need to be signed off by a chartered accountant?

inetjonny · 22 March 2010 at 9:20PM

I have a mortgage agreed in principle with Santander. I have provided my accounts for the last 3 years, but they are requesting they be signed off by a chartered accountant. I have a small ltd company and as far as i have been advised my company doesn't turnover enough to need a chartered accountant. i have completed tax returns that have been agreed with the inland revenue and i have submitted my accounts to companies house. As far as i know i don't legally need to have accounts signed off by a chartered accountant, so can the lender ask for this?

Cannon_Fodder · 22 March 2010 at 9:40PM

If you wish them to lend you their money, you need to fulfill their criteria.

If it not something you wish to do, find a lender who doesn't need that - perhaps a broker will know examples.

opinions4u · 22 March 2010 at 10:03PM

inetjonny wrote: »

As far as i know i don't legally need to have accounts signed off by a chartered accountant, so can the lender ask for this?

It's nothing to do with being "legal". It's to do with meeting the lending criteria of a firm that you want to let you have tens of thousands of pounds.

They call the shots. Most lenders will not lend against unaudited accounts. I do vaguely recall being able to lend on unaudited account supported by and Inland Revenue acceptance document, but doubt this would be enough for mainstream lenders in the current climate.

Comply or go elsewhere for the money. If you can.

inetjonny · 22 March 2010 at 10:05PM

Thanks. I would really appreciate any other advice...Has anyone else had the same request from a mortgage lender? How can i fulfill their criteria when the accounts have already been done? Does anyone know if all lenders want accounts signed off by a chartered accountant?

joolley · 23 March 2010 at 7:23AM

It's no big deal and will cost you a few bob. You want the mortgage or not?

I have PAYE income and 2 streams of self employed income. Self employed income is tiny compared to PAYE but I get an accountant to do my tax return because I'm lazy and afraid of HMRC. Cost me £250 last year including VAT. The lender wants to be sure that all is above board as you say. If it is, no worries. If it ain't...

Wutang_2 · 23 March 2010 at 7:27AM

inetjonny wrote: »

Thanks. I would really appreciate any other advice..

You could not take the mortgage - this won't cost you any money.

inetjonny · 23 March 2010 at 9:06AM

perhaps i didn't explain myself very well. I'll try again - when i started the business 3 years ago i was advised that i because my turnover wouldn't be very big i would only need a set of standard accounts done by a registered accountant - which I have (ie the accounts don't need to be audited or done by a chartered accountant).
I'm not concerned about spending more money, but if my accounts have already been done by a registered (not chartered) accountant, tax been paid and accounts filed at companies house, everything has been done above board.
Yes, of course i want to get the mortgage, no, i'm not concerned about having to spend money, no, i'm not a dodgy business.
I was only looking for advice on how to fulfill the criteria of getting the accounts signed off by a chartered accountant when they have already been done by an accountant and filed at companies house. Please does anyone have any useful advice???

happybroker · 23 March 2010 at 9:10AM

If your accountant has formal qualifications find out what they are and speak to the bank about it (or your broker). Unfortunately, the fact that you are dealing with Santander could prove difficuly hear as they haven't the first clue about what they are doing at the moment.

If your accountant doesn't have any recognised qualifications then you will need to shop around for a lender that accepts this. The Halifax used to be more relaxed on this though it's not something I have looked into recently.

VIGILANT22 · 23 March 2010 at 9:12AM

[QUOTE=inetjonny...........Please_does_anyone_have_any_useful_advice???[/QUOTE]

That is what your mortgage adviser is for....... guiding you through such situations.......This forum is not regulated for advice only opinion which would appear is not what yr looking for............

fabs35 · 23 March 2010 at 9:49AM

HSBC and The Woolwich only request tax calculations from HMRC (previously known as SA302's). You can either print these off (if your accounts were filed online) or ask HMRC to send you hard copies.

I am sure Santander would accept your accounts if they have been prepared by a certified accountant - the first thing to do (as per previous opinion/advice) would be to check what qualifications your accountant has.

silvercar · 23 March 2010 at 1:09PM

The problem you have is no chartered accountant is going to sign something that they haven't checked. I would consult with your current accountant on the way forward. It may be that they have a business relationship with a chartered accountant and can sort this for you easily.