FAQs for the HSBC Solicitor Panel from members of the public
Is the fact that my conveyancer is not identified on the HSBC Solicitor panel that there is a problem with the quality of the firm’s conveyancing?
It would not be wise to jump to that conclusion. There are all sorts of perfectly reasonable explanations. A recent report by the solicitors regulator indicated 76% of law firms surveyed had been removed from at least one lender panel. The most common reasons for removal are: (1) lack of transactions (2) the lawyer is a sole practitioner (3) as part of the HSBC panel reduction (4) regulatory contact by SRA (5) accidental removal. If you are concerned you should simply call the firm and ask them why they are no longer on the approved list for HSBC.
Our solicitor has uncovered a legal deficiency with the lease for the apartment we are buying. The seller’s lawyers have put forward defective title insurance as a solution. We are happy with insurance and will cover the costs. Our solicitor has advised that as he is on the HSBC conveyancing panel he must check that the lender is happy with this solution. Are we the client or is HSBC?
The short answer to your last question is that, notwithstanding the potential for a conflict of interest, you and HSBC are the client. A precondition to being on the HSBC approved panel is to comply with the CML Handbook requirements (last updated for this lender on HSBC). The CML Handbook conditions require your lawyer to disclose issues such as defects will the lease so that HSBC can be afforded the opportunity to check with their valuer as to the extent that the value of the property is affected . Should you refuse to allow your lawyer to make the appropriate notification then your lawyer will have no choice but to discontinue acting for you.
Do I have to pop into the offices of the HSBC conveyancing panel solicitor to sign the mortgage deed? If so, I will appoint a lawyer who conducts conveyancing in Manchester
so that I can pop in to their offices when needed.
Whereas this was necessary twenty years ago, most lenders no longer require their conveyancing panel solicitor to witness the borrowers signature. You will still be obliged to provide ID Documents and there are still distinct advantages to using a local solicitor, in your case a conveyancing solicitor in Manchester
.
I am selling my house. Does my solicitor have to be on the HSBC conveyancing panel in order to deal with paying off my mortgage?
Ordinarily, even if your lawyer is not on the HSBC conveyancing panel they can still act for you on your sale. it might be that the lender will not release the original deeds (if applicable and increasingly irrelevant) until after the mortgage is paid off. You should speak to your lawyer directly before you start the process though to ensure that there is no problem as lenders are changing their requirements fairly frequently at the moment.
I previously instructed online solicitors located in Manchester who are on the HSBC solicitor panel. They are now charging me a separate fee of £195 for the legal aspects of the HSBC mortgage. Is this a supplemental conveyancing fee set by HSBC?
Unfortunately, as long as it is in their Terms and Conditions or Quote then yes your solicitors can charge a fee for this. This fee is not set by HSBC but by your lawyers. Some firms on the HSBC will charge an ‘acting for lender’ fee and others do not.
On the whole I have been dissatisfied with the level or service received from my lawyer. Is there a HSBC conveyancing panel complaints department or do I complain directly to the law firm?
There is little point in complaining directly to HSBC. Every solicitor firm and conveyancer must have a complaints procedure. You can get information from the solicitor’s or conveyancer’s website or ask at their office. They must tell you about it if you ask.
The Legal Ombudsman will make sure that your complaint is properly dealt with by the solicitor. It can also advise you how to complain.
If a licensed conveyancer does not have a complaints procedure or will not tell you about it, contact the Council for Licensed Conveyancers (CLC), which will make sure that your complaint is properly dealt with by the conveyancer. Please see below for more information.
It is not clear whether my mortgage offer obliges me to make sure the lease term for the flat is extended prior to the completion date . I have telephoned HSBC on various occasions and was told they are content with the situation and they would lend. My solicitor - who is on the HSBC conveyancing panel- telephoned and was told not they would not lend in accordance with their CML Handbook minimum lease term requirements. I simply dont know who is right
As long as the conveyancer is on the HSBC panel she or he must comply with the CML Handbook requirements for HSBC. Unless your lawyer obtains specific confirmation in writing that HSBC will go ahead your lawyer has no choice but to refrain from exchanging contract and committing you to the purchase. We would suggest that you ask HSBC to contact your lawyer in writing confirming that they will accept the remaining number of years left on the lease.