Is a Higher Lending Charge (HLC) the same as Mortgage Indemnity Guarentee (MIG)?

katrinamac

I have come across MIG's and HLC's in my search for a 100% FTB mortgage but am unsure if these are actually the same thing.

MarkyMarkD

Yes, HLC is the new FSA approved name for what used to be called a variety of things including MIG. All lenders should call it HLC on their Key Facts Illustrations which are an FSA standard style.

Not all lenders charge HLC, even on a 100% loan, IIRC, so I should look hard for one which does not levy this charge, as long as they don't collect the same amount through a penal interest rate on the loan (as some do).