No Lender Lockdown When It Comes to Changes to Handbook Requirements
In the last three months Lexsure has witnessed significant activity by lenders changing their Handbook requirements.
Whilst firms currently encounter a slowdown in activity from buyers and sellers there is no hold-up in lenders revising their instructions to law firms.
Here are some of the facts and figures:
|Lender||Sections Changed||Separate Events|
|Barclays Bank UK PLC||27||2|
|Coventry Building Society||3||2|
During the same period there has been a significant uptake in services such as LENDERmonitor. I can only assume that this is due to anticipated file requests checking for Handbook breaches. Enquiries by firms concerning the LM04 lender policy search increased by 300% compared to the same period last year.
55% of LM04 searches in the last two months revealed lender changes. The most searched lender was HSBC.
With the end of the lockdown approaching and with a large number of transactions having been put on hold, there will be an inevitable rush to submit Certificates on Title to lenders. It’s easy to get tripped up and miss a Handbook change. Now is not the time to cause serious and irreparable damage to your firm by failing to identify changes to lender instructions.
Kindly shared by Simon Seaton, non-practising solicitor