and land are contiguous)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are potentially able to lend on farmhouses where the farmhouse and land are contiguous.

Our policy notes:

These are not acceptable.

Last updated:

17 July 2017

Property Type: Flat above commercial food outlet

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are able to potentially accept flats above a commercial food outlet.

Our policy notes:

We would not accept this sort of property.

Last updated:

03 July 2017

Property Type: Flat above commercial offices

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept flats that are above commercial offices.

Our policy notes:

Prestige locations only. Properties should have separate title and access. Valuer to confirm the property is readily saleable.

Last updated:

03 July 2017

Property Type: Flat above commercial pub

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept flats that are above a pub.

Our policy notes:

We would not consider this type of property.

Last updated:

03 July 2017

Property Type: Flat above shop (not food outlet)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we are able to potentially accept flats above a shop that is NOT a food outlet.

Our policy notes:

Family Building Society can potentially lend on flats/apartments that are above a shop that is not a food outlet.

Last updated:

07 November 2018

Property Type: Freehold flats and maisonettes

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept a flat or maisonette where the tenure is freehold.

Our policy notes:

Freehold flats/maisonettes are not acceptable.

Last updated:

20 April 2017

Property Type: Grade 1 Listed Building

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider lending on property classified as a Grade 1 Listed Building. Categories of listed buildings in England & Wales: Grade I: buildings of exceptional interest. Grade II*: particularly important buildings of more than special interest. Grade II: buildings that are of special interest, warranting every effort to preserve them.

Our policy notes:

Family Building Society does not lend on properties that are classified as a Grade 1 Listed Building.

Last updated:

10 May 2018

Property Type: Grade 2 Listed Building

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider lending on property classified as a Grade 2 Listed Building. Categories of listed buildings in England & Wales: Grade I: buildings of exceptional interest. Grade II*: particularly important buildings of more than special interest. Grade II: buildings that are of special interest, warranting every effort to preserve them.

Our policy notes:

Family Building Society can potentially lend on properties that are classified as a Grade 2 Listed Building.

Last updated:

10 May 2018

Property Type: Grade 2* Listed Building

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider lending on property classified as a Grade 2* Listed Building. Categories of listed buildings in England & Wales: Grade I: buildings of exceptional interest. Grade II*: particularly important buildings of more than special interest. Grade II: buildings that are of special interest, warranting every effort to preserve them.

Our policy notes:

Family Building Society can potentially lend on properties that are classified as a Grade 2* Listed Building.

Last updated:

10 May 2018

Property Type: Mobile homes and houseboats

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are potentially able to lend on mobile homes and houseboats.

Our policy notes:

We do not lend on houseboats or mobile homes.

Last updated:

20 April 2017

Property Type: Studio flat

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on studio flats.

Our policy notes:

Studio flats are not normally acceptable.

Last updated:

20 April 2017

Property Usage: Acceptable commercial limit

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates the limit we can potentially accept where the property usage has an element of commercial use.

Our policy notes:

These are not acceptable.

Last updated:

17 July 2017

Property Usage: Agricultural restrictions

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept properties that have agricultural restrictions.

Our policy notes:

We would not lend on a property with an agricultural restriction.

Last updated:

17 July 2017

Property Usage: Bed and Breakfast (B&B)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on residential applications for properties that are part used as a B&B (Bed and Breakfast).

Our policy notes:

Family Building Society will not lend on residential properties that will continue to be used as a B&B.

Last updated:

09 September 2019

Property Usage: Empty Property (Unoccupied)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially lend on residential applications for properties that will be empty/unoccupied following completion.

Our policy notes:

Family Building Society will not lend on properties that will remain unoccupied after completion.

Last updated:

07 November 2019

Property Usage: Holiday/Second Home

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept applications on properties that are to be used as a second or holiday home.

Our policy notes:

We will lend on a second home or holiday home with occasional holiday letting to a maximum of 70% LTV.

Last updated:

20 February 2020

Property Usage: Holiday/Second Home maximum LTV

Our standard acceptability

70

Criteria definition:

If we lend on holiday/second homes, specifies what is the maximum loan to value we can lend when the property usage is second or holiday home.

Our policy notes:

We will lend on second homes or holiday homes.

Last updated:

03 July 2017

Property Usage: Home for dependant

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept applications on properties that are classed as a home for a dependant.

Our policy notes:

These are acceptable on normal terms.

Last updated:

11 July 2017

Property Usage: Home for dependant maximum LTV

Our standard acceptability

80

Criteria definition:

If we lend on homes for dependants, indicates the maximum loan to value (LTV) we can consider.

Our policy notes:

These are acceptable up to 80% LTV which is our normal maximum.

Last updated:

11 July 2017

Property Usage: Live/Work units

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept applications on properties defined as Live/Work units.

Our policy notes:

This type of property is not acceptable.

Last updated:

03 July 2017

Property Usage: Mixed Use Residential / Commercial

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are able to potentially lend on properties that are classified as mixed use for both residential occupation and commercial use.

Our policy notes:

Family Building Society will not lend on properties that have mixed use commercial/residential.

Last updated:

07 November 2018

Property with acreage

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are potentially able to accept properties that have a significant amount of land (properties that have acreage).

Our policy notes:

These are not acceptable unless the land is separated from the main house' title. Valuations are assessed on the house and immediate gardens.

Last updated:

17 July 2017

Property with Age Restrictions / Retirement Properties

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are able to potentially accept applications from applicants who are looking to purchase a property that has an age restriction. For example, Mr Jones is looking to purchase a retirement apartment that can only be occupied by people who are at least 55 years of age.

Our policy notes:

Properties with restrictive covenants of this type are not acceptable.

Last updated:

11 July 2017

Property with Annex where Annex will be Let

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider lending against a property that has an Annex and the Annex will be Let.

Our policy notes:

We do not accept properties where an annexe is let.

Last updated:

11 July 2017

Property with deck access

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept properties that have deck access.

Our policy notes:

We do not accept this property type.

Last updated:

03 July 2017

Property with more than one kitchen

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are able to potentially accept an application where the security property has more than one kitchen. This is not the same as a property split into two or more units or a House of Multiple Occupation (HMO).

Our policy notes:

Properties with more than one kitchen are not normally acceptable.

Our outside policy allowances:

Consideration can be given where a property has a 'granny' annexe. These must be referred prior to submission on an application. Please provide the property address and any sales particulars (where applicable) for an underwriter to give consideration.

Last updated:

20 April 2017

Property with Restrictive Covenant Section 106

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are able to potentially accept applications on properties that are subject to a Section 106 restrictive covenant.

Our policy notes:

Unfortunately, the Society does not lend on properties with a restrictive covenant.

Last updated:

31 August 2017

Remortgage purpose: Balance Swap (maximum LTV)

Our standard acceptability

80

Criteria definition:

Indicates the maximum loan to value (LTV) we can accept where the remortgage purpose is a simple balance swap (no additional monies being raised).

Our policy notes:

We can consider up to 80% LTV for remortgages.

Last updated:

03 July 2017

Remortgage purpose: Buy out (maximum LTV)

Our standard acceptability

60

Criteria definition:

Indicates the maximum loan to value (LTV) we can accept where the remortgage purpose is to raise funds to buy out a partner or other borrower.

Our policy notes:

As a result of the covid-19 outbreak the Society can only accept remortgages to buy out an existing partner up to 60% LTV

Last updated:

01 May 2020

Remortgage purpose: Buy to Let Purchase (maximum LTV)

Our standard acceptability

80

Criteria definition:

Indicates the maximum loan to value (LTV) we will accept when the reason for capital raising is to raise funds to fund or part-fund a buy to let purchase.

Our policy notes:

We will permit lending up to 80% LTV for a remortgage to purchase a buy to let.

Last updated:

03 July 2017

Remortgage Purpose: Buy to Let to Residential

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially allow a residential remortgage application for owner occupation where the existing mortgage is on a Buy to Let basis.

Our policy notes:

Family Building Society can potentially consider remortgage residential applications for owner occupation on properties where the existing mortgage is a Buy to Let.

Last updated:

07 November 2018

Remortgage purpose: Capital raise for BTL where property not yet found

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider remortgage applications with capital raising for a BTL property where the property has not yet been found. Essentially they want to put themselves in the position of a cash buyer with the funds accessible ready for when they find their property.

Our policy notes:

Family Building Society can consider remortgage applications with capital raising for a BTL property where a property is not yet found

Last updated:

11 September 2020

Remortgage purpose: Debt Consolidation (maximum LTV)

Our standard acceptability

80

Criteria definition:

Indicates the maximum loan to value (LTV) we will accept where there is an element of debt consolidation on a remortgage application. For example, Trevor owns a property that is worth £200,000 and has a current outstanding balance of £140,000. He would like to consolidate an unsecured loan which has an outstanding balance of £10,000 and therefore needs a total loan of £150,000 giving him a LTV of 75%. 

Our policy notes:

We will consider remortgages for debt consolidation up to 80% LTV providing the amount being raised does not exceed 49% of the total mortgage advance and 20% of the property value. In addition we will not normally permit more than five items of credit to be consolidated.

Last updated:

03 July 2017

Remortgage purpose: Extending a lease

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider capital raising on a remortgage where the purpose of the funds is extending a lease

Our policy notes:

Family Building Society can potentially consider capital raising on a remortgage where the purpose of the funds is extending a lease

Last updated:

11 September 2020

Remortgage Purpose: For Business Purposes

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider lending when the reason for capital raising is considered for 'Business Related Purposes'.

Our policy notes:

Family Building Society can potentially allow capital raising on a remortgage where the purpose of the funds is for business purposes.

Last updated:

10 May 2018

Remortgage purpose: Gift Money (Maximum LTV)

Our standard acceptability

80

Criteria definition:

Indicates if we are able, and if so to what loan to value, accept remortgages where the purpose is to raise money to make a gift (for example to children to help with school fees etc or where parent(s) might want to help their children buy their first home).

Our policy notes:

We will permit capital raising to gift funds to a close family member to assist with a property purchase to 80%. We will require a certificate of understanding to be signed after offer and before completion.

Last updated:

03 July 2017

Remortgage purpose: Home Improvements (maximum LTV)

Our standard acceptability

80

Criteria definition:

Indicates if we are able to and if so to what loan to value, accept remortgages where the purpose is to raise money for home improvements.

Our policy notes:

We will accept remortgages to raise funds for home improvements up to 80%.

Last updated:

03 July 2017

Remortgage Purpose: Home Improvements (other property)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we will allow capital raising for the purpose of home improvements on a property which is NOT the security property on residential applications.

Our policy notes:

Family Building Society can consider remortgage applications with capital raising to carry home improvements on a property other than the security property.

Last updated:

25 September 2019

Remortgage purpose: Land Purchase (maximum LTV)

Our standard acceptability

80

Criteria definition:

Indicates if we will allow capital raising for the purpose to purchase land and if so up to what loan to value for residential applications.

Our policy notes:

Family Building Society can consider remortgage applications with capital raising for 'Land Purchase' up to a maximum LTV of 80%.

Last updated:

26 November 2019

Remortgage purpose: Lifestyle (holidays, car's, non essential spending etc)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider capital raising on a remortgage where the purpose of the funds is lifestyle (holidays, car's, non essential spending etc)

Our policy notes:

Family Building Society will not consider capital raising on a remortgage where the purpose of the funds is lifestyle (holidays, car's, non essential spending etc)

Last updated:

11 September 2020

Remortgage purpose: Medical expenses

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider capital raising on a remortgage where the purpose of the funds is medical expenses

Our policy notes:

Family Building Society will not consider capital raising on a remortgage where the purpose of the funds is medical expenses

Last updated:

11 September 2020

Remortgage Purpose: Pay Tax Bill

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider lending when the reason for capital raising is to raise funds to pay a tax bill.

Our policy notes:

Family Building Society does not allow capital raising on a remortgage where the purpose of the funds is for payment of a tax bill.

Last updated:

10 May 2018

Remortgage purpose: Personal investments (not property related)

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider capital raising on a remortgage where the purpose of the funds is personal investments

Our policy notes:

Family Building Society will not consider capital raising on a remortgage where the purpose of the funds is personal investments

Last updated:

11 September 2020

Remortgage Purpose: Purchase Commercial Property

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we will allow capital raising for the purpose of purchasing commercial property on residential applications.

Our policy notes:

Family Building Society can consider remortgage applications with capital raising to purchase a commercial property.

Last updated:

07 November 2019

Remortgage Purpose: Purchase Overseas Property

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we will allow capital raising for the purpose of purchasing overseas property on residential applications.

Our policy notes:

Family Building Society can consider remortgage applications with capital raising to purchase a property overseas.

Last updated:

07 November 2019

Remortgage Purpose: Repay Help to Buy

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we will allow capital raising for the purpose of repaying (IN FULL) their Help to Buy Equity Loan to take their ownership to 100% on residential applications.

Our policy notes:

Family Building Society can consider remortgage applications with capital raising to repay a Help to Buy equity loan in full.

Last updated:

07 November 2019

Remortgage purpose: School/Education fees

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider capital raising on a remortgage where the purpose of the funds is education or school fees

Our policy notes:

Family Building Society can potentially consider capital raising on a remortgage where the purpose of the funds is education or school fees

Last updated:

11 September 2020

Remortgage Purpose: Shared Ownership Staircasing to 100% ownership (maximum LTV)

Our standard acceptability

80

Criteria definition:

Indicates if we will allow capital raising for the purpose of staircasing to 100% ownership on residential applications that are currently a shared ownership property.

Our policy notes:

Family Building Society can consider remortgage applications with capital raising to staircase to 100% ownership up to a maximum LTV of 80%.

Last updated:

07 November 2019

Remortgage waiting period

Our standard acceptability

6

Criteria definition:

Indicates the number of months we state a person must have owned a property before it can be considered for a remortgage application. For example, John purchased a property at auction 3 months ago and now wishes to remortgage the property to raise some funds. 

Our policy notes:

We will consider remortgages after 6 month's ownership.

Last updated:

03 July 2017

Restricted Sale Price

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially offer a residential mortgage on a property that has a 'Restricted Sale Price' clause.

Our policy notes:

Family Building Society will not consider applications on properties that have a restricted sale price clause.

Last updated:

25 September 2019

Retentions (Minor retentions potentially ignored)

Our standard acceptability

Yes

Criteria definition:

Indicates if we will ignore valuers small suggested retentions below a certain figure. For example, a lender might ignore any suggestions that are for £2,000 or less.

Our policy notes:

Family Building Society can potentially ignore small suggested retentions. Please call to discuss further.

Last updated:

07 November 2018

Retirement Interest Only (RIO) Enhanced Terms Where Lasting Power of Attorney (LPA) Exists?

Our standard acceptability

No

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so if we can offer enhanced terms (better interest rate, etc) if a 'Lasting Power of Attorney' is in place before completion of the proposed mortgage.

Our policy notes:

Society will not accept a Lasting Power of Attorney.

Last updated:

03 March 2020

Retirement Interest Only (RIO) Joint Applicants First Death Affordability Assessment: Benefit Income

Our standard acceptability

Not Acceptable

Criteria definition:

Where a joint application is taken lenders will assess the future means of affordability of the surviving borrower following the death of another applicant. This criteria indicates if we offer RIO mortgages and if so, can consider benefit income when assessing their ability to maintain the ongoing mortgage. 

Our policy notes:

The Society will not take into account income from benefits.

Last updated:

03 March 2020

Retirement Interest Only (RIO) Joint Applicants First Death Affordability Assessment: Family Assistance

Our standard acceptability

Not Acceptable

Criteria definition:

Where a joint application is taken lenders will assess the future means of affordability of the surviving borrower following the death of another applicant. This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so can we consider family assistance when assessing their ability to maintain the ongoing mortgage.

Our policy notes:

The Society will not accept income from family assistance.

Last updated:

03 March 2020

Retirement Interest Only (RIO) Joint Applicants First Death Affordability Assessment: Investment Income

Our standard acceptability

Not Acceptable

Criteria definition:

Where a joint application is taken lenders will assess the future means of affordability of the surviving borrower following the death of another applicant. This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so can we consider investment income when assessing their ability to maintain the ongoing mortgage.

Our policy notes:

The Society will not accept non-guaranteed investment income.

Last updated:

03 March 2020

Retirement Interest Only (RIO) Joint Applicants First Death Affordability Assessment: Life Cover

Our standard acceptability

Will be considered

Criteria definition:

Where a joint application is taken lenders will assess the future means of affordability of the surviving borrower following the death of another applicant. This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so can we consider life cover when assessing their ability to maintain the ongoing mortgage.

Our policy notes:

The Society will accept whole of life cover when assessing the affordability of the surviving partner.

Last updated:

03 March 2020

Retirement Interest Only (RIO) Joint Applicants First Death Affordability Assessment: Other Non Provable Income

Our standard acceptability

Not Acceptable

Criteria definition:

Where a joint application is taken lenders will assess the future means of affordability of the surviving borrower following the death of another applicant. This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so can we consider other non-provable income when assessing applicants ability to maintain the ongoing mortgage.

Our policy notes:

The Society will not accept non-provable income.

Last updated:

03 March 2020

Retirement Interest Only (RIO) Joint Applicants First Death Affordability Assessment: Rental Income

Our standard acceptability

Not Acceptable

Criteria definition:

Where a joint application is taken lenders will assess the future means of affordability of the surviving borrower following the death of another applicant. This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so can we consider rental income when assessing an applicants ability to maintain the ongoing mortgage.

Our policy notes:

The Society will not accept income from rental income.

Last updated:

03 March 2020

Retirement Interest Only (RIO) Joint Applicants First Death Affordability Assessment: Survivors Pension

Our standard acceptability

Will be considered

Criteria definition:

Where a joint application is taken lenders will assess the future means of affordability of the surviving borrower following the death of another applicant. This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so can we consider the survivor's pension when assessing their ability to maintain the ongoing mortgage.

Our policy notes:

The Society can accept a survivor's pension when assessing affordability of the surviving partner.

Last updated:

03 March 2020

Retirement Interest Only (RIO) Lasting Power of Attorney (LPA) Required?

Our standard acceptability

No

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so is it a requirement of Retirement Interest Only (RIO) mortgages that a 'Lasting Power of Attorney' is in place.

Our policy notes:

The Society does not insist on a Lasting Power of Attorney being in place

Last updated:

03 March 2020

Retirement Interest Only (RIO) Offered?

Our standard acceptability

Yes

Criteria definition:

Indicates if we offer 'Retirement Interest Only' mortgages. RIO mortgages are specifically mortgages that can be taken on an interest-only basis with an open-ended mortgage term where the repayment vehicle is typically sale of property on the occurrence of one or more of the specified life events such as the death of either or both borrowers.

Our policy notes:

Family Building Society offers Retirement Interest Only (RIO) mortgages.

Last updated:

03 March 2020

Retirement Interest Only (RIO): Can Consider Non-Guaranteed Potential Future Affordability

Our standard acceptability

No

Criteria definition:

Often times applicants may be in paid employment at the time of application without a guaranteed conventional pension in place for their retirement. They could, however, have other planned methods of generating themselves an income into retirement such as purchasing an annuity with savings or receiving rental income. Whilst this criteria is not specific to those two examples it indicates if we offer Retirement Interest Only (RIO) mortgages and if so if
are we willing to consider other types of non guaranteed future projected income?

Our policy notes:

The Society will not accept employed non-guaranteed income.

Last updated:

03 March 2020

Retirement Interest Only (RIO): Minimum Equity Requirement

Our standard acceptability

No Minimum

Criteria definition:

This criteria indicates if we offer Retirement Interest Only (RIO) mortgages and if so do we have a minimum equity requirement. If the repayment strategy is the sale of the mortgaged property, lenders no longer have to assume, as was the case under the previous MCOB rule, that borrowers will need to downsize. Consequently, they do not need to factor into their criteria any specific minimum equity requirement, as is the case with other interest-only mortgages.

Our policy notes:

Family Building Society offers Retirement Interest Only (RIO).

Last updated:

03 March 2020

Retrospective New Build Warranty

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially lend on residential applications for properties that have been issued with a retrospective new build warranty. These warranties were specifically not in place during the build phase but taken out at a later date following completion.

Our policy notes:

Family Building Society can potentially consider retrospective new build warranties.

Last updated:

25 September 2019

Returning to UK - Employed

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially accept residential applications from an applicant who is returning to the UK and going straight into paid employment. Critically, indicates if a lender will accept an employed applicant (with no current minimum length of time in UK employment) for affordability who is returning from a non UK address to the UK.

Our policy notes:

Family Building Society can potentially consider applications from applicants who are returning to the UK and going straight into employment.

Last updated:

09 September 2019

Returning to UK - Self-Employed

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept residential applications from an applicant who is returning to the UK and going straight into Self-Employment. Critically, indicates if a lender will accept a Self-Employed applicant for affordability who is returning from a non UK address to the UK and would essentially have zero UK trading history.

Our policy notes:

Family Building Society will not applications from applicants who are returning to the UK and going straight into self-employment.

Last updated:

09 September 2019

Right to Aquire

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we accept Right to Aquire applications.

Our policy notes:

These are not acceptable but need to be referred individually.

Last updated:

17 July 2017

Right to Buy

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we accept Right to Buy applications.

Our policy notes:

These are acceptable.

Last updated:

06 November 2018

Right to Buy additional lending above discounted price

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we accept Right to Buy cases if we allow a borrower to borrow more than the discounted Right to Buy purchase price to cover other costs and home improvements. For example, John would like to purchase his council home he has been offered for £65,000 which is 100% of the discounted price (£100,000 less a £35,000 discount). He would also like to borrow an additional £5,000 to cover some legal costs and to put in a new kitchen. 

Our policy notes:

We will not lend more than the discounted purchase price.

Last updated:

17 July 2017

Right to Buy Home Improvements Allowed

Our standard acceptability

No

Criteria definition:

Indicates if we accept Right to Buy cases can we can potentially accept additional monies being raised for home improvements at the point of the Right to Buy initial purchase.

Our policy notes:

We will not advance more than the discounted purchase price.

Last updated:

17 July 2017

Right to Buy joint application sole occupier

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we accept Right to Buy cases can we accept a joint application for a Right to Buy application where only one borrower will reside at the property. For example, John wishes to purchase his council home that he has the right to buy on but cannot afford it on his current income. His son has offered to help but has his own separate living arrangements independent from his father. They therefore need to find a lender that would accept a joint application with only one occupier.

Our policy notes:

These are not acceptable.

Last updated:

17 July 2017

Right to Buy Maximum LTV (of discounted purchase price)

Our standard acceptability

100

Criteria definition:

Indicates if we accept Right to Buy cases, the maximum loan to value (LTV) of the discounted purchase price we will consider for Right to Buy applications. For example, John has the right to buy his council home which has been given an open market value of £100,000 with a discount of £35,000. The discounted purchase price is therefor £65,000. 

Our policy notes:

We can lend up to 100% of the discounted purchase price as long as the LTV based on the valuation does not exceed 80%.

Last updated:

17 July 2017

Right to buy remortgage within pre-emption period - Balance swap

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider a right to buy remortgage balance swap application within the pre-emption period

Our policy notes:

Family Building Society can potentially consider a right to buy remortgage balance swap application within the pre-emption period

Last updated:

11 September 2020

Right to buy remortgage within pre-emption period - Capital raising

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider a right to buy remortgage capital raising application within the pre-emption period

Our policy notes:

Family Building Society can potentially consider a right to buy remortgage capital raising application within the pre-emption period

Last updated:

11 September 2020

Self Build Accepted

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we are potentially able to offer self-build mortgages.

Our policy notes:

We do not currently accept applications for self build mortgages.

Last updated:

20 April 2017

Self Build: Maximum loan amount

Our standard acceptability

We do not currently offer Self Build mortgages

Criteria definition:

Indicates the maximum loan size we can consider on self build applications

Our policy notes:

Family Building Society does not currently offer self-build mortgages.

Last updated:

02 March 2020

Self Build: Maximum term

Our standard acceptability

We do not currently offer Self Build mortgages

Criteria definition:

Indicates the maximum term a self build mortgage can be taken over.

Our policy notes:

Family Building Society does not currently offer self-build mortgages.

Last updated:

02 March 2020

Self Employed Income: Directors Loan Payback

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can accept repayment of a directors loan as an acceptable source of income for affordability purposes. Often directors will first take back any money they introduced into the business as a directors loan before formally drawing a salary or taking dividends.

Our policy notes:

Family Building Society does not accept payback of a directors loan as an income that can be used in our affordability assessment.

Last updated:

10 May 2018

Self Employed Income: Limited Company Directors (Salary and Dividends)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Salary and Dividends as the components used to assess affordability as opposed to say salary and net profit.

Our policy notes:

We would accept director's remuneration and dividends (providing dividends do not exceed the available net profit).

Last updated:

03 July 2017

Self Employed Income: Limited Company Directors (Salary and Net Profits)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Salary and Net Profit as the components used to assess affordability as opposed to say salary and dividends.

Our policy notes:

These are acceptable.

Last updated:

17 July 2017

Self Employed Income: Limited Company Directors (Salary and Share of Net Profits AFTER CORPORATION TAX)

Our standard acceptability

Acceptable

Criteria definition:

Displays if we will use 'Salary and Share of Net Profit AFTER CORPORATION TAX' as the components used to assess affordabiliy as opposed to either 'Salary and Share of Net Profit BEFORE CORPORATION TAX' or 'Salary and Dividends'

Our policy notes:

Family Building Society can potentially accept salary and share of net profits AFTER CORPORATION TAX as the primary income used when assessing income from directors of a limited company.

Last updated:

11 September 2020

Self Employed Income: Limited Company Directors (Salary and Share of Net Profits BEFORE CORPORATION TAX)

Our standard acceptability

Not Acceptable

Criteria definition:

Displays if we will use 'Salary and Share of Net Profit BEFORE CORPORATION TAX' as the components used to assess affordabiliy as opposed to either 'Salary and Share of Net Profit AFTER CORPORATION TAX' or 'Salary and Dividends'

Our policy notes:

Family Building Society does not use salary and share of net profits BEFORE CORPORATION TAX as the primary income used when assessing income from directors of a limited company.

Last updated:

11 September 2020

Self Employed Income: Limited Company Retained Profits

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially consider retained profits as an allowable income type when assessing affordability on residential applications.

Our policy notes:

Family Building Society does not accept retained profits as an acceptable source of income when assessing affordability.

Last updated:

09 September 2019

Self Employed Income: Net Profit (for sole traders and partnerships)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can accept Net Profit (for sole traders and partnerships) as an acceptable source of income for affordability purposes.

Our policy notes:

We ask for two year's account or HMRC SA302s. The Society reserves the right to average two year's figures.

Last updated:

17 July 2017

Self Employed: Accounts or Accountant Certificates where Accountant is not Chartered or Certified

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we will accept accounts or an accountant's certificate from an accountant that does NOT have 'Chartered' or 'Certified' status.

Our policy notes:

Family Building Society does not accept accounts or accountants certificates from accountants that are not either 'Chartered' or 'Certified'

Last updated:

23 October 2017

Self Employed: Amount of shareholding to be considered self employed (percentage)

Our standard acceptability

33

Criteria definition:

Indicates the point at which we consider a person as self-employed as opposed to employed when they hold a shareholding in the business. The figure indicates the percentage shareholding required to be considered self-employed and anything less than this figure the applicant will be assessed as employed.

Our policy notes:


Applicants are defined as self-employed if they have a shareholding of 33% or more, of a firm. The Society defines a ‘firm’ as a Limited Company, Sole Proprietor/Trader or a Partnership between persons carrying on business together.

Last updated:

20 April 2017

Self Employed: Can use Projection as Latest Year

Our standard acceptability

No

Criteria definition:

Indicates if we can potentially consider the self-employed applicants latest year figures as a projection from their accountant.

Our policy notes:

Family Building Society does not accept a projection for the latest years self employed figures for affordability purposes.

Last updated:

10 May 2018

Self Employed: Declining Profits

Our standard acceptability

Not Acceptable

Criteria definition:

Indicates if we can potentially accept a self-employed applicants income where the profits have declined year on year.

Our policy notes:

Declining profits without any evidence the business has improved would not be acceptable.

Last updated:

17 July 2017

Self Employed: Latest years self employed figures for affordability

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially use the latest years figures exclusively (rather than an average) for affordability assessment. 

Our policy notes:

This is subject to underwriter discretion but we can consider working on the latest year's profit figures so long as the trend over the last three years is upwards. Substantial increases are less likely to be taken unless evidence supplied that this level of profit can be maintained.

Last updated:

23 May 2017

Self Employed: Limited Company: Other allowable income

Our standard acceptability

No

Criteria definition:

This indicates if we are able to add back in any accounting deductions. For example for a limited company, allowing car allowance and/or pension contributions to be added to overall customers self-employed income.

Our policy notes:

We do not add back any deductions.

Last updated:

23 May 2017

Self Employed: Loss in Latest Year

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can potentially consider Self-Employment income from an applicant how has made a loss in their latest year.

Our policy notes:

Family Building Society can potentially consider income from self-employed applicants who have made a loss in the latest year subject to underwriting. Please call us to discuss this further.

Last updated:

06 November 2018

Self Employed: Maximum age of latest company accounts for Limited Companies (months)

Our standard acceptability

18

Criteria definition:

Specifies the max age of the latest company accounts (in months) that we will find acceptable for income proofs for a limited company.

Our policy notes:

We would not normally accept accounts prepared more than 18 months prior to application.

Last updated:

03 July 2017

Self Employed: Maximum age of latest company accounts for Sole Traders/Partnerships (Months)

Our standard acceptability

18

Criteria definition:

Specifies the max age of the latest company accounts (in months) that we will find acceptable for income proofs for a sole trader or partnership.

Our policy notes:

We would normally expect accounts to be no older than 18 months however please refer any that are over 12 months for underwriters to confirm they are still acceptable.

Last updated:

03 July 2017

Self Employed: Minimum length of time self employed (months)

Our standard acceptability

24

Criteria definition:

This is the MINIMUM length of time an applicant must have been self-employed for in order for their income to be considered.

Our policy notes:

We would normally expect to see two year's accounts and/or SA302s. It is likely that a self-employed person would have been self-employed for more than two years to be able to provide these.

Last updated:

20 April 2017

Self Employed: Recent change in status (sole trader to limited company, etc)

Our standard acceptability

Acceptable

Criteria definition:

Indicates if we can consider the income from a self-employed applicant on a residential application where a change in self employed status has recently taken place. For example, where an applicant has been a sole trader for 8 years and has recently converted his business status to a Limited Company but has not been trading long enough as a Limited Company to have sufficient accounts. The applicant would need us to consider their income based upon their historic performance as a sole trader.

Our policy notes:

Family Building Society can potentially consider an application where a change in self employed status has recently taken place

Last updated:

11 September 2020

Self Employed: Sole Trader / Partnerships: Other allowable income

Our standard acceptability

No

Criteria definition:

This indicates if we are able to add back in any accounting deductions. For example for a sole trader, allowing spousal salary and/or use of home as an office to be added to the net profit figure.

Our policy notes:

We do not normally add back any deductions

Last updated:

23 May 2017

Self-Build: Additional borrowing considered during the build

Our standard acceptability

We do not currently offer Self Build mortgages

Criteria definition:

Indicates if we will allow applicants to borrow additional funds during the build

Our policy notes:

Family Building Society does not currently offer self-build mortgages.

Last updated:

28 February 2020

Self-Build: Affordability - Can applicants savings be used to cover monthly rental or mortgage payments?

Our standard acceptability

We do not currently offer Self Build mortgages

Criteria definition:

Indicates if we will allow applicants savings to cover the monthly rental or mortgage payments during the build rather than included in affordability assessment

Our policy notes:

Family Building Society does not currently offer self-build mortgages.

Last updated:

28 February 2020

Self-Build: Affordability - Dual affordability assessment required? (During & After build)

Our standard acceptability

We do not currently offer Self Build mortgages

Criteria definition:

Indicates if we will complete an affordability assessment during and post build

Our policy notes:

Family Building Society does not currently offer self-build mortgages.

Last updated:

28 February 2020

Self-Build: Affordability - Ongoing rent or mortgage payments included in affordability assessment?

Our standard acceptability

We do not currently offer Self Build mortgages

Criteria definition:

Indicates if we will include existing monthly rental or mortgage payments into the affordability calculation

Our policy notes:

Family Building Society does not currently offer self-build mortgages.

Last updated:

28 February 2020