Pepper Money Conveyancing Panel Information

The majority of lenders do not operate a specific buy to let conveyancing panel but we are hearing about a few that do. We do not know what the position is with Pepper Money as at todays date. If you're about to receive instructions from a client on a buy to let purchase with a mortgage from Pepper Money we suggest that you call Pepper Money to check the position.

You will be aware of the trend in recent years for lenders such as Pepper Money 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 Pepper Money panel. The situation that you find yourself in is where your client’s purchaser has his/her own lawyer and Pepper Money 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 Pepper Money’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 Pepper Money. You will no doubt be required to undertake directly to Pepper Money’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 Pepper Money conveyancing panel.

For most lenders participation on the lender's panel of conveyancers is at the absolute discretion of the the lender. Many lenders reserve the right to accept or reject any application without giving any reason. You should check your original application to join the Pepper Money conveyancing panel to see if you are entitled to a reason.

Pepper Money approved panel lawyers have to comply with the UK Finance Lenders’ Handbook instructions relating to Transfer of Equity. These are set out in Section 16.3. First, your firm must approve the form of Transfer of Equity (which should be in the Land Registry's standard form) and, if Pepper Money require, the deed of covenant on their behalf. You will need to check Pepper Money CML Part 2 conditions to see if Pepper Money have standard forms of transfer and deed of covenant. Please note that this requirement can change from one transaction to another so do check! Second,When drafting or approving a transfer, you should bear in mind that: although the transfer should state that it is subject to the mortgage (identified by date and parties), it need give no details of the terms of the mortgage; the transfer need not state the amount of the mortgage debt. If it does, the figure should include both principal and interest at the date of completion, which you must check ; there should be no statement that all interest has been paid to date. Further obligations are set out in the UK Finance Lenders’ Handbook which have to be followed by all firms on the Pepper Money conveyancing panel

Your insurance brokers are your best port of call to address this question. 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 Pepper Money solicitor panel membership. Please remember that it is always important that you complete your insurance forms accurately.

You need to get in touch with Pepper Money to obtain standard documents. The The Council of Mortgage Lenders Handbook contains a specific inquiry for lenders to cite who to contact to obtain standard documents. Pepper Money in their Part 2’s state: Don’t forget to disclose the firm’s Pepper Money solicitors panel reference.