22/08/2012 - Update to the Society's affordability calculator

The Society changed the way mortgage applications were assessed, from Income Multiples to an 'Affordability' approach, in April, 2012.

Further enhancements have since been made. These are designed to incorporate other Credit Risk factors into the calculation, these being the application credit score and loan to value that will differentiate further the maximum borrowing amount based on the risks applicable.

The on-line calculator will now provide a minimum and maximum borrowing range. The actual maximum borrowing amount will not be available until a decision in principle has been made.

To get the best results from the model and for the most accurate maximum borrowing amount to be provided it is imperative that the customer, loan and property information is input accurately into the system (LTV, income, commitments, other significant outgoings and household composition).

26/07/2012 - Data Accuracy - Affordability

Following the change to the use of a full affordability model earlier this year, we are seeing cases where the application data input (particularly around existing credit commitments and household composition), is inaccurate. This means we cannot give an accurate decision to lend. When these cases are referred for an AIP, we will refer back to you to edit the AIP screens to ensure the data is correct and the appropriate affordability calculation can be carried out. Please ensure that you input the correct information to ensure that we can provide you with a timely and accurate decision and avoid potential issues later in the process.

In addition, you should ensure that the correct customer name(s), date(s) of birth and address history are input as subsequent corrections may result in a second credit footprint on the customers credit file.

25/07/2012 - Shared Ownership - Memorandum of Sale

A Memorandum of Sale is required for all Shared Ownership applications and must be submitted as part of our minimum submission requirements. We will not assess the case until this is submitted, along with the other standard requirements. View Shared Ownership minimum submission document » If a Memorandum of Sale is not available please ensure that the new substitute form is completed by the Housing Association. View Memorandum of Sale Substitute Form »

21/07/2012 - Changes to UK Lending Criteria

Changes have been made to the Lending into Retirement, definition of prime and second properties criteria. Click for full details »

13/07/2012 - Borrowing Calculator - Guarantor Cases / Second Properties

Please note that the borrowing calculator should not be used to assess the affordability / borrowing capacity for guarantor applications and second property applications. You will need to submit the case for a Decision in Principle to enable us to consider these types of cases. NOTE - guarantor cases can not be submitted online.

11/07/2012 - Change of Property Address.

Please note if you require a change of property address then this will require the original case to be cancelled and a new case to be submitted online by the intermediary. If appropriate we can transfer documentation previously submitted if you make reference to the original account number in the additional information section.

02/07/2012 - Shared Equity/Ownership changes to age limit

With immediate effect, the maximum age at the end of the term for a Shared Ownership and Shared Equity mortgage will be the earlier of 70 or the borrower's declared retirement age, if sooner.

21/06/2012 - Changes to UK Lending Criteria

In order to adopt a consistent approach to the treatment of other income sources the policy has been updated to state the maximum amount of other allowable income must not exceed 100% of household primary income.

This change is effective immediately. Cases Submitted priors to the 21 June 2012 have 21 days to submit outstanding documents.

31/05/2012 - Certification Of Supporting Documentation

A new form has been introduced to allow you to certify a batch of supporting documentation rather than each individual page. The form is held in Printable Forms and should be fully completed and submitted with each batch of certified documents.

28/05/2012 - Changes to UK Buy to Let Lending Criteria

We have responded to industry changes to the Buy to Let market, and have made the following change to the Society's Buy to Let criteria.

• Acceptable income must be primary allowable income, as defined within Lending Policy, and / or savings income). The minimum annual income of £20k remains unchanged. Where there are joint applicants, at least one applicant must satisfy this rule. All income must be verified
• The primary applicant is required to be an existing residential property owner.
• The minimum age of applicants has been reduced from 21 to 18 years old.

These changes are effective from Monday 28 May 2012 The packaging requirements remain unchanged at 21 days.

16/04/2012 - Important message: Changes to UK Lending Criteria

• Where the repayment strategy is sale of property the Max LTV is 50% and must have equity of at least £150,000 in the property
• As part of the change from the use of income multiples to affordability, Child Benefit is now an allowable form of other income.

For clarification:

• The interest only criteria restrictions applies to residential lending only (excludes BTL)
• The maximum LTV, where any part is on interest only, remains unchanged at 50%.

This change is effective from Monday 16 April. Current applications in the pipeline (which were submitted prior to this change) will be considered under the previous criteria, providing that the supporting documentation is received at Head Office by Friday 4 May 2012.

16/04/2012 - Affordability

We have improved the way that we assess how much applicants can borrow and whether they can afford the loan amount requested. This is now based on an assessment of the client's income and expenditure rather than our previous method of applying income multiples.

To see how much your clients can borrow, please complete our borrowing calculator »

Please note:
The borrowing calculator will give a broad indication of the amount we are able to lend; the actual loan amounts will be subject to usual underwriting requirements and credit score.

11/04/2012 - Changover to AFFORDABILTY calculation

From MONDAY 16th APRIL 2012, we will be changing the way we assess mortgage applications from Income Multiples, to AFFORDABILTY calculation.

There are just five days to go to the change over, and all applications submitted from next MONDAY 16th APRIL, will be assessed using the information from our borrowing calculator which will be available here on our website.

It's important to remember the following which will help you with your applications;

• Any DIPs based on income multiples, accepted up to and including April 14th will still be accepted as full applications until close of business on Friday April 20th
• Our website will be temporarily unavailable on Sunday 15th April while our systems are updated to implement the change
• For all Buy to Let applications, we will not use Affordability to assess the loan, it will remain as being assessed dependent on rental income
• The Loan to Value is no long relevant
• In addition to the income and commitment information, provided by the customer, we will use average household expenditure to reach our decision on the maximum loan amount which we believe is affordable.

We're sure you will prefer this method of assessing the size of loan your client can have. You can talk to a member of the sales team if you have any queries about the switch and help will be available here on our website.

29/03/2012 - Changes to Interest Only Criteria Excluding Buy to Let loans

The following change has been made to the Society's interest only criteria.

• When an element of interest only lending is present, the maximum LTV for all residential mortgage applications will be reduced to 50%, with effect from Thursday 29th March, 2012.

Notes:

• This change does not apply to buy to let loans.
• The change is effective from Thursday 29th March, 2012.
• No changes have been made to the packaging requirements and Intermediaries continue to have 21 days to submit.
• Interest only criteria page 8 Vanilla Guide, page 9, Shared Ownership Guide.

07/03/2012 - Reminder of minimum packaging requirements for all applications

Minimum packaging requirements for all cases:

1. Use of personal information form - Download a use of personal information form (PDF) »
2. Direct debit - Download a direct debit form (PDF) »
3. Name identification - View the criteria guides page »
4. Most Recent Bank Statement - Latest full month bank statement
5. Proof of Income, Latest payslip or P60
6. Booking Fee - Pay online or please telephone 0113 225 7889 (option 2)
7. Val Fee - Pay online or please telephone 0113 225 7889 (option 2)

Please note we will not start to underwrite the mortgage application until all the above items have been received by the Society.

All documents should be submitted as "one" secure email marked clearly with the application number and duly certified as true copies.

If all the above requirements are not received within 21 days the case will be cancelled.

For further details view our mortgage submission requirements document »

17/02/2012 - Changes to Interest Only Criteria Excluding Buy to Let loans

The following change has been made to the Society's interest only criteria.

• Where the repayment strategy is the sale of property, the maximum loan to value has been reduced to 50% with effect from Monday 20th February, 2012.

Notes:

• This change does not apply to buy to let loans.
• The change is effective from Monday 20 February, 2012.
• No changes have been made to the packaging requirements and Intermediaries continue to have 21 days to submit.
• Interest only criteria page 8 Vanilla Guide, page 9, Shared Ownership Guide.
• No further changes where the repayment strategy is an investment/savings vehicle have been made.

26/01/2012 - Important Message - Changes to UK Lending Criteria

Click for a summary of the changes to the Society's Lending Policy »

21/12/2011 - Important Message - Login Issues

21/12/2011 - Important Message - Changes Buy to Let lending criteria

The following changes have been made to the Society's Buy to Let lending criteria

• The maximum loan to value has been increased to 80%.
• The BTL rental coverage has been reduced to 125%

13/10/2011 - Important Message - Changes to Lending Criteria

The Society has made the following changes to its lending criteria. The changes are with immediate effect.

• Interest Only lending (excluding where Sale of Property is the repayment vehicle) can be accepted up to 75% loan to value on any product, with any additional lending over this amount on Capital and Interest.
• Interest Only lending (where Sale of Property is the repayment vehicle) can be accepted on all products in the residential range, up to a maximum loan to value of 70%.
• Where the mortgage will continue into retirement, Proof of Pension Income will only be required where the borrower is aged 55 years and over at the start of the mortgage term. An affordability assessment will be carried out based upon the lower of earned income and income available in retirement.

05/10/2011 - Leeds Launch Market Leading 2-Year Fixed Rate Mortgage at only 1.99%

Leeds Building Society has launched a market leading 2-Year Fixed rate mortgage at only 1.99%. The product is available up to 70% loan-to-value, there is no higher lending charge and fixed fees of only £1,999. View our 2-Year Fixed Rate Mortgage deals »

28/09/2011 - NEW - Leeds Building Society SIPP Deposit range.

For individuals looking for a good return on cash held in a SIPP, Leeds Building Society now offer a range of SIPP Deposits designed to suit your individual Clients' needs. View our SIPP Deposit range »

20/09/2011 - Increase to Maximum Applicant Age

With immediate effect, Leeds Building Society is increasing the maximum age for the applicant at the end of the mortgage term from 65 years to 75 years for standard residential lending.

31/08/2011 - Important Message - Changes to Lending Criteria

The Society has made the following changes to it's lending criteria. The changes are with effect from close of business on 30th August 2011. Any full applications already submitted online will be considered under the previous criteria.

Interest Only

• Inheritance is no longer
• an acceptable repayment strategy.
• The only acceptable repayment strategies are:
  • Savings and investments;
  • Sale of property.

• The maximum LTV for the savings or investment repayment strategy is 75%.
• The maximum LTV for the sale of property repayment strategy is 70%. This is now only available on a separate product range).
• Additional declaration documentation will require to be completed by the applicants. This will be issued with the Offer Acceptance Form.
• Further advances: for primary loans that are on an interest only basis, they are limited to a capital and interest repayment option, unless the LTV (including the additional loans) is less than 50%.

Lending into Retirement

Not available on the Society's standard product range.

• The maximum age at the end of the term is 80 years old.
• The maximum age at the date of application is 70 years old.
• The maximum loan to value is 70%.
• Loans that extend into retirement cannot be classified as FastTrack.
• Retirement is either the age provided by the applicant or 65, whichever is earlier.
• If the loan term extends into retirement an additional affordability assessment, based on the expected retirement income, will be required.

IMPORTANT INFORMATION: Applications meeting our criteria for lending in to retirement will only be assessed upon receipt of the fully submitted ONLINE application even if you have received an automatic acceptance through our normal Decision in Principle route). Please ensure the correct lending in retirement product is selected. We will then issue a decision in 24 hours and will not collect any fees until we are happy to proceed.

BTL

The interest rate used to calculate the minimal rental coverage percentage, of 130%, is set as the BTL revert rate - currently this is 5.99% (SVR + 0.3%).

Family Deposits

Family deposits are now acceptable for Shared Ownership and Shared Equity lending.

A number of minor amendments to the property criteria have also been made, to align the Policy with the Valuers Guidance Notes.

As you will see from these changes, the maximum allowable age of an applicant at the end of the mortgage term is 65 on our standard product range. However, if you have a client who wishes to borrow past this point we are able to consider it under a separate product range.

15/08/2011 - Sales Staff Contact Details

With effect from Monday 15th August, all our intermediaries should now contact the following sales staff to discuss new business.

Scotland & Cumbria = Louise Drummond (07710 998307)
North East & Yorkshire/Humberside = Richard Ashton (07712 645073)
South East & London Keith Chivers = (07973 254844)
Midlands = Bev Ford (07794 536442)
South West & South Wales = Brian Foreman (07767 341099)
North West & North Wales = Alison Barker (07919 272826)
East Anglia & Northern Ireland = Siobhan McMenamin (07710 919260)

See full details of how to contact us »

12/08/2011 - NEW Cash Deposit SIPP coming soon...

We're looking to introduce a Cash Deposit Self-Invested Personal Pension (SIPP) into our product offering through the intermediary channel. We are keen to ensure that we offer a first class service to you and as part of our continuous drive to improve and increase the range of services we offer, we would be grateful if you could kindly take part in our short questionnaire. Plus, let us know what you think before 22 August 2011 and you could win a luxury hamper, just enter your email address at the end of the questionnaire to enter. Take part in our short questionnaire »

18/07/2011 - Paperless Direct Debits

Following recent improvements to our online application process, Leeds Building Society no longer requires a signed Direct Debit mandate to be submitted as part of its standard submission requirements for new online applications. Instead, the details that are input online as part of the application will be imported to our mainframe system on submission of the case. These details will be verified and then used for collection of the mortgage payments when the mortgage completes.

Read the full news item »

12/07/2011 - IMPORTANT MESSAGE - Changes to Residential Lending Criteria

Interest Only - Interest only lending will be restricted to a maximum LTV of 75%, where any element of the loan is on an interest only basis. (I.e. any loan where the LTV exceeds 75% the entire loan must be repaid on a capital and interest basis)

Capital Raising - A maximum loan to value of 75% has been introduced for re-mortgage lending with an element of non-property capital raising. Re-mortgage applications and homeowner loans which include a property related capital raising element (e.g., home improvements, purchase of additional land etc.) may be considered up to a maximum of 90% LTV. Re-mortgage applications and homeowner loans which include a non-property related capital raising element (e.g. debt consolidation, holiday etc.) may be considered up to a maximum of 75% LTV.

This change will take effect from close of play 13 July, 2011. We will continue to allow 21 days for brokers to provide all documents to us, following submission of the case on ecom (by 13 July, 2011). Current paper applications in the pipeline will be considered, under the previous criteria, providing that the fully packaged case is received at Head Office by Tuesday 19 July, 2011.

Please refer to section 18 of the Residential Lending Guide for all interest only criteria and section 8 for capital raising criteria.

11/07/2011 - Update to Minimum Documentation Requirements Guide

In order to improve our service and speed up the processing of your application, please see our minimum documentation requirements, which have been updated to include details of items that typically delay a mortgage application progressing to the offer stage.

08/06/2011 - IMPORTANT MESSAGE - Changes to Interest Only Lending

Interest only lending will be considered up to a maximum loan to value of 75%.

This change will take effect from close of business on 8 June, 2011. We will continue to allow 21 days for brokers to provide all documents to us, following submission of the case on ecomm (by 8 June, 2011). Current paper applications in the pipeline will be considered, under the previous criteria, providing that the fully packaged case is received at Head Office by Tuesday 14th June, 2011.

Please refer to section 18 of the Residential Lending Guide for all interest only criteria.

21/04/2011 - New Secure E-mail Service

To further improve our on-line service, we have launched a new facility which allows you to contact us and send documents through our secure e-mail service. Full details and a link to send us a secure e-mail can be found on the 'Contact Us' page. Please use this new facility to obtain application updates and to send us any documents securely. This will help us to process enquiries and case updates as quickly as possible.

Please ensure that secure e-mail is always sent to lbssecurecomms@leedsbuildingsociety.co.uk. All e-mails relating to new or ongoing Leeds Building Society mortgage applications must be sent to this address and must always quote the mortgage application/account number in the Subject line.

15/02/2011 - Changes To Log In Page For Intermediaries

The log in page for intermediaries, headed 'Terms of Use', has been amended to reflect changes to the mortgage application process. Please familiarise yourself with the changes, which will affect all new mortgage applications received from Monday 21st February 2011 onwards.

04/02/2011 - Product Withdrawals

Please note the 3 and 5 year fixed rate mortgage products will be withdrawn at close of business today (04/02/2011) and the Society will not accept any applications made after this time. Replacement products will be announced shortly.

28/01/2011 - Changes to the UK Residential Lending Criteria

A number of changes to the current policy have been agreed. Find out more »

11/01/2011 - Reminder for Solicitors - Dematerialisation & Electronic Discharges

The Society has introduced dematerialisation for specific cases (find out more ») and are now using the Electronic Discharge messaging process with the Land Registry.

15/12/2010 - News for Solicitors (re: Mortgage Redemptions)

Improvement to the Society's Discharge process:  With immediate effect, for residential registered properties in England/Wales, the Society is now using the Land Registry's Electronic Discharge service (or ED's) for removing charges, which will improve the efficiency of the discharge process. This new development has been implemented in conjunction with the dematerialisation of deeds announced on 1/12/2010.

06/12/2010 - Shared Ownership Criteria

Please click on the link to view our current criteria for Shared Ownership applications. Cases not meeting this criteria will not be accepted. View our current shared ownership criteria (PDF) »

01/12/2010 - Breaking news for Solicitors

The CML is re-launching its Lenders Handbook today and is taking the opportunity to introduce a range of improvements to the service. www.cml.org.uk/cml/publications/newsandviews/79/288

25/11/2010 - Latest Conditions for Buy to Let Mortgages

The current conditions that will be added to all buy to let mortgage offers are available to download. View the Buy to Let conditions for mortgage offer document (PDF) »

16/11/2010 - Breaking News for Solicitors

The Society is introducing dematerialisation for specific cases. Click for further information »

15/11/2010 - Planned Maintenance Work

Due to planned maintenance work, the online application area of our website will be unavailable between 3am and 5pm on Sunday 21st November. We would like to apologise for any inconvenience this may cause.

14/10/2010 - Changes to Guarantor Lending Criteria

Following a review of the Society’s guarantor lending criteria, Management has made a number of changes to the criteria; the key changes are outlined below:

Guarantor Key Policy Changes

• The guarantee amount must cover the total loan amount;
• The guarantor's income (less existing credit commitments) must be sufficient to support the total mortgage balance requested plus any outstanding mortgage balance the guarantor may already have;
• The applicant is expected to be able to afford the mortgage payment on his/her own within a reasonable period (e.g. five years).

Notes: The changes will be effective from close of play 13th October 2010 and apply to all areas of lending (primary and additional). Current guarantor applications in the pipeline will be considered under the previous criteria, providing that the fully packaged case is received at Head Office by Wednesday 20th October 2010.

13/08/2010 - Important Change to Self-employed Criteria

The income multiplier will be applied to the average of the last 3 years’ net profit figure, or other income provided, only if a steady progression in turnover and profit is reflected.

3 Years’ Accounts Not Available

If 3 years’ accounts are not available due to the length of trading, then the average of 2 years’ net profit figure, plus a satisfactory projection or Accountants Certificate showing this information may be acceptable. In such cases, 100% of the projection will be taken into account, provided the accounts reflect an improving position.

Cases where the LTV does not exceed 80% and only 1 full year’s accounts are available may be considered. The average of the 1 years’ net profit figure after tax, and up to 100% of the projection may acceptable, providing that the accounts reflect an improving position. These cases should be submitted to Head Office for preliminary consideration with full supporting accounts. The LTV in these cases will be limited to 80%.

10/08/2010 - 10 Digit Customer Number

Following the recent security changes you will be asked to input a 10 digit customer number when logging in. However your 7 digit customer number will still allow you to access the system so you should continue to use this number.

16/07/2010 - New Self Build Mortgage Product

Leeds Building Society have launched a new Self Build mortgage, please contact your Intermediary Account manager for full details. Find your nearest Intermediary account manager »

01/06/2010 - Intermediary Panel for Key Relationships

Please note that the Society has formed an Intermediary panel for Key Relationships, and only those on the panel will receive enhanced procuration fees as agreed in writing between the Relationship and the Society. For all other relationships, the Society will pay a standard procuration fee of 0.20%. For further information, please contact Phil Coombes, Head of Intermediary sales

29/04/2010 - Guidance re Self Employed Applicants

For self-employed applicants demonstrating a reduction or fluctuation in net profits over the last 3 years (i.e. anything other than an improving position) an explanation must be provided in the additional information section so that the application can be fully assessed by an underwriter.

22/02/2010 - Changes to the Lending Criteria

The Residential Lending Guide has been updated to provide further clarification in a number of areas. Read more »

04/02/2010 - Changes to the Interest Only Lending Criteria

Some changes have been made to the interest only lending criteria, which is detailed in section 18 of the Residential Lending Guide. Read more »