Additional Loans

If your client is looking to borrow more for home improvements, debt consolidation or any other non-business purpose, we could help.

Our range of additional loan deals allow your clients to use some of the value in their home to help them get the things they want, such as extra funds to build an extension or a new kitchen, buy a new car or to go on that dream holiday.

How does it work?

1

Obtain a Mortgage Illustration by using our simple illustration request form or speaking to one of our friendly mortgage advisers on 0345 1200 891* (Mon to Fri: 8am-8pm, Sat 9am-1pm).

You’ll need to do this before you can proceed any further with the application.

 

We’ll aim to email the Mortgage Illustration to you within 24 hours.

 

2

Once you’ve got the Mortgage Illustration, download and complete the

Send it to us at:
Variations Team, Accord Mortgages, PO Box 1145, Yorkshire House, Yorkshire Drive, Bradford BD5 8LJ

Don't forget to send the supporting documentation along with the application form.

3

Once received, we’ll allocate the application to a dedicated underwriter.

Your underwriter will call you to discuss how we can issue a mortgage offer as soon as possible.

They will also give you a direct contact number and email address so they can answer any questions you may have.

Clients also need a product transfer?

If your clients want to switch to a new mortgage deal, as well as borrow more, we’ll need to have released the additional borrowing first before you apply for the product transfer.

Find out more about our product transfers.

 

Additional loan criteria

Procuration fee

We pay 0.30% of the loan provided that you send a completed application form to us and the loan is £5,000 or above. No procuration fee is paid if the borrower approaches Accord directly.

Loan size

Minimum Loan

Please refer to the additional loan product guide.

Maximum Loan

  • Depends on LTV - check the criteria section of the , but the maximum loan is calculated as a total of ALL secured loans on the property.

Maximum LTV

85%

Acceptable purposes

Examples include:

  • Home improvements e.g. extension, double glazing, new fitted kitchen etc.
  • Purchase a joint borrower's interest in the property.
  • Capital raising (except business purposes)
  • To purchase the freehold of the borrower's property

Valuation Fees

A non-refundable £70 revaluation fee may be payable. Please call us on 0345 1 200 891* to check if this will apply.

Eligibility

  • No arrears on the account in the last 12 months or the account must have been open for at least 6 months and conducted satisfactorily. If the account does not meet these requirements please contact us to discuss any options.
  • Loan purpose is acceptable to us.
  • All additional loans will be agreed only on a capital and interest repayment basis.

Home improvements:

  • Available for alterations, improvements and repairs to the property, subject to normal lending limits and credit score. Additional lending will be based on the current value of the property looking at the HPI or an Internal Inspection provided by one of our panel valuers.

Mortgage illustration and application

  • A mortgage illustration must be provided to the client(s).
  • A mortgage application can only be completed AFTER a mortgage illustration has been produced.

Offset / non-offset

Offset and non-offset products cannot be mixed:

  • If the original loan is offset, the Additional Loan must be offset.
  • If the original loan is non-offset, the Additional Loan must be non-offset.

Interest only

The customer may take additional borrowing on an Interest Only basis, or part Interest Only and part Capital and Interest basis. Please see our lending criteria for further information.

Help to Buy

The customer must have evidence of permission from Homes England/Help to Buy (Wales) Ltd before submitting an Additional Loan application.

Additional lending can only be considered for Staircasing (customer using the proceeds from the additional loan to repay their equity loan), Essential Modifications and Transfer of Equity (purchasing the full equity of the property from the current joint borrower).

If the customer is staircasing, a solicitor must be instructed.

Where there is to be an Equity Loan outstanding on completion of the additional loan:

  • the maximum LTV calculated using the mortgage amount plus additional loan amount is 75%
  • the maximimum LTV calculated using the mortgage amount, additional loan amount plus the outstanding equity loan amount is 85%

Where the Equity Loan is being repaid in full, normal LTV rules apply.