Are your mortgage advisers fully independent?

Yes. Lloyds Independent Financial Services is whole-of-market and independent, regulated by the Financial Conduct Authority (FCA 628264) to source mortgages across 90+ UK lenders.

Where are Lloyds Independent Financial Services located?

Our registered office is located at 19 The Old Orchard, Farnham, Surrey, GU9 8UR. We provide face-to-face mortgage advice in Farnham and remote consultations across Surrey and Hampshire.

How do independent mortgage brokers find deals?

We search criteria across major high-street banks and specialist UK lenders, matching your exact income, trading history, and credit profile to the most competitive products available.

Mortgage Glossary

The mortgage jargon you're likely to come across, explained in plain English.

A

Affordability assessment: The checks a lender makes on your income, regular spending and credit commitments to decide how much it will lend. Lenders also test whether you could still afford the payments if interest rates rose.; Income multiple Stress test
Agreement in principle (AIP): Also called: Decision in principle, DIP, Mortgage in principle; A statement from a lender that it would probably lend you a certain amount, based on basic details and usually a credit check. It is not a guaranteed offer, but estate agents often ask for one before accepting an offer on a property.; Mortgage offer Affordability assessment
APRC (Annual Percentage Rate of Charge): A standard measure of the total cost of a mortgage over its full term, including the interest rate, the rate you revert to after any deal ends, and most fees, shown as a yearly percentage. It helps compare mortgages on a like-for-like basis.; Standard variable rate (SVR)Arrangement fee
Arrangement fee: Also called: Product fee, Booking fee, Completion fee; A fee charged by the lender for setting up a mortgage product. It can often be paid upfront or added to the loan, although adding it means paying interest on it. A lower rate with a high fee is not always cheaper overall.; APRC (Annual Percentage Rate of Charge)

B

Bank of England base rate: Also called: Bank Rate, Interest rate; The interest rate set by the Bank of England's Monetary Policy Committee. Tracker mortgages move directly with it, and it influences the rates lenders charge on new fixed and variable mortgages.; See current average rates → Tracker mortgage Standard variable rate (SVR)
Buy-to-let mortgage: Also called: BTL; A mortgage for buying a property to rent out. Lenders mainly assess the expected rent rather than your personal income, usually requiring a larger deposit than a residential mortgage.; Buy-to-let mortgages → Interest cover ratio (ICR)Rental yield Limited company buy-to-let

C

Capital and interest repayment: Also called: Repayment mortgage; A mortgage where each monthly payment covers the interest and repays part of the amount borrowed, so the loan is fully repaid by the end of the term if all payments are made.; Repayment calculator → Interest-only mortgage Mortgage term
Completion: The day the purchase money is transferred, the sale becomes final and you get the keys. For a remortgage, it is the day the new lender pays off the old one.; Exchange of contracts
Conveyancer: Also called: Solicitor, Conveyancing; A solicitor or licensed conveyancer who handles the legal side of buying, selling or remortgaging a property, including searches, contracts, transferring the money and registering the change of ownership.; Searches Exchange of contracts
Credit file and credit score: Also called: Credit report, Credit history; Your credit file records how you have managed borrowing and bills. Lenders use it, along with their own scoring, to decide whether to lend. Each lender scores differently, so being declined by one does not mean you will be declined by all.; Agreement in principle (AIP)

D

Deposit: The part of the purchase price you pay from your own money (or a gift). A larger deposit means a lower loan-to-value, which usually gives access to lower interest rates.; Loan-to-value (LTV)Gifted deposit

E

Early repayment charge (ERC): Also called: Redemption penalty, Early redemption charge; A fee charged if you repay all or part of your mortgage above the allowed overpayment limit, or switch lender, during a fixed or discounted deal period. It is often a percentage of the balance that reduces each year.; Early repayment charge calculator → Overpayment Fixed-rate mortgage
Equity: The share of your home's value that you own outright: its market value minus the mortgage and any other loans secured on it.; Loan-to-value (LTV)Remortgage
Equity release: Also called: Lifetime mortgage; Ways for homeowners, usually aged 55 or over, to release money from their home without moving. The most common type is a lifetime mortgage, where interest usually rolls up and the loan is repaid when the home is sold, typically after death or a move into long-term care. It reduces the value of your estate and can affect means-tested benefits.; Lifetime mortgages → Equity
Exchange of contracts: The point at which the buyer and seller sign binding contracts and the buyer usually pays a deposit. After exchange, pulling out normally means losing that deposit.; Completion Mortgage offer

F

Fixed-rate mortgage: Also called: Fix; A mortgage where the interest rate stays the same for a set period, commonly two or five years, so your payments do not change during that time. When the fixed period ends, the rate usually moves to the lender's standard variable rate unless you arrange a new deal.; Standard variable rate (SVR)Product transfer Early repayment charge (ERC)
Freehold and leasehold: With freehold you own the building and the land it stands on. With leasehold you own the right to live in the property for a set number of years and may pay ground rent and service charges. Lenders look closely at the remaining lease length, and short leases can be harder to mortgage.; Conveyancer

G

Gifted deposit: Money given towards a deposit, usually by a family member, with no expectation of repayment. Lenders normally need a signed gift letter and evidence of where the money came from.; Deposit
Guarantor and joint borrower sole proprietor: Also called: JBSP, Joint borrower sole proprietor; Ways a family member can help you borrow more. A guarantor promises to cover payments if you cannot. With joint borrower sole proprietor, they are named on the mortgage and their income counts, but not on the property's ownership.; Affordability assessment

H

Help to Buy equity loan: A government scheme in England, now closed to new applicants, that lent part of the price of a new-build home. Existing equity loans are interest-free for the first five years, after which fees apply, and are repaid as a share of the home's value when you sell or repay.; Remortgage

I

Income multiple: Also called: Loan to income, LTI; A rough guide to how much a lender might lend, expressed as a multiple of your income, often around four to four and a half times. The actual amount depends on the lender's full affordability assessment, and some lenders go higher for certain professions or incomes.; Affordability assessment
Interest cover ratio (ICR): Also called: Rental cover, Rental stress test; For buy-to-let, the rule lenders use to check the rent covers the mortgage interest with a margin. For example, a lender may want the rent to be at least 125% or 145% of the interest calculated at a set "stress" rate. It largely decides how much you can borrow.; Buy-to-let calculator → Buy-to-let mortgage Stress test
Interest-only mortgage: A mortgage where the monthly payments cover only the interest, so the amount borrowed is still owed at the end of the term. Lenders require a credible plan to repay it, such as savings, investments or selling another property. It is common for buy-to-let.; Capital and interest repayment Retirement interest-only mortgage (RIO)

L

Limited company buy-to-let: Also called: SPV; Buying rental property through a limited company, often a special purpose vehicle (SPV) set up only to hold property. It can change how rental profits are taxed, and lenders usually ask directors for personal guarantees. Take tax advice before deciding.; Buy-to-let mortgage
Loan-to-value (LTV): The size of the mortgage as a percentage of the property's value. Borrowing £270,000 on a £300,000 home is 90% LTV. Lenders price in bands (such as 60%, 75%, 85%, 90% and 95%), and lower LTVs usually get lower rates.; Deposit Equity

M

Mortgage offer: The formal, binding offer from a lender after it has fully assessed your application and the property. Offers are valid for a set period, often three to six months.; Agreement in principle (AIP)Mortgage valuation
Mortgage term: How long the mortgage is set up to run, often 25 to 35 years. A longer term lowers the monthly payment but increases the total interest paid.; Capital and interest repayment
Mortgage valuation: Also called: Down valuation; The lender's check that the property is worth enough to lend against. If it values the property below the price agreed (a "down valuation"), the lender may lend less, so you may need a bigger deposit or to renegotiate.; Survey Loan-to-value (LTV)

O

Offset mortgage: A mortgage linked to savings accounts with the same lender. Instead of earning interest, your savings reduce the balance you are charged interest on, while staying available to you.; Overpayment
Overpayment: Paying more than your required monthly payment, either regularly or as a lump sum. It reduces the balance and the interest you pay. Most deals allow up to around 10% a year without an early repayment charge.; Overpayment calculator → Early repayment charge (ERC)

P

Porting: Moving your existing mortgage deal to a new property when you move home, which can avoid an early repayment charge. The lender reassesses you and the new property, and any extra borrowing may be on a different rate.; Moving home → Early repayment charge (ERC)
Product transfer: Switching to a new deal with your existing lender when your current one ends. It is often quicker, with little or no paperwork, but it is worth comparing it with what other lenders offer.; Remortgages and product transfers → Remortgage Standard variable rate (SVR)

R

Remortgage: Moving your mortgage to a new lender without moving home, usually to get a better rate when a deal ends, to borrow more, or to change the term or type of mortgage.; Remortgages → Product transfer Early repayment charge (ERC)
Rental yield: The yearly rent from a property as a percentage of its value or purchase price. Gross yield uses the rent before costs; net yield takes off costs such as letting fees, maintenance, insurance and mortgage interest.; Buy-to-let calculator → Buy-to-let mortgage Interest cover ratio (ICR)
Retirement interest-only mortgage (RIO): An interest-only mortgage for older borrowers where you pay the interest each month and the loan is repaid when the property is sold, usually after death or a move into long-term care. Lenders check you can afford the interest from retirement income.; Interest-only mortgage Equity release

S

Searches: Checks your conveyancer makes with the local council and other bodies about things that could affect the property, such as planning, roads, drainage and flood risk.; Conveyancer
Shared ownership: Buying a share of a home, typically 10% to 75%, from a housing association and paying rent on the rest. You can usually buy more shares later, known as staircasing.; Deposit
Stamp duty: Also called: SDLT, LBTT, LTT, Land Transaction Tax, Land and Buildings Transaction Tax; Tax paid when you buy property above certain prices: Stamp Duty Land Tax in England and Northern Ireland, Land and Buildings Transaction Tax in Scotland and Land Transaction Tax in Wales. First-time buyers may pay less, and buyers of additional properties usually pay more.; Stamp duty calculator →
Standard variable rate (SVR): Also called: Reversion rate, Follow-on rate; The lender's own variable rate, which most mortgages move to when a fixed or discounted deal ends. It is usually much higher than deal rates, so it is worth arranging a new deal before your current one ends.; Deal ending checker → Fixed-rate mortgage Product transfer Remortgage
Stress test: A check of whether you could still afford your mortgage if interest rates rose. For buy-to-let, it is the higher notional rate used in the interest cover ratio calculation.; Affordability assessment Interest cover ratio (ICR)
Survey: An inspection of a property's condition that you arrange for your own information, such as a RICS Level 2 (HomeBuyer) or Level 3 (Building Survey). It is separate from the lender's valuation and goes into more detail.; Mortgage valuation

T

Tracker mortgage: A variable-rate mortgage that follows the Bank of England base rate plus a set margin, so payments rise and fall when the base rate changes. Some trackers have a minimum rate, called a collar.; Bank of England base rate Fixed-rate mortgage

Still not sure what something means?

Our independent advisers are happy to explain anything about your mortgage, without jargon.

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