TSB Conveyancing Panel Information

As is the case with the Law Society the CLC has begun discussions with lenders 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. It is likely that that the CLC have been in touch with lenders such as TSB since 2008 which is when lenders started being more restrictive.

You might expect TSB via their Part Two obligations to address this but the Handbook is silent on deadlines to send deeds. Do look at the Terms of TSB’s Conveyancing Panel Appointment that you previously signed. For many lender's these Terms contain a clause such as: ‘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 TSB informed. Law firms can often compound their problems by not communicating with the lender when there is a delay or problem.

You will be aware of the trend in recent years for lenders such as TSB 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 TSB panel. The situation that you find yourself in is where your client’s purchaser has his/her own lawyer and TSB have appointed a separate lawyer to act on their behalf where the new UK Finance Part 3 requirements apply. Section 11.1 of the UK Finance Lenders’ Handbook Part 3 requires TSB’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 TSB. You will no doubt be required to undertake directly to TSB’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 TSB conveyancing panel.

With banks and conveyancers working so closely together it is surprising that there has not been greater demand for the introduction of a bit of transparency regarding not just the figures for the TSB conveyancing panel but for all lender panels

In the circumstances please clarify on the application what action you have taken to find out the reasons behind cancellation of your TSB panel membership. In particular please provide details if you have received communications from the lender. E.G. before termination of your panel membership did you receive any letters or calls from the lender informing you as to why they reached this decision?

You should communicate with TSB to obtain standard documents. The The Council of Mortgage Lenders Handbook includes an express inquiry for banks to set out who to contact to obtain standard documents. TSB in their Part 2’s state: It is likely that you will need to quote your TSB conveyancing panel number.