FNB & Igroup

Toughluck

Anyone else having major problems with their DIP decisions and the fact they will reduce the LTV based on the "credit score". But when questioned about this they themselves do no know the score.

Aapparently they want A & B clients now, not C & D which is which they say they used and still do. i suggest they drop their hideous rate sto fall in line with A & B clients and disclose further to us how they come about their bulls*hit DIP responses.

When the property also changes val from the original DIP it has to be re-DIP'ed and they reduce the lending amount further basically killing borrowers applications.

Sorry about this but a joke company now.

minimike2

I had a decline at 90% becuase "The property is valued between £70k and £100k so we will only lend 75%". - But apparently a value of below £70k and the client could have to 90% !!!!!!!! How backward......

luckyfool

Toughluck wrote: »

Anyone else having major problems with their DIP decisions and the fact they will reduce the LTV based on the "credit score". But when questioned about this they themselves do no know the score.

What's the problem? At least First National are still lending 90% unlike most other sub prime lenders who are either out of business, or only taking 75% business at much higher rates. Sure I'd rather they were not credit scoring cases but how is this different from what has always been the case with every high street lender out there?

I've had clients in the past with minor adverse credit and if they had a 40% deposit I would confidently put it to Abbey and it would sale through, if they only had a 10% deposit the exact same client would rarely get past the credit score, so I would maybe go to Chelsea or BM Solutions etc. Exactly the same thing here.

FNB and Igroup are practically single handedly providing the only options available to many people just now and keeping the market for adverse mortgages afloat.

luckyfool

minimike2 wrote: »

I had a decline at 90% becuase "The property is valued between £70k and £100k so we will only lend 75%". - But apparently a value of below £70k and the client could have to 90% !!!!!!!! How backward......

Sounds like someone had their wires crossed there minimike, assuming it is First National then their new criteria are that the minimum property value is £100k above which they will consider 90%. There is an exception for standard construction houses which they will consider where valued between 80k and 100k but only up to 80% ltv. If the value is below £80k they will not lend at all.

minimike2

I thought it sounded weird, they were adamant they were right. I dont think they know themselves though, its all so up in the air there at the moment.

luckyfool

Yes, well the criteria was only tightened again the other day. If it passes the dip and none of the information changes and you can get it to complete within the 3 month offer period then its fine. The problems seem to occur now when the offers expire, and on Self Cert cases which they are going over with a fine toothcomb.

Toughluck

Luckyfool,

Have to admit it noble of them to still do 85-90% lending with adverse and you are right in saying that they are single handedly doing this.
Problem is the BDM for midlands and South West said he has only seen a handful of 90% cases in his regions in the last 2 months. The slightest change to details on the DIP, even a £1000 change is valuation, will mean a new score and in the last 2 cases I have has a drop from 80% to 60% with no explanation.

They had just phased out their LTV restictions and deadlines last week, and phase 2 will come in around one months time. I believe it is rate changesd so lets hope they come down.