TSB stops accepting foreign income mortgages

by Aaron Strutt

Nov 19 2015

TSB is the latest bank to stop accepting income from borrowers who are paid in a foreign currency.

A host of mortgage lenders have recently stopped accepting applicants who are paid in a foreign income, including Halifax, Scottish Widows, BM Solutions and Clydesdale Bank.

The lenders are changing their policies in preparation for the European Mortgage Credit Directive’s introduction on 21 March 2016. The new rules create more work as banks and building societies will need to monitor currency fluctuations more closely and advise customers.

Aaron Strutt, product manager at Trinity Financial, says: "There are still a limited amount of lenders left in this market. They include NatWest, Santander, Market Harborough Building Society and Investec."

The credit directive has two key aims: to provide a high level of consumer protection and create greater cross-border competition for mortgages across the European Union.

For help to secure a foreign income mortgage, call Trinity on 020 7016 0790.