Frequently asked questions relating to Pepper Money (UK) transfer of equity

• My former husband are looking to get a conveyancing solicitor lined up for a refinance with Pepper Money (UK). Transfer of Equity conveyancing is also requiredI have used the different rating based websites and the results are from all over the country. Do we need to appoint a conveyancing solicitor local to us?
• I got my Decree Absolute in 2010. Foolishly I never got around to change the ownership from both our names to my name alone. I now plan to deal with it and there are no objections. Transfer-of-equity is needed. Pepper Money (UK) is willing to transfer the property and loan in my name (financial checks done). Does my ex need a lawyer?
• Is it sensible to cancel the direct debit for my mortgage with Pepper Money (UK) once a date for my remortgage and transfer of equity has been agreed?
• Two years ago I bought a house without my partner's name on the ownership paperwork. My conveyancer claimed it is due to the fact that she is not in the loan offer with Pepper Money (UK). Is it possible for me to put her name on the deeds?
• What do I do if I am not happy with the conveyancer who undertook our transfer of equity conveyancing?
• I am filling out a Pepper Money (UK) transfer of equity request and have come to the questions regarding defaults etc. I do some debts that I have been paying off over a long period, in fact they have long since disappeared from my credit rating. Am I obliged to declare these?
• Is stamp duty payable when it comes to an transfer of equity with a mortgage with Pepper Money (UK)?

Examples of information requested in a lawyer form concerning a Pepper Money (UK) Transfer of Equity

Important warnings to consider in further to the above Pepper Money (UK) transfer of equity information :

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 Pepper Money (UK) conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold properties

Should the tenure of your property be leasehold, the lease may have a requirement for notices to be served and that you obtain the consent of the landlord. If such conditions are not strictly observed you may be in breach of the lease. This could potentially result in the freeholder taking enforcement action against you.

Indemnity Insurance

If the transfer of equity is made as a result of an Order of the Court, then Insolvency Indemnity Insurance is not required. In other situations, 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 Pepper Money (UK) 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 Pepper Money (UK) 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 varies based on the valuation of the property at the time of completion of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a Pepper Money (UK) Mortgage

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

If Pepper Money (UK) 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 conveyancer should describe the transfer as ‘transfer of equity’ to assist Land Registry staff.

Information provided 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.