Lloyds Conveyancing Panel Information

Each lender has different criteria. We do not hold specific requirements relating to the questions raised as part of the application to be on the Lloyds conveyancing panel. Typically lenders need to have full knowledge of a firm including (but not limited to):

conveyancer client account(s) details

List of all Licensed Conveyancers within firm

Whether the firm has ever accepted instructions in respect of property clubs and investment schemes

and Conveyancing Quality Scheme

Full career history for each solicitor including admission date to the relevant Law Society

List of fee-earners who are foreign qualified

List of all those staff who work within the conveyancing team

Full career history for each licensed conveyancer including registration date with Council of Licensed Conveyancers

Full disciplinary history for each conveyancing solicitor

SRA or equivalent regulator registration number where applicable

In operating open conveyancing panels, lenders such as Lloyds face a number of fraud and negligence risks. While there is no authoritative source of data on lender exposure to solicitor–led mortgage fraud, anecdotal evidence from lenders indicates exposure on individual cases are often in the millions of pounds. The National Fraud Authority estimates that £1bn per year is lost in mortgage -related frauds in total, which is seen as a conservative estimate.

These risks are exacerbated by the lack of a comprehensive set of data on all conveyancing firms (which, for the avoidance of doubt, would include solicitors and conveyancers across the UK) which is in a readily accessible format. Currently, lenders vet the suitability of their panel firms against a variety of disparate, incomplete and potentially inaccurate sets of information. One top 5 lender pointed out to us that it is almost impossible to track individual fraudsters who move from firm to firm, especially where they are no longer registered or no longer hold a valid practicing certificate.

Lloyds and other lenders are in varying stages of reviewing their approach to vetting firms on their conveyancing panels, to ensure their ongoing exposure to unsuitable firms is reduced. There is also regulatory impetus on lenders to ensure that they have satisfactory oversight of their third party panels, including a due-diligence process.

The key here is the caveat ‘more onerous’. You have to try and take an objective view as to whether the Terms relating to the Lloyds conveyancing appointment (or other terms for other lenders) are ‘more onerous’ than the UK Finance Lenders’ Handbook Conditions. Depending on the Terms you may need to provide details on your renewal form. If you are in any doubt please call your broker to discuss before completing the answer.

Lloyds approved panel lawyers are bound by the Part II instructions relating to Transfer of Equity. These are set out in Section 16.3. First, your firm must approve the form of Transfer of Equity (which should be in the Land Registry's standard form) and, if Lloyds require, the deed of covenant on their behalf. You will need to check Lloyds CML Part 2 conditions to see if Lloyds have standard forms of transfer and deed of covenant. Please note that this requirement can change from one transaction to another so do check! Second,When drafting or approving a transfer, you should bear in mind that: although the transfer should state that it is subject to the mortgage (identified by date and parties), it need give no details of the terms of the mortgage; the transfer need not state the amount of the mortgage debt. If it does, the figure should include both principal and interest at the date of completion, which you must check ; there should be no statement that all interest has been paid to date. Further obligations are set out in the UK Finance Lenders’ Handbook which have to be followed by all firms on the Lloyds conveyancing panel

Your insurance brokers are your best port of call to address this question. The chances are that on the basis that you have not been removed for fraud or negligence reasons that there will be little or no impact. The main reason why a firm would be removed off of a lender panel is due to low volume of conveyancing cases although there may be a number of criteria for Lloyds solicitor panel membership. Please remember that it is always important that you complete your insurance forms accurately.

You would be advised to contact Lloyds to obtain standard documents. The CML Handbook contains an individual inquiry for banks to reveal who to contact to obtain standard documents. Lloyds in their Part 2’s state: It helps to quote your Lloyds solicitors panel reference.