What is a second charge loan?

A second charge loan - also known as a secured loan, homeowner loan or second charge mortgage - is a loan secured against your client's property. Secured loans may be ideal if they want to borrow a large amount of money to be taken over a longer term. They can be used for almost any legal purpose although usually used to consolidate existing credit, or to make home improvements, or fund major purchases. Because the property is provided as security for the loan, lenders see this as less of a risk and may charge lower rates of interest. However, the property could be at risk if the borrower is unable to repay the loan.

From March 2016, the Mortgage Credit Directive (MCD) came into force which means that first charge and second charge loans will be aligned and regulated in exactly the same way, Although you do not have to provide a second charge quote for your client when looking at a remortgage, the FCA deems it good practice to explore all options for them and to make them aware that a Second Charge loan may better suit their needs.

How do I refer a client to you?

Call and speak to one of our Partner Team who will be able to guide you through the process.

Alternatively call our underwriters direct and talk through your case. (Remember at quotation stage we only perform a soft search which leaves no footprint.)

Call our Partner Team on 01204 477600

Call our Underwriters on 01204 477599

What happens if I want to refer my client to Fluent?

First of all, we do a complete Fact Find with your clients and perform a credit search. We’ll use our bespoke loan sourcing software (which is called Fluency) to find the most suitable loan for their needs. We’ll post out the Mortgage Illustration (ESIS) to your clients and all of their documentation will be available for them to download immediately from our case tracking website, www.myfluent.co.uk

If your clients decide to go ahead with the quote we’ve given them, they’ll be allocated a dedicated Case Manager who will guide them through the process and get their loan completed. Our Case Managers are experts at packaging and have an in-depth knowledge of what our lenders want. In addition, we have underwriters from the lenders in our offices on most days, helping us to package cases in the most efficient way possible. During the whole process, you will be able to monitor the progress of your clients’ cases live and round the clock via www.fluentview.co.uk Your clients can also track the progress of their loan on the web or on their Smartphone.

I want to give advice to my clients and I want Fluent to package the case for me

If you wish to provide advice to your clients for a second charge mortgage, you can do so and refer the case to Fluent for packaging.
You will need to provide us with your client’s details and their requirements, including a full income and expenditure assessment. When we receive this and the clients’ signed authority to credit search, Fluent will then source suitable products from the information you’ve given to us. Where more than one product fits the client’s requirements, Fluent Money will present you with the Mortgage Illustrations (ESIS) for the top 3 product options, along with the research document evidencing what has been carried out.

You will then need to discuss the products with your clients and tell us which product you have recommended. Fluent will provide the full pack to either you or your clients and when we’ve got confirmation that the clients want to go ahead, we’ll begin to package the application. Fluent will carry out the entire process required for completion, apply to Land Registry, conduct any further searches, request mortgage references, obtain first mortgage consent where applicable and instruct the valuation. Fluent will request any further documents or information that is required by the lender during the process, making you aware of what is needed. Any questions arising from the client during the process with regards to the selected product/advice or the recommendation given will be directed back to you.

All Mortgage Illustrations (ESIS) will show you as the party giving advice and Fluent as the packager.

When would I consider a second charge mortgage for my client?


  • Your client is already on a competitive mortgage rate
  • Your client is tied into their mortgage with heavy redemption penalties
  • Your client has an interest only mortgage
  • Your client needs a larger sum over a longer term to bring the monthly cost down
  • Your client needs funds quickly with no upfront fees to pay
  • Your client’s credit status has changed since their last mortgage application
  • Your client needs early settlement flexibility
  • Your client needs to raise capital for a non-traditional purpose
  • Your client is unable to obtain a re-mortgage or further advance

Why should I consider Fluent over other second charge loan packagers?


  • We are Authorised and Regulated by the FCA
  • We make sure that customers and brokers alike receive the very best standard of service
  • We have an average customer satisfaction rating of 4.85 out of 5
  • We have a dedicated team of professionals that really understand your business
  • We have access to hundreds of secured and unsecured loan products from all the main lenders within our industry
  • We have access to exclusive rates
  • We are market leaders in technology solutions i.e. loan sourcing, case tracking and Smartphone apps
  • We believe no one will work any harder than us to make sure your client receives the very best outcome available
  • We are the largest Second Charge Master Broker in the UK – completing more than double the cases of our nearest competitor

Can I register with you?


As long as you have the appropriate FCA permissions, either as an AR under your Network acting as principle or DA with your own permissions.

Speak to us on 01204 477600

Tell me about the arrangement fees you charge my client

In the second-charge loan market, Master Brokers are remunerated in two primary ways; through commission (proc fees) paid by the lender to the Master Broker and through the charging of Broker Fees. Historically, all monies received by Master Brokers were proc fees paid directly by the lender, but post-Credit Crunch, proc fees have largely been replaced by Broker Fees. Currently the majority of the brokers in the market charge a Fee for their services.

Typically a Master Broker in the second-charge market would charge a fixed percentage fee for the work they do on behalf of the customer. In order to Treat our Customers Fairly, we reduce our Broker Fee if the proc fee increases, meaning that we earn the same from each loan completion. This fee is agreed at the outset and added to the loan amount on the Credit Agreement. There are no upfront fees charged to your client. 

Speak to our Partner Team on 01204 477600 for more information

How long will it take for the loan to complete?

Traditionally, we have completed Second Charge Loans within 3-4 weeks. 
Since the implementation of the EMCD in March 2016, we have seen processing times reduce.