Mortgage Express (No 2) Conveyancing Panel Information

The CLC has begun discussions with banks and their representative bodies to see whether and how the risks that lenders wish to mitigate could be addressed through the regulatory framework rather than via ad hoc arrangements that can differ from lender to lender. We expect that that the CLC have been in touch with lenders such as Mortgage Express (No 2) as well as the BSA.

The key here is the caveat ‘more onerous’. You have to try and take an objective view as to whether the Terms relating to the Mortgage Express (No 2) conveyancing appointment (or other terms for other lenders) are ‘more onerous’ than the UK Finance Lenders’ Handbook Conditions. Depending on the Terms you may need to provide details on your renewal form. If you are in any doubt please call your broker to discuss before completing the answer.

When a solicitor is acting for both Mortgage Express (No 2) and borrower there is potential for conflicts to arise. You owe duties to both clients. All information received by you from your client is confidential and cannot be disclosed without the client’s consent. In the situation you find yourself in if the purchaser will not consent to the information being passed on to the lender the solicitor must cease to act for the Mortgage Express (No 2) and it may well be prudent you to cease to act for the purchaser as well. You can not tell the Mortgage Express (No 2) the reason for termination of the retainer over and above the fact that a conflict has arisen. The fact that you can no longer act should alert even the most somnambulistic of lenders that something is wrong with the borrower and/or purchase. The fact that you have disinstructed yourself should not affect your Mortgage Express (No 2) conveyancing panel status.

You will be aware of the trend in recent years for lenders such as Mortgage Express (No 2) to take a much more pro-active approach in relation to the management and make up of their conveyancer panels. The knock on effect of this is that it is more likely that there will be a higher number of cases where a conveyancer is not on the Mortgage Express (No 2) panel. The situation that you find yourself in is where your client’s purchaser has his/her own lawyer and Mortgage Express (No 2) have appointed a separate lawyer to act on their behalf where the new CML Part 3 requirements apply. Section 11.1 of the UK Finance Lenders’ Handbook Part 3 requires Mortgage Express (No 2)’s panel solicitor to ‘ ...transfer the mortgage advance directly to the Seller’s conveyancer. The Seller’s conveyancer must be required to hold the mortgage advance on the terms of the required undertaking. The example borrower’s conveyancer’s undertaking letter includes a specific example of the seller’s undertaking’. You should expect to be advised to received the mortgage advance directly from the conveyancing solicitors for Mortgage Express (No 2). You will no doubt be required to undertake directly to Mortgage Express (No 2)’s solicitors to discharge any charges secured on the property and to send directly to them the executed transfer and any other documents required to enable us to effect registration. Please remember to carefully consider undertakings in accordance with your firm’s protocol and record them in your undertakings logg. Please remember that as well as this breach of this undertaking having regulatory and compliance implications it’s breach could also result in your firm being removed off the Mortgage Express (No 2) conveyancing panel.

The best placed professionals to answer this question are your insurance brokers. The chances are that on the basis that you have not been removed for fraud or negligence reasons that there will be little or no impact. The main reason why a firm would be removed off of a lender panel is due to low volume of conveyancing cases although there may be a number of criteria for Mortgage Express (No 2) solicitor panel membership. Please remember that it is always important that you complete your insurance forms accurately.

You would be advised to get in touch with Mortgage Express (No 2) to obtain standard documents. The CML Handbook contains an explicit section for banks to enumerate who to contact to obtain standard documents. Mortgage Express (No 2) in their Part 2’s state: Don’t forget to disclose your Mortgage Express (No 2) conveyancing panel reference.