The Mortgage Works Conveyancing Panel Information

We can't comment specifically on The Mortgage Works. Many major lenders are now introducing ‘file auditing’ as standard practice in relation to completed matters. This raises questions of confidentiality in relation to the borrower and the purpose to which the results of such audits will be put. The starting point is to remember that the file does not belong to your firm, it belongs to the ‘client’. But, of course, we will normally have two clients – the buyer and the lender - and you will owe a duty of confidentiality to each. So basically, you have to separate the file and just send the lender the parts solely relating to themselves. But, of course, as this will basically be correspondence with the lender, mortgage instructions etc.

Check with your COLP but a firm should not send the complete conveyancing file without the buyer client’s express consent – and if she is in dispute with the lender he is hardly likely to agree. However, if the lender can establish a prima facie case of fraud, then you may be under an obligation to disclose the whole file.

The emerging convention is that lenders are including an authority to disclose in loan application forms to counter this problem. Mortgage Express v Sawali, [2010] EWHC 3054 (Ch) indicates that such provisions are valid. Please click here for more information about that case.

You might expect The Mortgage Works via their Part 2 conditions to address this but the Handbook makes no mention on time frames. Do look at the Terms of The Mortgage Works’s Conveyancing Panel Appointment that you are bound by. For a number of banks these Terms include a clause along the following lines: ‘To keep us informed of the reasons for any delay in your being able to send the title deeds and documents we require to us within 3 months of completion or evidence of proof of registration within that period. (We will send reminders if the deeds have not been received but will not acknowledge receipt of deeds’ It is important to keep The Mortgage Works informed. Law firms can often compound their problems by not communicating with the lender when there is a delay or problem.

The majority of lenders do not operate a specific buy to let conveyancing panel but we are hearing about a few that do. We do not know what the position is with The Mortgage Works as at todays date. If you're about to receive instructions from a client on a buy to let purchase with a mortgage from The Mortgage Works we suggest that you call The Mortgage Works to check the position.

The Law Society’s CQS accreditation is no guarantee to lender panel acceptance. Nevertheless the Council of Mortgage Lenders have indicated that it is likely to become a prerequisite for firms wishing to remain on their panels. A number of Lenders now use the Conveyancing Quality Scheme accreditation as the starting point for Panel membership such as Astra Mortgages.

You would be advised to get in touch with The Mortgage Works to obtain standard documents. The The Council of Mortgage Lenders Handbook has an express section for banks to reveal who to contact to obtain standard documents. The Mortgage Works in their Part 2’s state: Always remember to quote your The Mortgage Works solicitors panel reference.