HSBC softens self-employed criteria

HSBC softens self-employed criteria

 

The bank previously requested this information to compare how businesses were performing before the pandemic to their trading levels now by asking for the latest 60 days of statements. 

HSBC will now ask for just the latest three months’ bank statements and two years of accounts. 

The bank will still deduct grants and loan repayments from an applicant’s net profit to determine affordability.  

A HSBC spokesperson: “In order to support self-employed mortgage applicants we have updated our policy, making it easier and quicker for them to get a mortgage with us, whilst ensuring we have the information needed to make an appropriate affordability assessment.” 

HSBC is the latest lender to relax its rules for self-employed borrowers and is among Santander and Bluestone.