The main purpose of the fact-find interview is to build a complete picture of the client’s financial situation, needs and objectives so you can judge what they can afford and what type of mortgage and features would be suitable for them. During the conversation you gather income, outgoings, assets and liabilities, employment status, any existing debt, and future plans, along with the client’s aims for the mortgage — such as loan amount, term, repayment type and any protection needs. This information feeds affordability calculations and guides the recommendation to ensure it matches the client’s circumstances, making the advice suitable and compliant. Understanding preferences or obtaining consent for a credit check are part of the process, but they are not the primary purpose of the fact-find; the essential job is to collect accurate financial data and goals to determine suitability.

Terms and conditions in a mortgage contract lay out what each party must do and what they can expect in return. They define the rights and obligations of both borrower and lender, and spell out the costs that may be charged, when they apply, and what penalties can be incurred. This includes details about the loan amount, how interest is calculated, the repayment schedule, and what happens if payments are missed or late. It also covers specific charges such as arrangement fees, valuation fees, and the early repayment charge if you pay off the loan early, along with any other penalties for breaches of the agreement. Because they form the binding agreement between borrower and lender, the terms and conditions provide clarity and protection for both sides, helping prevent disputes by making expectations explicit. The other statements don’t fit: valuation methods belong to the valuation process rather than the contract, and the terms are not optional nor are they only about the lender—the contract governs the relationship for both parties.

The key idea is that the regulator does not pre‑approve every financial promotion. In the UK, a promotion about regulated products or services must be approved by the authorised person promoting it (or fall under an exemption), and it must be clear, fair and not misleading. The FCA’s job is to oversee compliance and enforcement, not to sign off each individual promo in advance. So, as long as the firm has the appropriate authorisation and signs off the material (and it meets the rules), promotions can be used without prior FCA approval. The other options misstate the process: the FCA doesn’t routinely pre‑approve all promotions, and the rule isn’t limited to mortgages.

When a buyer breaches a property purchase contract, the seller has remedies to protect against loss. The standard approach is for the seller to keep the buyer’s deposit as compensation and move to resell the property. If the resale price ends up below the original contracted price, the seller can claim the difference—the shortfall—from the buyer. This reflects the deposit acting as security for performance and the damages being measured by the drop from the contract price to the actual sale price. The seller wouldn’t refund the deposit or void the sale in response to the breach, and the option for the buyer to sue the seller describes the opposite scenario.

The function of a needs analysis is to determine which mortgage features, payment levels, and protections best meet the client’s financial goals. This involves gathering information about the client’s income, outgoings, assets and liabilities, future plans, and attitudes to risk, then using that to assess affordability and identify what protections are appropriate. The aim is to tailor recommendations so they’re suitable for the client’s actual needs and circumstances, not just to collect details for the lender, calculate a maximum loan, or chase the lowest rate. Documenting personal details happens as part of data collection, but the main purpose of the needs analysis is to shape a solution that fits the client’s goals and budget.