Home Purchase Plan

Tariff list
alrayanbank.co.uk
 Fees when you apply Valuation reports when you apply
Administration fee Valuation fee There are two valuations that you can choose between, the cost of the valuation
depends on the value of the property and the type of valuation report that you choose.
Al Rayan Bank charges a fee that covers To progress with your HPP application, we
Please refer to the table of valuation fees on the next page to find out our charges.
the administrative and operational costs in require a property valuation report to establish
processing your HPP application. the value of the property and if the property is
RICS owns the HomeBuyer report format and
The fee charged depends on the product
suitable security for the HPP. Standard valuation report
controls who can use it. Only a RICS qualified
that you take. The fees that currently apply We will arrange for a surveyor to inspect the A standard valuation report is a general surveyor can provide a HomeBuyer report.
are detailed on our website, and the fee that property and issue this report. A copy of the inspection carried out on behalf of Al Rayan
relates to your particular product is detailed report will also be sent to you with your HPP The HomeBuyer report looks at both the
Bank by a qualified valuer to help Al Rayan
in the Risks and Features document that we offer of finance. exterior and interior of the property, and
Bank decide if the property is suitable security
provide to you. includes advice on defects that may affect the
The fee for this report is paid by you and is for the HPP.
value of the property, with repair and ongoing
If we choose not to progress with your HPP non-refundable. You can choose between two The standard valuation report does not maintenance advice.
application through no fault of yours, we will different types of valuations which are detailed consider the wider condition of the property
issue you a full refund of the administration on the next page. In general, it helps potential homeowners to
because many aspects of the wider condition
fee. If you withdraw your application or if we evaluate the financial and practical implications
do not directly affect the value of the property
decline your application because you have of the property in its present condition and
and therefore, the security of the HPP.
misrepresented yourself, the administration can be used as a tool to negotiate when
fee will not be refunded. For this reason, the standard valuation required defects are identified.
by Al Rayan Bank may not be suitable for you,
A HomeBuyer report comes at an additional
particularly if you require specific details about
cost to the standard valuation report, and
the general condition of the property.
can be carried out at the same time as the
standard valuation report that we require.
Royal Institute of Chartered
Please refer to the table of valuation fees on
Surveyors (RICS) HomeBuyer report the next page to find out our charges for a
The HomeBuyer report is an easy to combined valuation and HomeBuyer report.
understand guide to the significant defects The combined HomeBuyer and standard
evident within a property. The main aim of this valuation report fee is non-refundable.
report is to help you understand the condition
of the property, before you commit to the
transaction. It is not used by Al Rayan Bank
as we will rely on our own standard valuation
report to find out about the property.

alrayanbank.co.uk

2 3
 Table of valuation fees
Combined
Standard Refinance
Property valuation &
valuation valuation
value HomeBuyer
report fee report fee
report fee
up to £60,000 £170 £145 £579
£100,000 £201 £171 £656
£150,000 £247 £209 £819
£200,000 £285 £242 £915
£250,000 £316 £269 £990
£300,000 £347 £295 £1,063
£350,000 £401 £341 £1,117
£400,000 £456 £388 £1,170
£450,000 £521 £442 £1,233
£500,000 £588 £498 £1,297
£550,000 £633 £539 £1,359
£600,000 £679 £577 £1,421
£650,000 £706 £600 £1,473
£700,000 £733 £623 £1,526
£750,000 £772 £656 £1,576
£800,000 £810 £690 £1,626
£850,000 £829 £704 £1,651
£900,000 £850 £722 £1,676
£950,000 £889 £754 £1,750
£1 Million + On request On request On request

Re- Up to Up to Up to Up to
£1 Million +
inspection £150,000 £250,000 £500,000 £1,000,000
fee £190 £250 £354 £426 £480

alrayanbank.co.uk

4 5
 Fees during
the processing
of your HPP
application
Solicitors fees and expenses However, if you choose to proceed with one of For details of the fee assisted HPP range, However, you should note that if you clear
our panel solicitors, Al Rayan Bank will make a please visit our website alrayanbank.co.uk. your finance in full, prior to the expiry of
The Law Society suggests that for Islamic
£400 (including VAT) contribution towards the a fixed or discounted rental rate, you will
finance transactions, two sets of solicitors If you choose a fee assisted product, Al Rayan
Al Rayan Bank legal costs, which are usually become liable to pay to us the administrative
are involved. One set of solicitors represents Bank will waive the administration fee that
around £500 (including VAT). fee, and repay any refund of valuation
you, the other set of solicitors represents applies to your HPP. or cashback amount we pay to you after
Al Rayan Bank. Due to the level of administrative work
In addition, Al Rayan Bank will assist with completion of your HPP.
The cost of both sets of solicitors is covered required, the legal costs incurred for the new
the valuation fee costs. The full details of the The full details of any fee assistance that
by you. build properties could be substantially more.
assistance we provide will be confirmed to you you receive will be included in the Financial
If for some reason the fees are substantially in the Financial Information Statement that we Information Statement that we provide to you.
Al Rayan Bank has created a panel of solicitors
more than this, you will be advised as early as send to you before your HPP completes.
who are experienced in the conveyancing
process for Islamic finance transactions. possible in the process. Furthermore and following the completion of Amendments to offers
If after you have received your HPP offer your HPP, if you opt to use one of our panel If following the receipt of your HPP offer,
We are confident that by using one of our
you make the decision not to proceed, or if solicitors, we will make a £500 (including there is a change in your circumstances which
panel solicitors, the conveyancing process will
VAT) contribution towards the Al Rayan Bank requires us to produce a new offer, a fee of £50
proceed more smoothly than if you choose we exercise our right to withdraw the offer
legal costs. will be payable by you for each amended offer.
your own solicitor, who may not have the because our full requirements have not been
same level of experience with fulfilled, you will be liable to pay our actual If you appoint a solicitor from our panel CHAPS transfer fee
Islamic finance. legal costs incurred. to act on your behalf, we will also pay to
Al Rayan Bank uses CHAPS (Clearing House
You are not obliged to use one of our panel you a cashback amount which can be used
Fee assisted HPP towards the cost of your own solicitor. The
Automated Payment System) to transfer the
solicitors and you can opt to instruct a firm of finance amount to our solicitor.
your own choosing. Al Rayan Bank offers a range of fee assisted total amount of cashback you receive will be
HPPs which are designed to help cover some confirmed to you in the Financial Information There is a £15 charge for using CHAPS which
of the costs associated with taking out a HPP. Statement that we provide to you. is paid by you.

Al Rayan Bank’s panel of solicitors do not provide conveyancing services in Scotland. Al Rayan Bank will make the contribution towards Al Rayan Bank’s legal costs for all customers in Scotland, and cashback for Fee Assisted HPP customers irrespective of the solicitor chosen.

alrayanbank.co.uk

6 7
 Fees during the HPP term

Additional Acquisition Information about your Additional administration Fees when you settle your
Payment (AAP) account fees HPP account in full
These are additional payments over ff If you need a further copy of your Under the terms and conditions of the These include discharge of the Legal
and above the regular monthly annual statement - £5 a copy legal agreements, we have the right Charge at HM Land Registry,
acquisition payments that you will to charge you reasonable fees for any administering the account and where
ff If you need copies of any
make to Al Rayan Bank. administration in connection with your necessary, sending documents by
correspondence we have sent
HPP account. secure post.
AAPs can be used to either reduce your relating to your account - £25
finance term, or reduce your monthly You will also have to pay our solicitor’s ff England and Wales - £200 + VAT
ff Copy of Deeds (or any part thereof) -
payments. charges that may arise from any
£25 (up to 10 pages) or ff Scotland - £175 + VAT and
administration, changes to your HPP
These payments can be made in each £50 (11+ pages) £60 Land Registry Fee
account or changes to the terms and
rent review month, and Al Rayan Bank
conditions of the legal agreements ff Settlement statement and revised
will need to be in receipt of cleared
requested by you. settlement statements - £20
funds by the 20th of that month.
Any additional administration fee will be
The payments are subject to a minimum
agreed with you in advance and prior to
amount of £4,000 and incur a small
processing you request.
administration fee of £25. You should
note that no AAPs are permitted on
a fixed HPP product during the fixed
rental rate period.

alrayanbank.co.uk

8 9
 Fees which may be charged
in other circumstances
Delayed payment If we don’t get it right General Data Protection
If you are behind with your acquisition payments or rent payments, we will charge fees to help us Al Rayan Bank PLC will endeavour to ensure Regulation (GDPR)
cover our administration costs. Once the costs have been recovered, we will donate any additional that you receive the highest standard of Under the GDPR you have the right of access
amount to charity. This has been approved by our Sharia Supervisory Committee and Al Rayan service and that you are treated with courtesy to your records.
Bank does not profit from any extra income. at all times. If you are unhappy with any aspect
of our service, we would like to know why. Should you wish to access this right please
write to:
For a copy of our Customer Care leaflet dealing
with our complaint handling procedures, please Data Protection Officer,
Circumstances Fees
call our Customer Care team on 0800 4086 407. Data Subject Access Requests,
Customer Care Team,
When a monthly HPP payment is not Al Rayan Bank PLC,
£8
made or missed 24a Calthorpe Road,
Edgbaston,
Arrears management fee £16 Membership of the Financial Birmingham,
Services Compensation Scheme B15 1RP

When we have to pay ground Al Rayan Bank PLC is a member of the

£100 plus ground rent or
rent or a service charge because Financial Services Compensation Scheme.
service charge
you failed to do so
You may be entitled to compensation from
As per standard the scheme if we cannot meet our obligations.
If we need to check the property This depends on the type of business and the
valuation report fee
circumstances of the claim. Home Purchase
Further costs and fees if legal The total amount charged will depend Plan advising and arranging is covered for
action is taken upon the circumstances of your case 100% of the first £85,000.
Further information about the compensation
You will have to pay our solicitor’s scheme arrangements is available from the
Our solicitor’s fees charges if we have to enforce our FSCS. www.fscs.org.uk
rights under the legal documents

If we take possession of the property,

we will charge costs for securing it and The total amount charged will depend
in connection with its sale under our upon the circumstances of your case YOUR HOME MAY BE AT RISK IF YOU DO NOT KEEP UP THE PAYMENTS ON YOUR HOME PURCHASE PLAN
powers of enforcement
Al Rayan Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial
Conduct Authority and the Prudential Regulation Authority. Our firm reference number is 229148.
Al Rayan Bank PLC is incorporated and registered in England and Wales. Registration No. 4483430.
All fees quoted in this booklet are inclusive of VAT where applicable unless otherwise stated. Registered office: 44 Hans Crescent, Knightsbridge, London, SW1X 0LZ.

alrayanbank.co.uk

10 11
Want to know more
about any of our
products or services?
Call us on:

0800 4083 093*

Monday to Friday, 9am to 7pm.
Saturday, 9am to 1pm.
*Calls may be recorded for training
and security purposes.

Visit: alrayanbank.co.uk

Write to: Al Rayan Bank, PO Box

12461, Birmingham, B16 6AQ

Or visit any of our branches.

HPPTL ARBV6 0419