For the use of mortgage intermediaries and other professionals only. HALIFAX INTERMEDIARIES ONLINE PRODUCT TRANSFERS Intermediary User Guide February 2018
HALIFAX ONLINE PRODUCT TRANSFERS SELECT A TILE FOR MORE INFORMATION WHY PRODUCT TRANSFER? NEW BENEFITS 8-STEP PROCESS NEW SALES PROCESS ASSESSMENT CRITERIA ONLINE APPLICATION CLIENT BUDGET ASSESSMENT CLIENT FACT-FIND KEY MESSAGES MORTGAGE ENQUIRY FULL CLIENT AFFORDABILITY STRAIGHT THROUGH PROCESS FURTHER INFORMATION
WHY PRODUCT TRANSFER? New benefits 1 All Product Transfer applications can now be submitted via Halifax Intermediaries Online ONLINE PRODUCT TRANSFERS... A QUICK AND EASY WAY TO SUBMIT YOUR CLIENT S APPLICATION 2 3 Online client fact-find questions to help you submit the application right first time Instant online product selection, illustration and offer for qualifying mortgages 4 Simplified process for applications where there s a change to the client s needs or current circumstances
8-STEP PROCESS 8-STEPS TO OUR ONLINE PRODUCT TRANSFER PROCESS \ START COMPLETE LOG-IN TO ONLINE SYSTEM ACCESS MORTGAGE ENQUIRY CONFIRM INTERMEDIARY DETAIL CONFIRM CLIENT DETAIL 1 2 3 4 8 7 6 5 CLIENT AGREEMENT + COMPLETION GENERATE QUOTE + ILLUSTRATION REVIEW AVAILABLE PRODUCTS CARRY OUT CLIENT FACT-FIND THANK YOU 3.75% 2.60% 2.90%
ONLINE APPLICATION 1 Login to Halifax Intermediaries Online 2 Select Create Product Transfer or Mortgage Enquiry
MORTGAGE ENQUIRY
MORTGAGE ENQUIRY (1/5) By confirming you have your clients agreement to view their current mortgage details, confirms to us that you have discussed this retrieval with them and they are happy for you to view this information. 1 Account Search You can search for your client s mortgage account information using either their 10/ roll number or by keying the 14 digit format You must confirm you have the client's agreement to access their mortgage information before proceeding
MORTGAGE ENQUIRY (2/5) 10501798231000 1 Trinity Road, Halifax, HX1 2GR Mr John Example 10501798231000 2 Account Details Mortgage Enquiry will display a summary of the accounts held by your client The mortgage account information is displayed over 4 tabs: Account Details, Valuation Details, Payment Information and Repayment Vehicles
MORTGAGE ENQUIRY (3/5) Account Details Valuation Details Payment Information Repayment Vehicles
MORTGAGE ENQUIRY (4/5) 10501798231000 3 Sub Account Details Mortgage information can be viewed by selecting individual sub accounts listed in the Summary of Sub Accounts
MORTGAGE ENQUIRY (5/5) 10501798231000 Early repayment charge (ERC) information can be viewed per sub account You are now ready to begin a Product Transfer for your client Select Create Product Transfer to begin 2.0 1902.86 N/A 31/01/2017
NEW SALES PROCESS
NEW SALES PROCESS (1/4) Payment route information must be confirmed before proceeding Intermediary contact details will be pre-populated by the system
NEW SALES PROCESS (2/4) You must confirm you have the client s permission to proceed with a product transfer application on their behalf By clicking Yes you confirm you have the customer(s) agreement to proceed with a Product Transfer application submitted on their behalf. Level of service and any fees you may charge are captured here so that they are detailed in the illustration later
NEW SALES PROCESS (3/4) JOHN The client s personal details will be prepopulated by the system and cannot be edited as part of the application DAVID EXAMPLE Please review the information to check the details are correct 01902 123456
NEW SALES PROCESS (4/4) If any of the information is incorrect, the client should contact Halifax directly to update their information Contact details can be found in the Contact Us section of our intermediary website www.halifaxintermediaries.co. uk JOHN EXAMPLE 1 TRINITY ROAD HALIFAX HX1 2GR
CLIENT FACT-FIND
CLIENT FACT-FIND (1/2) Capital and interest repayment mortgage Does the customer wish to change the structure of their loan or is an external appraisal of the property required? To assess the client's needs and circumstances, a total of 5 fact-find questions will be asked for capital and interest repayment mortgages If the answer is No to all of the questions, the application will qualify for the straight through process If any of the questions are answered Yes an element of assessment and processing will be required before the application can be completed
CLIENT FACT-FIND (2/2) Interest only mortgage For interest only mortgages, the client fact-find questions are slightly different to the questions asked for capital and interest repayment mortgages Interest only mortgages don t qualify for the straight through process because we need to ensure end of term repayment plans are in place before the application can complete. In some scenarios we may request to see evidence of the client s repayment plans Additional affordability assessment may also be required depending on the client s needs and circumstances
STRAIGHT THROUGH PROCESS
STRAIGHT THROUGH PROCESS (1/8) The Mortgage Details screen shows the client s existing sub accounts New mortgage products can be chosen for any sub account that is no longer tied-in by an early repayment charge (ERC) ABC123 3.49 ABC123 3.49 ABC123 3.49 ABC123 3.49 ABC123 3.49 ABC123 3.49 31/01/2017 31/01/2017 31/01/2017
STRAIGHT THROUGH PROCESS (2/8) To view the available products, select a sub account and hit Search If the product code is already known, this can be keyed into the Available Products search box
STRAIGHT THROUGH PROCESS (3/8) Hover over the product code to view the product details Upon selection of a product you can opt to add the product fee to the mortgage
STRAIGHT THROUGH PROCESS (4/8) When a new product has been chosen, a quote and mortgage illustration can be produced Multiple quotes and illustrations can be produced, these will be listed in the Manage Quotes screen ABC123 3.49 ABC123 3.49
STRAIGHT THROUGH PROCESS (5/8) ABC123 3.49 ABC123 3.49
STRAIGHT THROUGH PROCESS (6/8) If a product fee is applicable and the client wishes to pay this upfront, a Fee Details screen will allow the payment to be taken
STRAIGHT THROUGH PROCESS (7/8) Mr John Example By clicking Complete you are confirming you have the customer(s) agreement to proceed with the Product Transfer on their behalf. By selecting Complete the new rate will take effect Applications completed using the straight through process can be submitted up until the last day of the month The client will benefit from the new rate from the first of the following month
STRAIGHT THROUGH PROCESS (8/8) Mr John Example The final screen in the straight through process will confirm we have accepted the application and states the date the new rate will take effect No further action is required, the product transfer process is now complete The product transfer Offer document will be made available for you to view in the online Document Store and a copy will be posted out directly to your client
CLIENT BUDGET ASSESSMENT
CLIENT BUDGET ASSESSMENT (1/6) The client budget assessment process will ask for a maximum monthly budget affordable for the client We will not request evidence of this budget, however it will be assessed against the client s new monthly payment based on their chosen product
CLIENT BUDGET ASSESSMENT (2/6) Repayment vehicles are acceptable based on our current interest only mortgage lending policy Please review the lending criteria held on our intermediary website www.halifax-intermediaries.co.uk for full details of our interest only and repayment vehicle policy
CLIENT BUDGET ASSESSMENT (3/6) The Existing Sub Account Details screen allows you to specify the new product required The sub account numbers are detailed in Mortgage Enquiry
CLIENT BUDGET ASSESSMENT (4/6) The New Sub Account screen allows you to split an existing sub account This would allow you to assign two different products to an existing sub account This screen is not intended for additional borrowing. Combined product transfer and further advance applications must be submitted using the further advance application process
CLIENT BUDGET ASSESSMENT (5/6) MR JOHN DAVID EXAMPLE Income information is not required as part of the client budget assessment Updated client retirement information is required The final screen before submission asks if an external appraisal is required
CLIENT BUDGET ASSESSMENT (6/6) Mr John Example 105017982310-00 The Decision screen will confirm the application has been submitted successfully This is the final screen in the process for both client budget assessment and full affordability applications You should now carry out any outstanding tasks detailed in the Next Steps such as submitting any required documents using the Halifax Document Upload Service
FULL CLIENT AFFORDABILITY
FULL CLIENT AFFORDABILITY (1/4) MR JOHN DAVID EXAMPLE As part of a full affordability client assessment we require details of the client s income Full details of our acceptable income criteria is held on our intermediary website www.halifaxintermediaries.co. uk
FULL CLIENT AFFORDABILITY (2/4) MR JOHN DAVID EXAMPLE Evidence of income will be required following application submission so that it can be verified Full details of our acceptable income criteria and the evidence we require is held on our intermediary website www.halifaxintermediaries.co. uk MRS JANE LOUISE EXAMPLE
FULL CLIENT AFFORDABILITY (3/4) As part of the full affordability application process, the client s personal finance information is required and adverse credit history questions are asked
FULL CLIENT AFFORDABILITY (4/4) Financial commitment information is requested so that an affordability assessment can be carried out for the client
ASSESSMENT CRITERIA
ASSESSMENT STRAIGHT- THROUGH CRITERIA PROCESS (1/4) When selecting Create Product Transfer from Mortgage Enquiry we will check the client s mortgage to ensure they are eligible for a product transfer If the client is ineligible a message will be displayed confirming the action required before a product transfer application can take place Mr John Example
ASSESSMENT STRAIGHT- THROUGH CRITERIA PROCESS (2/4) How are capital and interest repayment mortgages impacted by the client fact find? 1 2 3 4 5 1 Yes Full client affordability 2 Yes Full client affordability 3 Yes Full client affordability 4 Yes Client budget assessment 5 Yes Client budget assessment If the answer is No to all of the fact find questions the application will progress via the straight through process
ASSESSMENT STRAIGHT- THROUGH CRITERIA PROCESS (3/4) How are interest only mortgages impacted by the client fact find? 1 2 3 4 1 Yes Client budget assessment / No Full client affordability 2 Yes Full client affordability / No Client budget assessment 3 Yes Full client affordability / No Client budget assessment 4 Yes Full client affordability / No Client budget assessment Interest only mortgage product transfers cannot progress via the straight through process in any scenario
ASSESSMENT STRAIGHT- THROUGH CRITERIA PROCESS ASSESSMENT (4/4) CRITERIA Client need or circumstance Change repayment type to interest only (or part and part) Term reduction Options available Acceptable, subject to satisfactory repayment vehicles based on Halifax lending criteria Acceptable, subject to affordability assessment 1 Capital and interest repayment mortgage Term increase Acceptable to a maximum term of 40 years. Subject to affordability assessment if term extends into retirement Client need or circumstance Options available The client can afford to change the full mortgage balance to capital repayment Repayment type can be changed to capital repayment at client request, but this is not a condition of the product transfer 2 Interest only with repayment plan shortfall The client can afford to change some of the mortgage balance to capital repayment The client cannot afford to change the repayment type to capital repayment Repayment type can be changed to capital repayment for the affordable amount at client request, but this is not a condition of the product transfer Product transfer proceeds on an interest only basis Client need or circumstance Options available The client can afford to reduce the mortgage term Term can be reduced if the client requests, but this is not a condition of the product transfer 3 Lending into retirement (LIR) The client cannot afford to reduce the mortgage term Product transfer proceeds based on the current term
KEY MESSAGES KEY MESSAGES IT S EASIER TO DO BUSINESS WITH ONLINE PRODUCT TRANSFERS 1 We re committed to intermediaries and will continue to improve our intermediary processes 2 We keep things simple - our product transfer process improvements align with our main mortgage process 3 No change to lending criteria we re simply improving the application experience for you and your clients 4 We ve been supporting you by paying procuration fees on product transfer applications for 10 years
FURTHER INFORMATION For further help and support please contact your local Business Development Manager Alternatively, visit our intermediary website www.halifax-intermediaries.co.uk Halifax is a division of Bank of Scotland plc, Registered in Scotland No. SC327000. Registered Office: The Mound, Edinburgh EH1 1YZ. Bank of Scotland plc is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 169628.