Holiday Cottage Mortgages Limited (referred to as “HCM” or “Us” or “We”) is focussed on providing a customer centric experience in the arrangement of holiday let mortgages and non-investment insurance.
Who regulates us
The Financial Conduct Authority (FCA) is the independent watchdog that regulates financial services.
Holiday Cottage Mortgages Limited is an appointed representative of Julian Harris Mortgages Limited (Registered in England & Wales no. 3927189), Julian Harris House, Musgrove, Ashford, Kent, TN23 7UN, which is authorised and regulated by the Financial Conduct Authority. Julian Harris Mortgages Limited FCA Register number is 304155.
Julian Harris Mortgages Limited’s permitted business is advising on and arranging Mortgages and Non-Investment insurance contracts.
You can check this on the FCA’s Register by visiting the FCA’s website –https://register.fca.org or by contacting the FCA on 0800 111 6768.
Regulated and unregulated mortgages
Most of the time, the holiday let mortgages that we arrange will be considered to be business mortgages, like a buy to let mortgage, and will not fall under the FCA’s umbrella of protection, therefore the provision of our service does not hold this additional level of consumer protection, unlike for residential mortgages.
We will however always act in your best interests when providing you with advice and source lenders from the market that are suitable to the requirements you disclose to us. When the preferred lender has been recommended, we will provide you with information about the product to ensure you understand your responsibilities and commitments to the lender, before proceeding.
If you are in any doubt as to the consequences of this commercial buy to let or holiday let not being regulated then we recommend you seek independent legal advice. You should seek separate legal and tax advice regarding your responsibilities of owning this type of property. Please note our service does not consider the suitability of you purchasing a buy to let property for business purposes.
However, on some occasions, the mortgage we arrange for you will be a regulated mortgage contract, and our advice to you, the information we disclose and any mortgage offer you receive is subject to FCA regulation and you will have the full protection of the Financial Services Act 2012 in our dealings with you.
Any additional terms that relate specifically to regulated mortgage contracts is included at the end of these terms, entitled: Terms Specific for Regulated Mortgages.
If your chosen mortgage turns out to be a regulated mortgage, then your advisor will make you aware of this at the time so you understand the correct level of protection that you have.
Whose products do we offer?
We offer mortgages from a restricted market of first charge loans only and not deals only available direct through a lender.
If, having assessed your needs, the recommended lender is not available to us, then we will make you aware of this at the time and you will be free to pursue a direct application with that lender yourself.
We will carry out a ‘fair analysis’ of the market in order to identify a suitable product. This means that we will compare products from a sufficiently large range of insurance providers for Non Investment Life Insurance, Critical Illness Cover, Income Protection, Accident Sickness & Unemployment and Home Contents Insurance.
Alternative options for finance
We don’t offer advice on second charge mortgages, bridging loans or unsecured lending. Where customers have a need for these types of loans or advice we’ll not be able to assist and may refer you to a specialist broker.
Which advisory service will we provide you with?
We will advise and make a recommendation for you after we have assessed your needs.
We will advise and make a recommendation for you after we have assessed your needs for Non Investment Life Assurance, Critical Illness Cover, Income Protection, Accident Sickness & Unemployment & Home Content Insurance.
What will you have to pay us for this service?
A standard fee of £1,195 will be payable by you following the issue of your mortgage offer by the lender. This fee is non-refundable, even if you do not take up the mortgage offer, or, if your mortgage does not complete for any reason. We will also be paid commission from the lender.
If your application is more complex that standard and requires more work by us, then we may charge you a higher fee. Examples of complex applications include (but are not limited to):
- Complex limited company
- Portfolio landlords with 4 or more properties
- More than 2 applicants per application
- Credit or citizenship issues
- Multiple properties on one title
If there is a change to the standard fee for our services, then we will let you know during the initial assessment process and we will ask you to sign our fee variation letter, which stipulates the associated terms and conditions.
You will receive a key facts illustration when considering a particular mortgage, which will tell you about any fees relating to it.
We always source a mortgage to fit our client’s requirements and not by any fees that the lender may pay us or any other person for introducing you to them.
No fee for arranging your Non Investment Life Assurance, Critical Illness Cover, Income Protection, Accident Sickness & Unemployment & Home Content Insurance. We will be paid commission based on the premium for any policy arranged.
You will receive a quotation which will tell you about any other fees relating to any particular insurance policy.
We may, prior to acting on your behalf, require production of adequate evidence of your identity/residence. You hereby agree to provide such evidence on request, or for us to obtain this via electronic means.
Our aim is to provide you with a first class professional and confidential service. Should a complaint arise, in the first instance you should contact our Compliance Officer at our office address and they will deal with the complaint in accordance with its procedures. Your letter will be acknowledged within 5 days, and you will then be asked for the full details concerning your complaint.
Having received this, you will be given an update to the progress of your complaint in accordance with the complaints process.
Our mortgage intermediary services
We offer mortgage advice and brokerage services. This means we:
- Explain all parts of the mortgage journey to you and the value we’ll add to your journey.
- Get to know you, and understand your needs, preferences and circumstances.
- Explore your needs fully and raise any contradictions which we’ll discuss to clearly establish your needs and priorities.
- Advise and recommend products that are appropriate for you based on the above.
- Assist you with the process to secure your mortgage product.
Our ancillary services
We may offer you a referral to a provider of life insurance, critical/serious illness, income protection, accident/sickness and unemployment products.
We may also provide you with referrals to arrange holiday lettings insurance cover, or regular buildings and contents insurance. We may also offer you referral to a solicitor or conveyancer. We may also offer you introductions to holiday letting agents to help you market and manage the property.
On our public website, there is an Affordability Calculator which allows customers to explore how much they might be able to borrow in different situations. Underlying calculations are based on the affordability criteria used by many of the leading holiday let lenders. Any results provided by the calculator are an estimate only and are not a guarantee of value or that a mortgage offer will be issued and should not be relied upon when making your financial decisions.
Registering an account with us
Our service is currently only available for properties that are registered in the UK.
Our platform allows you to set up a free customer account to enable you to access and use our web platform.
We require you to register with a unique email address and a password. Please ensure that you keep this information safe at all times and never reveal it to anyone else.
If you discover, or suspect, that anyone other than you has access or knows your login details you must promptly change your password. If you need any help regarding the security of your account please call us on the contact details listed at the top of this document.
We have the right to suspend or disable your account for any reason – including security reasons or if you have breached this contract. This may be done on a temporary or permanent basis and at our sole discretion.
The mortgage application journey
We will only provide mortgage advice and make recommendations to you based on the personal information, preferences and circumstances that you provide to us. It is your responsibility to ensure that the information you provide is accurate, honest and a true reflection of your circumstances. Failure to disclose relevant information, or change of circumstances, to a provider may result in your chosen plan or product being invalidated. We strongly recommend that any information provided is checked thoroughly prior to submission. We may need to see evidence of it to support your application to the lender.
In order to advise you on the best mortgage for your circumstances we require you to complete various information sections:
- Get started section: where you tell us about the number of applicants and answer certain key pre-screening questions and undertake an initial assessment.
- My situation section: where you tell us all of your personal and financial circumstances, including your personal outgoings, expenditures, assets and liabilities.
- My property section: where you tell us all about the property you wish to mortgage.
- My mortgage section: where you tell us all about your mortgage preferences and future plans and engage in a discussion with one of our mortgage experts.
- My application section: where we show you the evidence of our research and provide a mortgage illustration that we have selected for you, together with other key documents that we ask you to take time to review.
- Application status: where you can quickly check exactly where you are in the process.
During these steps you will be requested to upload documentation to support your application. Some examples of documents we will need are: your passport, bank statements and payslips. These will need to be formatted in accordance with our Information Checklist. By providing your documents to us you authorise us to review them. Where necessary, we may request that you provide better quality scans, prints or alternative documentation.
Only when we have approved all of your documentation and completed all steps, will we be in a position to submit your mortgage application to your chosen lender.
Authorisation to act on your behalf
By engaging with our team to provide you with our services, you agree that we may act on your behalf in liaising with the mortgage provider and any other third parties involved in the application process.
Our authority to act on your behalf in accordance with these terms can be terminated at any time by either side in writing, without prior notice and without penalty. This will be effective from the date the notification is received. However, if transactions already initiated remain outstanding, the notification will only be affected once these have been completed.
The mortgage application
We cannot guarantee that your application will be considered or accepted by a mortgage provider and we’ll have no responsibility for ensuring that the mortgage is entered into or fulfilled.
Other than helping you to get a great mortgage deal, we won’t be involved in your purchase process. You will be responsible for providing all necessary details of the mortgage product and mortgage provider to your solicitor or conveyancing practitioner.
You may withdraw your mortgage application at any time before your mortgage has been entered by contacting us using the details provided above. Please note any non-refundable lender fees already paid may not be refunded if you cancel an application.
As an intermediary, we never own the products you buy or transact through us. All purchases will therefore be registered in the name(s) of the client(s) and we’ll forward to you all documents showing ownership of your purchases, as soon as it is practicable after we receive them. In some cases, the product provider will send the documentation directly to you.
Terminating your mortgage application
In certain circumstances, we may refuse to proceed with an application. These situations are explained below. For example, if:
- Your chosen product is no longer available and an alternative product cannot be sourced/provided.
- There has been a pricing or product description error by the lender and an alternative product cannot be sourced/provided.
- Your required documentation cannot be verified.
- We believe that you are unlikely to be suitable for a mortgage product that we can provide.
- Your application has been declined by the mortgage provider.
- We have reason to believe that information that you have provided to us is inaccurate or misleading.
- We have reason to believe that you have made a high volume of applications and/or have repeatedly applied and withdrawn your applications.
- You fail our Know Your Customer (KYC), Anti Money Laundering (AML) or Counter Terrorist Financing (CTF) due diligence processes.
- The application appears to be for purposes that do not fit within the scope of our service (including as set out in these terms).
- The application appears to be for an address outside of the United Kingdom.
We’ll contact you to let you know if we’re able to process your application.
Storing your mortgage information
We will periodically ask you to ensure your information is up to date so that we can continue to provide you with the best ongoing service.
Ongoing mortgage monitoring
Following completion of your mortgage, we may automatically compare your current mortgage deal with other mortgage deals on the market to make sure you are on the best package for your circumstances.
If we do this and we believe that there are other mortgages available that will better suit your needs, then we will notify you, normally by email. For example, we may make a market assessment and contact you towards the end of a fixed rate or discount rate period on your current mortgage to make sure you have current market information in time for any possible re-mortgage.
If your personal information stored on our platform falls out of date, then so will our ability to accurately assess any new mortgage opportunities for you. As noted above, we will periodically remind you to keep your details up to date.
Our right to withdraw or suspend the mortgage intermediary services
We may withdraw or suspend our mortgage intermediary services at any time and for any reason. If you are registered with us, we will contact you to let you know that we are going to suspend or stop providing the service. We will endeavour to let you know at least two weeks in advance. In some circumstances, however, we may need to withdraw or suspend our mortgage intermediary services without notice – for example if that reason is beyond our reasonable control.
Access to our website
We will regularly review our website and will do our best to ensure that it is up to date. However, if you notice that there is content that is inaccurate please let us know at firstname.lastname@example.org.
We cannot guarantee that our site, or any content on it, will always be available or be uninterrupted. We do however have contingency plans in place and will try and keep any down time to a minimum.
You must not use the website in any way that is unlawful or fraudulent. If we suspect you are doing so we reserve the right to suspend or close your account without notice.
Our intellectual property
We are the owner of our website and all of the content published on it. This includes copyright works and trademarks, which may or may not be registered.
You may print off copies of any page(s) from our site for your personal use but you must not modify any of the materials you have printed off or downloaded in any way, and you must not use any illustrations, photographs, graphics, or video or audio sequences separately from any accompanying text except for your own use.
The content on our website is provided for information only. It is not intended to amount to advice on which you should rely. You must obtain appropriate separate advice (whether provided by us or through another person) before making mortgage decisions.
If you are entering information on behalf of another person, such as a joint applicant, then you may only do so if you have their express permission to act on their behalf.
If any provision of these Terms is found to be invalid or unenforceable in whole or in part, the validity of the other provisions of these Terms and the remainder of the provision in question will not be affected.
These Terms supersede all proposals, prior discussions and representations (whether oral or written) between us, relating to our appointment as your agent in connection with the arranging and administration of your mortgage. These Terms constitute an offer by us to act on your behalf in the arranging and administration of your mortgage. In the absence of any specific acceptance communicated to us by you (whether verbal or written) you are deemed to accept our offer to act for you on the basis of these Terms, by conduct, upon your instructing us to arrange, renew or otherwise act for you in connection with the services.
We may assign or transfer this contract or our obligations under it to another entity. This will not affect your rights or our obligations to you under this contract.
These Terms shall be governed by the laws of England and Wales and you agree that any dispute (including any non-contractual dispute) arising out of your agreement to use our services shall be subject to the exclusive jurisdiction of the English courts. The language in which this contract will be interpreted, and in which all communications will be conducted, will be English. The Contracts (Rights of Third Parties) Act 1999 will not apply to these Terms of Business.
We may change these Terms and our site at any time, so please check this page from time to time.
Terms Specific for Regulated Mortgages and Insurance
How can I register a complaint?
For regulated mortgages and insurance, in addition to contacting us directly, if you wish to register a complaint with our Principal, please contact us:
In writing: Write to The Compliance Officer, Julian Harris House, Musgrove, Ashford, Kent TN23 7UN.
By phone: Telephone 01233 661960.
If you cannot settle your complaint with us, you may be entitled to refer it to the Financial Ombudsman Service.
Are we covered by the financial services compensation scheme (FSCS)?
Regulated mortgage contracts are covered by the FSCS.
You may be entitled to compensation from the scheme if we cannot meet our obligations. This depends on the type of business and the circumstances of the claim.
Mortgage advising and arranging is covered up to a maximum limit of £85,000.
Insurance advising and arranging is covered for 90% of the claim with no upper limit.
Further information about compensation scheme arrangements is available from the FSCS.
1. Instructions from you
The Company normally asks You to give written instructions in order to avoid possible disputes. The Company will, however, accept Your oral instructions, provided they are confirmed in writing.
The Company may prior to acting on Your behalf require production of adequate evidence of Your identity/residence. You hereby agree to provide such evidence on request or for us to obtain this via electronic means.
The Company’s authority to act on Your behalf may be terminated at any time without penalty and without prejudice to the completion of transactions already initiated, by either party giving immediate notice in writing to that effect to the other. Transactions in progress at the time of termination shall be processed to completion as if the termination had not taken place, unless specifically aborted by you in writing.
2. Conflicting interests
The Company offers impartial advice but occasions can arise when it, or one of its Advisers/Appointed Representatives or another client, will have some form of interest in business, which the Company is transacting for You. If this happens, or the Company becomes aware that its interests or those of one of its Advisers/Appointed Representatives or other clients, conflict with Your interests, the Company will inform You in writing and will obtain Your consent before carrying out Your instructions.
3. Fees and charges
Arranging a mortgage or other home finance product for You may involve Arrangement, Booking, and Valuation fees and the payment of commission (Procuration fee) to the Company by the relevant lender/product provider. You should refer to the Key Facts Illustration for details of all costs and charges associated with any recommended mortgage.
We will be remunerated in accordance with the section entitled “WHAT WILL YOU HAVE TO PAY US FOR THIS SERVICE?” and we will re-confirm this with you during the initial assessment process. Our scope of services is confirmed in this document. All fees and commissions applicable will be disclosed to You in the Suitability Report.
4. Client money
THE COMPANY DOES NOT HANDLE CLIENT MONEY OR ASSETS. The Company never accepts cheques made out to the Company/Advisers/Appointed Representatives (unless it is in settlement of Broker Fees, which have been invoiced) or handles cash. All cheques for premiums or any mortgage/home finance/insurance related payments must be made payable to the product provider/lender/insurer.
5. Documentation and information
The Company will forward to You all documents concerning the matters they have arranged for You as soon as practicable after they receive them. Where a number of documents relating to a series of transactions is involved, the Company will normally hold each document until the series is complete, then forward them to You.
The Company may, in appropriate circumstances, place Your mortgage related insurance business through another authorised broker, arrange for You to deal directly with the relevant Insurer, or make special arrangements with a particular Insurer concerning the issue of policies or the handling of claims. In such circumstances, the Company will advise You accordingly.
The Company will also provide You with information relevant to Your mortgage/home finance/insurance needs, covering such items as an explanation of the main repayment methods and the implications of taking out a mortgage. All advice given and recommendations made, including the underlying reasoning will be confirmed to You in a Suitability Report.
It should be noted that it is your duty to report all information that could be considered a material fact in relation to the insurance contract you have proposed. In addition, you should read carefully the policy wording (once received) and familiarise yourself with any further requirements to inform the insurer about a fact that might have an effect on the policy in the future. Failure to disclosure such material facts may render the insurance invalid and will therefore not provide the cover you expect.
6. Complaints, claims and client classification
If You wish to register a complaint or make a claim about the service You have received from the Company, please refer to clause entitled: “How can I register a complaint” above:
The Company’s Complaints Procedure (copy of which is available on request) is without prejudice to the client’s rights to lodge a formal complaint with the Financial Ombudsman Service.
Customers (Clients) to whom these Terms apply are classified under the FCA Rules as “Retail” and “Commercial” customers for General Insurance business. Clients classified as “Commercial” customers will normally have lesser rights to information disclosure, complaints and compensation than those classified as “Retail” customers.
You should note, at all times that,
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE. BUY TO LET (PURE) AND COMMERCIAL MORTGAGES ARE NOT REGULATED BY THE FCA.