View more on these topics

Nationwide U-turn on self-employed

Nationwide has done a U-turn on its unpopular stance on SA302s and now no longer requires a covering letter from HMRC for self-employed income verification.

Lenders have increasingly started to use the self-assessment tax calculation, or SA302 form, to verify income for self-employed borrowers. While paper copies are still available from HMRC, in January, the Revenue announced changes to allow customers to print off the same information as the paper versions directly from its website.

But until now Nationwide required a covering letter alongside the SA302 form. Brokers said its stance was “bizarre” and that it caused delays in the mortgage process.

A spokeswoman says: “We have reviewed our requirements in response to the recent changes by HMRC to the documents they provide for self-employed customers who self-assess. 

“As a result, we can confirm that where applicants self-assess and submit their tax returns online, an HMRC cover letter will no longer be required alongside the online tax calculation forms; instead an online tax year overview is required. The latest two years’ tax calculations will however still be required.

“Additionally our policy on requesting accountant’s certificates has not changed and these remain an acceptable proof.”

Meanwhile, Nationwide has reduced selected two-year trackers by up to 0.25 per cent for existing customers looking for a new deal.

The biggest cuts are to a pair of 85 per cent loan-to-value two-year trackers, which have been cut by 0.25 per cent to 2.24 per cent and 2.64 per cent. The former has a fee of £999 while the latter has no fee.

The mutual has also reduced two 60 per cent LTV two-year trackers, both by 5 basis points. They are available at 1.19 per cent and 1.59 per cent. The former has a £999 fee while the latter has no fee.


Residential transactions suffer 7.9% annual decline

The number of residential property transactions fell by 7.9 per cent year-on-year in February, according to new figures published by HM Revenue & Customs. There were 100,510 transactions in February, compared with 109,100 a year earlier. However, the number of transactions increased by 2.5 per cent on a monthly basis from 98,050 in January. The […]

Pensions - thumbnail

Preparing for the changes to the pensions market

As more and more providers start to reveal their stance on the charge cap and removal of commission and active member discount pricing, we thought it would be worthwhile to look at what these are, and the steps businesses should be taking to prepare for this.


News and expert analysis straight to your inbox

Sign up

Why register with Mortgage Strategy?

Mortgage Strategy continues to be the market-leading B2B mortgage publication in the UK, and provides trusted, independent insight with the aim of helping, promoting and analysing the latest developments for mortgage professionals.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Mortgage Strategy Events
Be the first to hear about our industry leading conferences, awards, webinars and more.

Research and insight
Take part in and see the results of Mortgage Strategy's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now