Frequently Asked Questions

Here we have some of the more common questions we get asked. If you have a question that you think could help others too, please email your question to us and we will consider it for this section:

Questions

• Why should I use a mortgage broker?
• Will I need to provide proof of income and identity?
• What are 'exclusives'?
• Can Young Finance arrange my insurance?
• How do I apply for a mortgage?
• How long will it take before I get a decision on my mortgage application?
• What is an Agreement in Principal; why do I need one?

Answers

Why should I use a mortgage broker?
We can use our knowledge and expertise to offer you the best mortgage to suit your circumstances from across the whole market - A fee of £350 is chargeable on application and will be refunded when the mortgage completes.

Young Finance is in touch with most of the major lenders on a daily basis and has strong relationships with them. This enables us to provide the most up to the minute information and advice and enables us to ensure that the application process is as smooth as possible.

Will I need to provide proof of income and identity?
Money laundering legislation requires us to establish the identity of each client we deal with at Young Finance. This is normally verification of your name - current passport or driving licence - and address verification, typically a utility bill dated within the last three months for your main residence. Your solicitor will also need to complete these checks.

Other documentation will be required, typically evidence of income; three months bank statements; proof of deposit; repayment vehicle and other potential items depending on the lender.

We will ask you to send us the original documents or certified copies by authorised persons (the Joint Money Laundering Steering Group - JMLSG - requires us to verify that we have seen the originals), but we aim to get your documents back in the post to you the day after we receive them, so you shouldn't be without the originals for more than a few days.

What are 'exclusives'?
Young Finance is an Appointed Representative of Pink Home Loans, one of the largest networks of advisors in the UK. Pink Home Loans' size enables us to offer special mortgage rates from the mainstream lenders which are only available to our customers. From time to time, we have exclusive products that aren't available directly from the lender or from other brokers. This is one of the advantages of using a broker to advise you on your mortgage options rather than going to directly to each lender.

Can Young Finance arrange my insurance?
You will almost always need to arrange some type of insurance when you take out your mortgage. Your lender will often offer you their own insurance, or you can shop around for the best deal from other companies. We have access to a range of insurers with competitive rates and can arrange buildings and contents insurance as well as life cover, critical illness cover and mortgage protection insurance. Ask your adviser about home insurance quotes.

How do I apply for a mortgage?
Once you have decided which mortgage you would like to apply for, we will work with you through the entire process and submit an application on your behalf. We'll take care of all the administration ourselves at our central London Bond Street office and keep you informed about the progress of your application.

How long will it take before I get a decision on my mortgage application?
The time that it takes from submitting an application to knowing what the decision is varies from lender to lender. Typically it depends on the volume of applications that the lender receives and how long it takes for them to carry out the valuation of the property to be mortgaged.

We will liaise with the lender regarding the progress of your application and keep you fully informed every step of the way.

What is an Agreement in Principal; why do I need one?
When you make an application, the lender will first undertake a short assessment of your application and carry out a credit check. Based on that information the lender will either decline the application or offer an 'Agreement in Principal' (AIP).

This AIP is not a guarantee that the lender will lend the amount that you have applied for but is a good guide to their final lending decision, which takes place once they have fully assessed your application.

The AIP will indicate the additional information and documentation that the lender requires and is useful when dealing with estate agents as it helps to confirm your status as a serious buyer that a lender has agreed (at least in principal) to provide a mortgage to.

Your home may be repossessed if you do not keep up repayments on your mortgage.