Hodge Equity Release Conveyancing Panel Information

In operating open conveyancing panels, lenders such as Hodge Equity Release face a number of fraud and negligence risks. While there is no authoritative source of data on lender exposure to solicitor–led mortgage fraud, anecdotal evidence from lenders indicates exposure on individual cases are often in the millions of pounds. The National Fraud Authority estimates that £1bn per year is lost in mortgage -related frauds in total, which is seen as a conservative estimate.

These risks are exacerbated by the lack of a comprehensive set of data on all conveyancing firms (which, for the avoidance of doubt, would include solicitors and conveyancers across the UK) which is in a readily accessible format. Currently, lenders vet the suitability of their panel firms against a variety of disparate, incomplete and potentially inaccurate sets of information. One top 5 lender pointed out to us that it is almost impossible to track individual fraudsters who move from firm to firm, especially where they are no longer registered or no longer hold a valid practicing certificate.

Hodge Equity Release and other lenders are in varying stages of reviewing their approach to vetting firms on their conveyancing panels, to ensure their ongoing exposure to unsuitable firms is reduced. There is also regulatory impetus on lenders to ensure that they have satisfactory oversight of their third party panels, including a due-diligence process.

One might ordinarily expect Hodge Equity Release via their Part 2 conditions to address this but the Handbook makes no mention on deadlines to send deeds. Do look at the Terms of Hodge Equity Release’s Conveyancing Panel Appointment that you entered into. For many lender's these Terms include a provision along the following lines: ‘To keep us informed of the reasons for any delay in your being able to send the title deeds and documents we require to us within 3 months of completion or evidence of proof of registration within that period. (We will send reminders if the deeds have not been received but will not acknowledge receipt of deeds’ It is important to keep Hodge Equity Release updated. Law firms can often compound their problems by not communicating with the lender when there is a delay or problem.

There are many reports available, five of which are as follows:

• Number of conveyancing cases by lender
• Average time frame to send deeds to the lender (calculated from completion date or title registration)
• Current and historic missed priority dates
• Buy to Let transactions
• Average mortgage advance

We would recommend that you supply details of the date of removal, information on the reason for removal, date of appeal and any reason given for reinstatement. This should not negatively affect your application but gives the CQS team viability as to what has gone on.

You need to communicate with Hodge Equity Release to obtain standard documents. The The Council of Mortgage Lenders Handbook incorporates an express question for lenders to reveal who to contact to obtain standard documents. Hodge Equity Release in their Part 2’s state: Don’t forget to disclose your Hodge Equity Release solicitors panel reference.