Frequently asked questions relating to Clydesdale Bank transfer of equity

• My ex are looking to get a conveyancer lined up for a refinance with Clydesdale Bank. Transfer of Equity conveyancing is also necessaryI have used the different comparison based websites and the results are from all over UK. How necessary is it to instruct a lawyer local to us?
• I recently bought a flat without my partner's name on the ownership paperwork. My conveyancing solicitor claimed it is due to the fact that she was not in the loan offer with Clydesdale Bank. I'm wondering is there any way that I can put her name on the title?
• What is the process for having someone removed from the title documents to a property where the home loan is with Clydesdale Bank
• What if my application doesn't meet Clydesdale Bank lending criteria for a transfer of equity?
• Do I need legal representation when doing a transfer of equity where the mortgage is to remain with Clydesdale Bank?
• I already have a home loan with Clydesdale Bank and am maintaining my current mortgaging but wish to have it in my name alone so my former wife won't be on it any longer. How long can it take for the forms to be processed?
• My Clydesdale Bank mortgage is in joint names with ex, he has agreed to come off the deeds and put the house in my name alone. Clydesdale Bank have consented to the transfer of equity to me solely. Will Clydesdale Bank call my company to confirm my salary?

Sample of questions in a conveyancing solicitor questionnaire concerning a Clydesdale Bank Transfer of Equity

Information to consider in conjunction with the above Clydesdale Bank transfer of equity Advice :

Tax and Legal

There may be various tax and legal implications when transferring equity for your property. You should always seek the advice of a solicitor on the Clydesdale Bank conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold properties

If your property is leasehold, provisions in the lease may require that you have a license to do so from the freeholder. If such conditions are not strictly observed you may be in violation of the lease. This could trigger the freeholder taking enforcement action against you.

Indemnity Insurance

If the transfer of equity is made pursuant to an Order of the Court, then Insolvency Indemnity Insurance is not required. In other cases, where a property is being transferred at less than market value between joint owners, an Insolvency Act Indemnity Insurance policy may be required. This is something that that your conveyancing solicitor will check with Clydesdale Bank This is because, if the outgoing party is made bankrupt in the future, their Trustee in Bankruptcy could argue that they had transferred the property in order to avoid their creditors and apply to the Court to have the transaction set aside. If this happens, it could affect your lender or a future buyer from you as they would lose the property and the lender may not get back what they have loaned to you. The Insolvency Act Indemnity Insurance policy only protects lenders such as Clydesdale Bank or future buyers from you. If there is no mortgage and the outgoing owner is made bankrupt, there is a risk to you that you could lose your home if the transfer is set aside. The cost of the Insolvency Act Indemnity Insurance policy is dependent on the valuation of the property at the time of completion of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a Clydesdale Bank Mortgage

When it comes to preparing the the Land Registry documents your conveyancer should in the ‘consideration’ panel choose the first option, if consideration is given; otherwise ignore the consideration panel altogether.

If Clydesdale Bank is joining in the transfer to release someone from liability, put the release in the ‘additional provisions’ panel if someone is entering into a covenant relating to the charge, place it in the ‘additional provisions’ panel stamp duty land tax is not payable when there is no chargeable consideration for the transfer (Schedule 3, paragraph 1 of the Finance Act 2003). In the case of a transfer subject to a charge (even if the transfer is by way of gift) or if a property has been transferred for no value and there is an associated discharge, HMRC would view this as an assumption of an existing debt by the purchaser (Schedule 4, paragraph 8 of the Finance Act 2003) and stamp duty land tax may be payable if you wish you may state in the ‘additional provisions’ panel that ‘This transfer is made subject to a charge dated… in favour of…’

On form AP1, your lawyer should describe the transfer as ‘transfer of equity’ to assist Land Registry staff.

Content on this webpage is for general information and only applies to England and Wales. It does not constitute advice for members of the public who should contact their lawyer,mortgage broker, insurer and accountant for specific advice relating to transfer of equity. Whilst we endeavour to keep the information up to date and correct we do not make any representation or warranties of any kind about its completeness, accuracy, reliability or suitability. Any reliance you place on the information is strictly at your own risk. Lexsure will not be liable for any direct or indirect loss or damage arising out of or in connection with the use of this information.