Building Society in United Kingdom

Definition of Building Society

In accordance with the work A Dictionary of Law, this is a description of Building Society : A corporation established under the Building Societies Acts for the purpose of making loans to its members on the security of mortgages on their homes, out of funds invested by its members. Generally a building society’s security must be a first legal mortgage on the borrower’s home. However, the Building Societies Act 1986 now empowers societies to lend on the security of second mortgages and to provide a wide range of banking and other financial services.