Mortgage Charter
Reliance Bank commits to the principles outlined in the Mortgage Charter that was agreed between the Chancellor of the Exchequer and Mortgage Industry bodies which was announced on 23rd June 2023.
To assist mortgage borrowers who may be struggling due to the recent interest rate rises and overall cost of living increases seen in the past 12 months Reliance Bank has signed the Mortgage Charter.
We understand the pressures on our customers finances. For that reason, our approach to their situation is to help provide a breathing space to resolve a short term issue or consider a suitable strategy to provide a good outcome for the customer if issues are more long term.
The main points are:
• From 26th June a borrower will not be forced to leave their home without their consent unless in exceptional circumstances, in less than a year from their first missed payment
• With effect from 10th July customers approaching the end of a fixed rate deal will have the chance to lock in a deal up to six months ahead. They will also be able to manage their new deal and request a better like for like deal with their lender right up until their new term starts, if one is available.
• A new deal between lenders, the FCA and the government permitting customers who are up to date with their payments to:
o Switch to interest-only payments for six months or
o extend their mortgage term to reduce their monthly payments and give customers the option to revert to their original term within 6 months by contacting their lender
These options can be taken by customers who are up to date with their payments without a new affordability check or affecting their credit score as any arrangement will not be shared with the Credit Reference Agencies. Similar arrangements were put in place during COVID 19 Pandemic when lenders were asked for support
Customers who are currently in arrears should continue to work with their lender for the support that they need.
In addition, Reliance Bank has agreed:
• Anyone worried about their mortgage repayments can contact Reliance Bank for help and guidance, without any impact on their credit file and we would encourage you to contact your bank who are there to help.
• Support for customers who are up-to-date with payments to switch to a new mortgage deal at the end of their existing fixed rate deal without another affordability check.
• Reliance Bank will provide well-timed information to help customers plan ahead should their current rate be due to end.
• Reliance Bank will offer tailored support for anyone struggling and deploy highly trained staff to help customers. This could mean extending their term to reduce their payments, offering a switch to interest only payments, but also a range of other options like a temporary payment deferral or part interest-part repayment. The right option will depend on the customer’s circumstances.
Gareth Byrne, Head of Mortgages for Reliance Bank Ltd said: “I am really pleased that we are supporting the Mortgage Charter so that we can provide further help if customers are worried about their mortgage payments. This helps to demonstrate our continued commitment to deliver a positive social impact.”
To discuss anything mortgage related, and to ask for the password to the RBL Intermediary pages email us at: mortgages@reliancebankltd.com
To register with us call our Mortgage Team on: 0207 398 5422, and select option 1 or 2:
• Option 1 – New Business and applications currently in progress
• Option 2 – Existing Mortgage Enquiries
If you’re finding it difficult to manage your money at the moment. Visit our “Having payment difficulties” page for more information and tips to help you:
Why choose Reliance Bank for mortgages?
• We offer a wide range of competitive mortgages – fair and flexible lending options for Key Workers, Shared Ownership, First Time Buyers, remortgagers and home movers
• We are a manual underwriting lender
• We credit search – not credit score
• We are transparent with our SLAs
• We carry out SOFT footprint for AIPs and HARD footprint for all Full Mortgage Applications
• You’ll get direct access to our Mortgage team and all cases are assigned to a mortgage underwriter and closely managed from AIP to completion
• All our AIPs are valid for 4 months from date of issue and
• All our Formal Mortgage Offers are valid for 6 months from date of issue
For more information on Reliance Bank, please visit: https://www.reliancebankltd.com/intermediary
About Reliance Bank
Lending across England and Wales, the bank offers a full range of simple and flexible mortgages for First Time buyers, home movers and customers who want to re-mortgage. In addition, they also offer Key Worker Mortgages and Shared Ownership Mortgages.
Mortgages with a Social Conscience
Reliance Bank know that money has the power to change lives for the better. In the right hands, it can be a force for good. That’s why our mortgage lending is designed to have a positive social impact.
Helping good people do great things with money
Reliance Bank has been at the forefront of socially responsible banking since 1890, when we were formed as the bank of The Salvation Army.
Reliance Bank are proud of its shareholder The Salvation Army International who help people whose lives have been affected by emergencies, disasters, poverty and social inequality.
