Section B·Second chargeConsultation draft v0.1
Product route choice
The file must show why a second charge (or bridge) was chosen over the other ways of raising the same money.
5 routes comparedWhat the file must record for each route
Further advance from existing lender
Whether it was requested or checked, and the lender's answer or criteria reason
Remortgage
Early repayment charges on the first charge, the rate the client would lose, and the total-cost comparison
Unsecured loan
Whether the amount and credit profile made it viable, and why it was not used
A one-line statement such as "second charge suits client" does not meet the standard. The comparison must use the client's actual figures.
The Specialist Lending File Standard is not legal or compliance advice and does not replace FCA rules. Information for professional intermediaries, not advice. Comment on the draft.