mortgage adviser insisting on signed company accou

mortgage adviser insisting on signed company accounts

Didn't find your answer?

A husband/wife are applying for a mortgage with Barclays We act for their limited company and prepare their personal tax returns. The mortgage adviser is insisting on, in addition to three years’ SA302s for both directors, which we have provided with a covering letter on our headed paper, signed copies of the company accounts for the last three years. The accounts already carry the ACCA accountant’s report with our firm’s name and address. I have explained that company accounts are not personally signed by a representative of the accountants, and also that the balance sheet numbers can be checked against the accounts filed at Companies House, but they continue to insist.

I have also pointed to the Council of Mortgage Lenders advice on appropriate documentation for lending decisions.

How would Aweb members respond?

Thanks for comments.

Replies (29)

Please login or register to join the discussion.

ALISK
By atleastisoundknowledgable...
19th Sep 2018 08:45

I’d just sign them (in the name of the firm) and be done with it. Life’s too short.

Thanks (6)
By ireallyshouldknowthisbut
19th Sep 2018 09:00

Personally Id e-sign the PDF's I have on file and email to the client to add their signature to send onto the broker.

arguing with the broker is likely to just end up with a client who will blame you if they don't get their borrowing.

Thanks (2)
By johngroganjga
19th Sep 2018 09:14

Do they want the accountants' report signed, or the balance sheet signed by a director on behalf of the board?

Thanks (0)
Replying to johngroganjga:
avatar
By cbp99
19th Sep 2018 09:35

They want "the company accounts signed by" me.
This request has come via the client. The mortgage adviser has not contacted me directly.

Thanks (0)
Replying to cbp99:
avatar
By the_fishmonger
21st Sep 2018 13:45

If it's anything like the mortgage adviser one of my clients is currently (ab)using, they don't even phone the client. Everything done by email/text.

Then, via chinese whispers, they expect the client to pass on the correct details of what the lender requires 'this time' . This while knowing full well the client hasn't as much of a clue about *quantum mechanics as they do accounts and mortgages.

I don't know how these people ever get a mortgage for their clients and how they consider this an equitable way to operate!

* obviously one of our much efteemed colleagues on AWeb will have a quantum physicist but just swap quantum mechanics for ballet

Thanks (0)
avatar
By Cloudcounter
19th Sep 2018 10:15

Personally I wouldn't have wasted time asking the question, just sent signed copies as requested. Could probably have been done in the time taken to type out the first paragraph.

Thanks (3)
Replying to Cloudcounter:
avatar
By cbp99
19th Sep 2018 10:22

Quicker probably, but I was interested in responses, as it is a request I have never seen before, and seems OTT.

Thanks (0)
Red Leader
By Red Leader
19th Sep 2018 10:53

It is a pointless request by the lender. On the other hand, one can't really object to a request to sign the accountants report.

I've had to do this for a lender, though in that case I signed the single report page, scanned it and then emailed it. Bag of sh.1te.

Thanks (0)
avatar
By Wanderer
19th Sep 2018 12:12

I once had to add an accountant's report to a set of accounts & sign it for a mortgage application ............................... for myself!

Lender operative just couldn't get the irony of what was being requested.

Thanks (1)
Replying to Wanderer:
ALISK
By atleastisoundknowledgable...
19th Sep 2018 18:16

I can beat that. A few years ago I had to certify my own tax return.

Thanks (1)
PJ
By paulgrca.net
19th Sep 2018 13:00

Why will you not sign the accounts! Seems rather OTT to post a question on AW!

Thanks (1)
avatar
By paulwakefield1
19th Sep 2018 13:05

Are they asking you to sign the accounts themselves (as if a director) or the report?

I would obviously sign a report or as a form of "certify a true copy.." but I certainly wouldn't sign the accounts themselves.

Thanks (0)
Replying to paulwakefield1:
avatar
By cbp99
19th Sep 2018 13:58

Accountants cert

Thanks (0)
Jennifer Adams
By Jennifer Adams
19th Sep 2018 13:10

This is very common now. Let me guess... Santander or Barclays or Halifax?

Thanks (1)
Replying to Jennifer Adams:
avatar
By cbp99
19th Sep 2018 13:57

Well guessed, Barclays

Thanks (0)
Replying to cbp99:
ALISK
By atleastisoundknowledgable...
19th Sep 2018 18:13

cbp99 wrote:

Well guessed, Barclays

Was in the OP ...!

Thanks (2)
Oaklea
By Chris.Mann
19th Sep 2018 15:43

An ever recurring oxymoron; mortgage adviser.

One could appreciate the situation if there was just a tad of consistency.

Thanks (0)
By kenny achampong
20th Sep 2018 13:50

What's really annoying is after they receive the accounts signed by the client, they slow everything down by asking for a copy signed by the accountant, so you sign then, send them off. And then come back later to say they have both been rejected because they need one copy of the accounts signed by both the client and the accountant.

I know it's all just moronic box ticking, but surely they need to sometimes employ somebody that has some intelligence, or just use their brains a tiny amount would help .

Thanks (0)
Replying to kenny achampong:
avatar
By Mr_awol
31st May 2020 20:37

kenny achampong wrote:

What's really annoying is after they receive the accounts signed by the client, they slow everything down by asking for a copy signed by the accountant, so you sign then, send them off. And then come back later to say they have both been rejected because they need one copy of the accounts signed by both the client and the accountant.

I know it's all just moronic box ticking, but surely they need to sometimes employ somebody that has some intelligence, or just use their brains a tiny amount would help .

Surely you wouldn’t print them off, sign them, and send them to the mortgage advisor without getting the client to sign them too?

I don’t think much of mortgage advisors either but if you have ever don’t that then I think the advisor in question is entitled to flip your comments on the accountant and suggest that “surely they need to sometimes employ somebody that has some intelligence, or just use their brains a tiny amount would help”

Thanks (0)
avatar
By cbp99
20th Sep 2018 13:51

Thanks for all comments. For the record, I ended up signing the accountant's report with "for and on behalf of" above my firm's name. We will see if they are happy with that or whether perhaps I used the wrong colour ink.

Thanks (0)
By SteveHa
20th Sep 2018 14:02

Holy carp. OP and 18 replies to get to the point of a 2 second signature. Nice use of time, there.

Thanks (1)
Replying to SteveHa:
David Ross
By davidross
21st Sep 2018 09:57

Yes but dumb s*** does aggravate the hell out of sensible people. If we never push back, these idiots just continue to gum up the works of commerce.

I recently used the 'switch' service to migrate from Metro bank to NatWest. No attempt by Metro to check that the transfer of £5000 was legitimate but after the event they have written to say that if I want to get copy statements "we need to confirm your details" which would involve a phone call or a visit to one of their "stores". Door, Horse, Bolted.

Thanks (1)
avatar
By Michael C Feltham
21st Sep 2018 10:42

Mortgage Adviser = Mortgage Broker!

And usually, for hefty fees!

Personally I am sick and tired at having to provide free CPD sessions for these clowns: had a recent letter ref a very good and long-term client (I have been acting for him and his business now for over 30 years...) where the Finance Broker (For a particular type of Finance House, demanded "AUDITED Account copies, yada yada yada...): I had to slowly, in single syllable words, explain, about Audit Exemption, chosen by a MAJORITY of Ltd liability Cos registered and live in the UK (circa 90%); and the realities of Micro-Enterprise accounts and so on.

And I thought to be a finance Broker/Mortgage Adviser, one had to have taken certain exams and passed etc?

THE only financiers who tend still to demand "Audited Accounts" when the company borrows development etc funding, are banks: with, guess what? Barclays Bank plc leading the hunt!

Insofar as the OP's question, then I would have simply expanded the Accountant's Report, to include certification; and if already filed at Co's House, whack in a set of "Amending Accounts": job done and a nice little extra fee earner, too!

Thanks (1)
Replying to Michael C Feltham:
By turchyna582
05th Jun 2020 16:16

What is wrong with these people? They do not understand accounts, tax, or indeed filing requirements (HMRC or CRO). They exist only to earn their fee for introducing business to lenders who often also do not know the rules.
Your point about SME's Michael, (typically those who file Micro Accounts) - are 'spot on! They are under absolutely no obligation whatsoever to engage any Accountant -either external or employed. They can produce their own Accounts, do the filing (CRO and HMRC), and the Accounts will not include any Accountant's Report/Certificate, let alone an Audit Report.

Thanks (0)
avatar
By Ben Alligin
21st Sep 2018 11:55

I always recommend changing IFA or mortgage lender; surprisingly enough the problem rapidly disappears at this point in the madness.

No wonder we had a financial crash in 2008 with these idiots in charge of lending!

Thanks (0)
avatar
By djokhoo
21st Sep 2018 19:11

Before signing the accouts, you should have requested from the client -the mortgager's list of items required for the mortgage.
By signing the company's report and the accountants' report, have you placed yourself in any possible legal situation that can occur in the foreseeable future?
and
Is there any conflict of interest that arises (between your firm and the directors) by declaring the accounts of the company to be 'true & fair' as stated by the Companies Act 2006 since you have now signed them
and you have also signed the accountants' report, so is there another conflict since they have engage your services for preparing accounts only and not declaring accounts to be 'true & fair' (see your Engagement letter)

Thanks (0)
Replying to djokhoo:
avatar
By Mr_awol
31st May 2020 20:40

Dafuq you on about?

Thanks (0)
avatar
By Mr_awol
31st May 2020 20:00

Surely the main reason we don’t sign them is because nobody cares and we can’t be bothered.

I always say to clients that if they, the bank, or anyone else need a signed copy we will sign it but otherwise we don’t. I’ve had a handful back to sign but it’s less than one a year.

If you’re not careful you’ll put more energy into not signing it than you would put in just signing the thing.

What are your reasons not to? Is it just the principle that it’s mortgage advisor who probably doesn’t have a clue and who is certainly beneath you?

Thanks (1)
avatar
By JD
05th Jun 2020 12:11

You could of course send the Mortgage Broker a letter of engagement, AML information request and anticipated fee request, with signature provided on payment. Use a templated email for speed and time saving

When they know it will cost them, it is surprising how silly requests like this, arising from the IFA unwillingness (or being plan lazy) to take the time to understand properly what dividends, salary or drawings are, suddenly disappear.

Thanks (0)