From 1st July the Council of Mortgage Lenders is integrated into a new trade association, UK Finance. For the time being, all UKF mortgage information will continue to be published on this website, and UKF member-only mortgage information will only be available here.

UK Finance represents around 300 firms in the UK providing credit, banking, markets and payment-related services. The new organisation takes on most of the activities previously carried out by the Asset Based Finance Association, the British Bankers’ Association, the Council of Mortgage Lenders, Financial Fraud Action UK, Payments UK and the UK Cards Association. Please go to www.ukfinance.org.uk for wider content and updates from UK Finance.

Last updated: 6 February 2017

At a glance

  • The mortgage verification scheme opened for lenders to join from 1 September 2011. It is a joint initiative between HMRC and mortgage lenders to combat fraudsters, by the limited exchange of data in cases where mortgage lenders have reasonable suspicion that a mortgage application is fraudulent.
  • The scheme allows lenders to check income information submitted on a mortgage application form against HMRC records, using a secure electronic platform.
  • The lender processes the mortgage application and performs their current fraud checks in the usual way. Following those checks, if the lender is suspicious that some of the information on the application form and or that the supporting proof of income documentation indicates a possible fraud, the lender may refer the application to the HMRC to cross-check against information they hold.
  • Referral is made through completion of an online template, via a secure shared work-space.
  • HMRC will check the information to verify income and respond, either with a 'verified'; 'not verified' or 'info unavailable' response - if this response is provided, HMRC will explain what information is lacking. 
  • Turnaround times are detailed in the Service Level Agreement (SLA) between the lender and HMRC.All lenders are required to put in place systems and controls to prevent fraud as part of their business requirements. This scheme can help assist lenders in detecting and preventing fraud.

CML position

  • The CML has facilitated the introduction and monitoring of this scheme since its inception, and works with HMRC to ensure that the scheme continues to work to the benefit of lenders.

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