Our full lending criteria

All applicants must be a UK resident at the time of application and have at least 2 years UK residential address history.*

We’ll lend to: 

• A European Economic Area (EEA) national who is resident in the UK and at the time of application has permanent legal right of residence in the UK, pre-settled status or settled status; or
• A Non-EEA national resident in the UK who has obtained indefinite leave to remain or has more than 12 months on their visa at the time of application.

And, for joint applications only one applicant needs to meet our visa criteria.

We’ll allow:

• Up to 95% LTV lending for EEA and non-EEA applicants*

*Subject to successfully passing a credit check.

For any strong cases (up to 90% LTV) outside of this criteria which you feel have a good rationale for lending please speak to your local BDM.

If lending is past the age of 70 or the applicant's intended retirement age (whichever comes first), the following applies:

1. If retirement is more than 10 years away, and the term does not extend beyond age 75 then we will use current income for affordability purposes, as long as the customer can prove they are paying into a private pension (payslip, bank statement or pension statement accepted). 

2. In all other circumstances affordability is reliant on a projected pension income, the applicant:

• Must have been contributing to the pension for a minimum of 10 years; and 
• Should provide the latest annual statement or projected pension income. 

This will be used for the affordability calculation. 

For joint borrowers, where the term extends beyond the oldest borrower’s 76th birthday, the underwriter must be satisfied that the loan is still affordable following the death of either borrower. If you would like to discuss this further, please contact your local BDM or the team on 0330 333 4021.

Residential and buy to let mortgage and re-mortgage offers are valid for a 180 day period (6 months), except in the case of a new build purchase, where offers are valid for 240 days (8 months).

Residential applications

• We accept residential applications from applicants who are aged 18 or over. 
• All residential mortgages should be repaid before the eldest applicant’s 76th birthday. Underwriters will consider repayment before the eldest applicant’s 85th birthday.
• If any element of the mortgage loan is interest only, the mortgage will need to be repaid before the eldest applicant’s 70th birthday. 
• For joint borrowers, where the term extends beyond the oldest borrower’s 76th birthday, the underwriter must be satisfied that the loan is still affordable following the death of either borrower. 
   

Buy to let mortgage applications including holiday lets

• Applicants should be 21 years old or older. 
• All buy to let / holiday let mortgages should be repaid before the eldest applicant’s 85th birthday.
   

Retired applicants 

If lending is past the age of 70 or the applicant's intended retirement age (whichever comes first), the following applies:

• If retirement is more than 10 years away, and the term does not extend beyond age 75 then we will use current income for affordability purposes, as long as the customer can prove they are paying into a private pension (payslip, bank statement or pension statement accepted). 
• In all other circumstances affordability is reliant on a projected pension income. 

For joint borrowers, where the term extends beyond the oldest borrower’s 76th birthday, the underwriter must be satisfied that the loan is still affordable following the death of either borrower. 

For more, search for lending into retirement.

The Mortgage Market Review (MMR) allows us to relax affordability assessment rules for borrowers who already have a mortgage with us but do not meet the stricter affordability and criteria requirements which came in with MMR.

Existing Principality borrowers, who

• Want to vary the terms of their mortgage, for example a term extension, where no additional borrowing is required, will not be subject to the affordability requirements or other requirements under MMR. 
• Need additional borrowing or wish to vary the terms of their mortgage including a further advance, will need to satisfy the affordability requirements under MMR for the total borrowings and, in the case of interest only loans, provide a suitable repayment strategy. 

If you are helping an existing Principality borrower and need help please get in touch.

The maximum number of applicants is 4.

We will consider all applicants incomes.

All 4 applicants must live at the property.