Frequently asked questions

All application types can be cancelled via the broker platform. Many of our processes in the application journey are now automated, therefore the case may reach completion if you do not cancel the case.

Please refer to the Income from self-employment section of our residential lending criteria for details.

An HSBC mortgage may extend beyond the intended retirement age of the main income earner if the applicant can clearly demonstrate they will be able to service the mortgage for its full term.

When assessing affordability, consideration is given to the period of time remaining until retirement - the nearer they are to retirement, the more robust their evidence of income needs to be.

We also consider the type of employment the customer is engaged and whether they're likely to able to continue working.

When assessing outgoings, we take into account the fact that expenditure may also decrease at retirement eg the costs associated with full time employment such as travel costs or costs associated with financial dependents.

In the case of interest only applications, the customer must also be able to demonstrate the ability to repay the capital at the end of the mortgage term.

Please refer to the Lending into retirement section of our residential lending criteria for details.

For remortgage cases LMS have a tailored case status update portal for use by intermediaries. The site gives you quick and easy access to get updates on your cases without having the need to contact the law firm. The site can be accessed via the following link, and can be used without the need to have a username and password.

All you need to do is input the following information:

• Lender
• Borrower surname
• Conveyed postcode

For purchase cases LMS are the distributor of cases out to your customers chosen law firm, to get an update on your case, please contact the law firm directly.

If you still require further information on your case, then please call the HSBC helpdesk. LMS only deal directly with HSBC and the customer.

An HSBC mortgage may extend beyond the intended retirement age of the main income earner if the applicant can clearly demonstrate they will be able to service the mortgage for its full term.

When assessing affordability, consideration is given to the period of time remaining until retirement - the nearer the customer is to retirement, the more robust their evidence of income needs to be.

We also consider the type of employment the customer is engaged and whether they're likely to able to continue working.

When assessing outgoings, we take into account the fact that expenditure may also decrease at retirement eg the costs associated with full time employment such as travel costs or costs associated with financial dependents.

In the case of interest only applications, the customer must also be able to demonstrate the ability to repay the capital at the end of the mortgage term.

Please refer to the Lending into retirement section of our residential lending criteria for details.

Yes, UK citizens who are living or working overseas can apply for an HSBC mortgage to purchase a property in the UK, providing they live in an approved country.

Foreign Nationals Including EU / EEA / Swiss Nationals Resident in the UK

We will lend to foreign nationals' resident in the UK where they have settled or pre settled status, indefinite leave to remain, indefinite leave to enter or have been granted a right of abode by the Home Office. These applications are subject to standard residential criteria. Standard residential criteria also applies where there is more than one borrower and either of the applicants is a UK national or is a foreign national with settled or pre settled status, indefinite leave to remain, indefinite leave to enter or a right of abode.

Applications where all applicants are foreign nationals without settled or pre settled status, indefinite leave to remain, indefinite leave to enter or a right of abode can apply for a residential mortgage subject to our foreign national criteria.

For online applications, we run an automatic address check so evidence may not be required.

If the customer's address cannot be verified electronically, we'll accept a wide range of documents as proof. Full details can be found on our packaging requirements page

For online applications, we run an automatic identity check so evidence may not be required.

If the customer's identity cannot be verified electronically, we'll accept a wide range of documents as proof. Full details can be found on our packaging requirements page

A customer who has missed payments on their credit commitments may be considered under exceptional circumstances. If you'd like to discuss a particular case with us, please call the intermediary helpdesk.

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

We can provide residential mortgage facilities to landlords, providing they do not meet the following definition of a Professional/Portfolio Landlord:

• BTL borrowing greater than £2 million across all lenders; or
• Having four or more BTL mortgaged properties in aggregate at the end of the application (E.g. Purchase applications will be acceptable if the customer currently has 2 or less mortgaged properties. Non purchase applications will be acceptable if the customer currently has 3 or less mortgaged properties).

Applicants must be an owner occupier of a residential property which they have lived in for at least 6 months. For joint applications, at least one applicant must be an owner occupier of a residential property which they have lived in for at least 6 months.

A customer can apply to remortgage at any time after they have completed their purchase.

Please note that for properties owned for less than 6 months, we will require the applicant's solicitor to make additional checks.

Please refer to the Income from self-employment section of our residential lending criteria for details.

Applicants must have been employed for a minimum of 12 months or more current continuous service in the same type of employment via contracts OR;

If they have not, a minimum of 6 months or more current continuous service via contracts in the same type of employment with at least 12 months remaining on their current contract.

We accept the applicant's salary (often referred to as director's remuneration or emoluments) along with their share of the last 2 years' average net profit after corporation tax. Please note, if their most recent set of accounts shows net profit lower than the 2-year average, we'll use this figure instead.

Please see Bonuses, overtime and commission on what proof is required depending on how often the customer gets paid. Please note, a maximum of 50% of the average of the last 2 years' average overtime can be considered as guaranteed income.

We accept income from overtime, bonuses and commission, where it is shown to be regular. A maximum of 60% of the average of the last 2 years can be used.

As evidence, we will ask to see the relevant payslip(s) or a letter from the employer – see Residential Evidential Documents Matrix for variations subject to frequency of pay.

Yes, we can consider income from a customer who has recently started a new job.

When assessing their application, we'll need to know whether they are on a probationary period, and if so the length of that period and how long is remaining. We'll also consider their employment track record and whether they have had any career gaps or changes of career plus previous P60s and significant increase in income from new role

As evidence, we'll usually ask for a combination of payslips, bank statements, P60s, tax returns and an employment contract or job-offer letter.

If the customer advises they will return to work on the same terms, the last months' payslips of normal pre-maternity leave income can be used.

If they plan to return to work on reduced hours, the reduced income will be calculated on a pro-rata basis based on previous evidenced income, or supported by an employer's letter if available.

For more on how we assess maternity leave income, see our lending criteria

We use gross annual income (defined as basic salary plus permanent allowances such as a territorial allowance) to calculate net monthly pay after income tax and national insurance deductions.

We need to know about all payslip deductions (such as for pensions, childcare, student loans and season tickets).

Ground rent and service charge costs for leasehold properties are recorded under 'Basic essential expenditure'.

We assess Buy to Lets in the background as part of our income and expenditure assessment taking into account the full costs associated with the Buy to Let, not just the rental income.

Log on to the broker portal as normal and select ‘Existing customer’. You will be required to validate your customer’s identity in order to retrieve their mortgage details and proceed with an additional borrowing application. All customers who are party to the mortgage will be notified via email or SMS that an additional borrowing application has commenced.

For existing HSBC customers looking to borrow more, a minimum of six months will be required from the date of drawdown of the latest mortgage or Home Loan on the property being used as security.

Existing HSBC UK mortgage customers on a Fixed Rate, Term Tracker, Lifetime Tracker or Standard Variable Rate. Please note the minimum loan amount for stand-alone additional borrowing applications is £10,000.

Yes, all application types can be cancelled via the broker platform. Many of our processes in the application journey are now automated, therefore the case may reach completion if you do not cancel the case.

If you need to amend any information after you've submitted the application, please fill out the Application Amendment Form and upload and submit through the ‘Evidential documents’ section on the broker portal. This will then be sent through to one of our team to make the relevant updates.

Yes, the acceptance of the offer document is completed by the broker on behalf of the customer via the broker portal.

Additional borrowing funds will be released once the offer has been accepted and the relevant checks have then been completed. Once the checks have been completed, the funds will be released straight away unless instructed otherwise.

If your customer has a preference to defer the release of the additional borrowing you will need to specify this within the application. The funds will be placed on hold until offer expiry date at the latest.

Once the funds are required, you will need to specify the date of release through the broker message system to initiate the drawdown process. If the funds are not drawn down before the offer expires, the application will be cancelled.

We allow product switch and additional borrowing applications to take place at the same time. You will need to input these requests as two separate applications.

Please note, if the product rate selected on the product switch and additional borrowing application are the same, one fee is fully refundable. However, where the products are not the same, a booking fee applies to each fee-paying product.

You will need to contact the Broker Support Team on 0345 600 5847 when one of the booking fees is eligible for a refund, the request must be made before the application completes.

We classify applications to be simultaneous when they are keyed within 3 working days of each other. Please ensure that booking fees are not capitalised if a refund is required.

NB: If you are submitting a product switch and an additional borrowing application for the same customers, please be aware that if the product switch application completes, before the additional borrowing decision has been given, your customer will be required to pay any early repayment charges if the product switch application is subsequently cancelled.

Log on to the broker portal as normal and select ‘Existing customer’. You will be required to validate your customer’s identity in order to retrieve their mortgage details and proceed with a porting application. All customers who are party to the mortgage will be notified via email or SMS that a porting application has commenced.

Existing HSBC UK mortgage customers on a Fixed Rate, Term Tracker, Lifetime Tracker or Standard Variable Rate with at least 6 months remaining will be eligible to port where the sale and purchase will be completed simultaneously.

Yes, all application types can be cancelled via the broker platform. Many of our processes in the application journey are now automated, therefore the case may reach completion if you do not cancel the case.

If you need to amend any information after you've submitted the application, please fill out the Application Amendment Form and upload and submit through the ‘Evidential documents’ section on the broker portal. This will then be sent through to one of our team to make the relevant updates.

Customers are able to extend or reduce the term of their existing mortgage, with the exception of not being able to extend the term on a Lifetime Tracker mortgage.

In case of separation, each customer may port 50% of the rate to a new property they are buying, or more than this amount, up to the full 100% of the rate, if the other party has consented to this verbally. You will need to ensure your customer meets all other eligibility criteria. Exclusions apply to porting closed secured HSBC loans and equity buy-out applications, please ask your customer to contact us directly to complete these applications.

Log on to the broker portal as normal and select ‘New customer’.

There is no minimum floor area. We rely on our valuers to advise us whether a property is good security for our loan and how marketable it is - regardless of its size.

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

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

Standard lending criteria apply subject to:

• A minimum £25,000 deposit for properties is required where the LTV is greater than 75%;
• A maximum 90% LTV for houses. The maximum LTV only applies where the total loan size is not exceeded as set out in the Loan section
• A maximum of 85% LTV for flats. The maximum LTV only applies where the total loan size is not exceeded as set out in the Loan section.
• If you intend to capitalise a booking fee then the loan amount plus the added fee must remain within the LTV restrictions stated above.
• A structural defects warranty being in place

The value of any incentive must be deducted from the purchase price when calculating LTV.

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

Period timber-frame properties and those constructed post-1965 will be considered, subject to the valuer's comments and with a maximum LTV of 80%

If Japanese Knotweed has been identified within 7 metres of a property's garden fence, the valuer will follow the Royal Institute of Chartered Surveyors' guidelines to assess the risk.

We can only lend if we are provided with a treatment schedule and a completion certificate confirming that the weed has been eradicated that there is a guarantee of at least 10 years in place.

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

• Signed authorisation from the home-owner, allowing the solar panel provider to liaise with the solicitor;
• Evidence of accreditation that the installation was made to approved standards (the installer must be accredited with The Microgeneration Certification Scheme);
• A signed letter from the solar panel provider in line with guidance given by the CML
• A copy of the lease, in line with the CML letter, containing no terms which could be harmful to our interests in the property (please note, the details of the property and title number held on our records must match that on the lease to the solar panel provider); and
• Signed copy of the HSBC Lender Agreement

Yes. We will consider these cases where there is evidence that the buildings will be self-remediated by developers or covered by a recognised government scheme and evidenced by Leaseholder Deed of Certificate.

As part of our conveyancer check we may require the Landlord Certificate.

No, we don't have dual pricing. Brokers have access to exactly the same rates as the staff in our branches.

Acceptable repayment strategies for interest-only loans are:

• Sale of an additional home or a buy-to-let property in the UK - whether mortgaged or owned outright
• Endowment policy
• Cash savings
• Other investments
• Variable income such as bonuses (only accepted as a partial repayment strategy)

For more details, see Interest Only Repayment Strategies.

We need to confirm and document the source of an applicant's deposit to complete the mortgage. Whether evidence of deposit is required will be considered on a case-by-case basis.

Information about gifted deposits can be found in our lending criteria.

We allow HSBC UK mortgages to be transferred to a different property for existing HSBC UK customers on a fixed, term tracker, lifetime tracker or standard variable rate via HSBC UK UK for Intermediaries when the sale and purchase will be completed simultaneously. Exclusions apply to porting closed secured HSBC UK loans and equity buy-out applications, please ask your customer to contact us directly to complete these applications.

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

Our fixed rate and discount mortgages have an annual overpayment allowance equivalent to 10% of the principal mortgage balance at drawdown, or at the start of a new rate switch.

• Overpayments can be made by lump sum reductions and/or additional ad-hoc payments credited direct to the mortgage.
  
  The monthly payments will remain the same unless the customer asks us to recalculate them on their reduced mortgage balance.
• Alternatively, the customer can set up a flexible overpayment arrangement. If they choose this method, we will collect the overpayment in with the existing direct debit payment. The arrangement can be set up for a specific period or until further notice, your customer will need to make sure the monthly overpayments will not exceed their annual allowance in any one period.
  
  When the current rate changes, the customer will need to review the arrangement again as the standard monthly payments and allowance will be reset.
• At the end of the flexible overpayment arrangement the standard monthly payments will automatically be reset. This is the same if there is a change to the monthly payment date, rate or an amendment to the overpayment arrangement to a different amount. The recalculation will take into account previous overpayments, as it is calculated on the principal mortgage balance, the current interest rate and the remaining mortgage term.
• If a new flexible overpayment arrangement is put in place, or when the current overpayment arrangement ends, the bank will acknowledge this with a letter to the customers to confirm the new payments being collected.
• The overpayment allowance is reset annually on the anniversary of the drawdown, or at the start of the new rate following a switch.
  
  If your customer switches rates before this anniversary date, a new overpayment will commence from the date the new rate begins and will be calculated by using 10% of the mortgage balance at this time. An overpayment allowance is not transferrable to the next overpayment period, therefore any allowance not utilised will be forfeited.
• The Early Repayment Charge (ERC) will only be applied to the mortgage if the customer was to exceed the overpayment allowance in any one annual period. This applies to an overpayment made by lump sum payments, ad-hoc payments or on a monthly overpayment arrangement.
  
  We cannot amend or set up the overpayment arrangement if the mortgage is in the billing cycle, this means 5 working days prior to the monthly mortgage payment being collected. If you wish to cancel this arrangement, you will need to do so at least 7 working days before the payment is due.
• By making overpayments, the customer will benefit from an interest saving immediately as interest is charged daily. The term of the mortgage may be reduced which can result in the loan being repaid earlier. This will only be achieved if overpayments are continually made throughout the original mortgage term.
  
  If monthly payments are reset, they are calculated over the original mortgage term/remaining term.
  
  Any projected savings as a result of overpayments are subject to change. The projections are not guaranteed as they are based on the current interest rate, the overpayments against the existing monthly payments, and the remaining term. All of these factors will change.
• Any changes to the interest rate, payment date, or if the overpayment arrangement stops will result in the standard payments being recalculated over the original term. We will revert to a standard monthly payment (minimum payment) following these changes.
  
  If the annual overpayment allowance is set in a leap year, the allowance will not commence on drawdown or amendment, and will instead reset the following working day.
  
  Online banking customers can view their overpayment allowance by using the overpayment screen on their mortgage account. This shows the annual allowance amount, the start and end dates for the current period and the allowance balance remaining if overpayments have been paid.

The customer can decide to pay the booking fee in full, or they can add the booking fee to the loan. Booking fees, when added, can exceed the LTV restrictions of the selected product, and policy (in circumstances where only adding the fee has caused the LTV breach). Please be aware though that a booking fee cannot be added above an LTV policy limit of 95%.