Redundancy pre contract exchange

wazzaa

People have suggested to us we could just keep it quiet from the bank and the solicitor, and reading the T&C with the mortgage offer there is no obligation for me to inform them of any change of circumstances.

I know the smart thing just walk away from the deal, minus solicitors fees and report fees. And after all there may be lower house prices in 6 months. We are FTBs and can just keep renting.

Anyone been in the same situation or can offer their opinion?

Wickedkitten

Yeah keep schtum, don't manage to get a job for ages and then have them repossess your house.

OR don't tell them then have them find out, press charges on you for mortgage fraud (Since you knew you were made redundant before exchanging contracts) and then get thrown into prison, leaving your other half needing to repay the entire mortgage in full in 28 days.



It would be entirely silly to not tell them and then end up not only financially !!!!ed but with your life ruined because of a moment of madness.

barnaby-bear

Wickedkitten wrote: »

Yeah keep schtum, don't manage to get a job for ages and then have them repossess your house.

OR don't tell them then have them find out, press charges on you for mortgage fraud (Since you knew you were made redundant before exchanging contracts) and then get thrown into prison, leaving your other half needing to repay the entire mortgage in full in 28 days.



It would be entirely silly to not tell them and then end up not only financially !!!!ed but with your life ruined because of a moment of madness.

I was thinking the echange contracts, committing to pay 10% deposit/on failure to complete. Mortgage co. uncovers (they often do final checks) before completion so doesn't release mortgage, OP loses deposit and can't complete.

Wickedkitten

barnaby-bear wrote: »

I was thinking the echange contracts, committing to pay 10% deposit/on failure to complete. Mortgage co. uncovers (they often do final checks) before completion so doesn't release mortgage, OP loses deposit and can't complete.

I don't think they would discover he was made redundant that quick but even if they did, it would still make it look bad because he didn't tell them and is committing fraud

wazzaa

The info was correct at the time of the mortgage application there was no risk of redundancy at the time therefore no fraud has been committed. As I mentioned the T&C do not say you must disclose a change of circumstances. However it does say they have the right to withdraw the offer if they are made aware of a change of circumstances.

However I think just this risk of the offer being withdrawn pre completion (final checks maybe...) is enough to make me not go ahead with the transaction.

Thanks though for your thoughts. They'll be plenty other houses once I've secured a new job.

digii_dave

You mean banks ar that organized they will find out??????? How comes they are all going bust if they are that good????????

The bosses at the top of these banks are honest themselves?

Robert_Sterling_3

Ask your solicitor about your current position.
If he advises that you complete the transaction ask him to put this advice in writing.

barnaby-bear

digii_dave wrote: »

You mean banks ar that organized they will find out??????? How comes they are all going bust if they are that good????????

The bosses at the top of these banks are honest themselves?

The solicitor dealing with the transaction is duty bound to pass on the info if they become aware...

Redundancy payments
PAL recompense for annual leave accrued all show up on automated checking of accounts - so could depend on how linked in the OP is with their mortgage provider (current account with same bank) etc.


Certain types of employer (e.g. automotive) quite likely to make redundancies so final checks might elicit a second salary check with HR.

It the mortgage co. know the situation and won't lend it's for a reason on balance of risks and OP needs to think very hard about the wisdom of taking on a mortgage when the balance of probablities and professionals think it's not a good idea.

barnaby-bear

Robert_Sterling wrote: »

Ask your solicitor about your current position.
If he advises that you complete the transaction ask him to put this advice in writing.

If he's doing any work on behalf of the mortgage co. he will be legally bound to pass the info. on.

Debt_Free_Chick

Forget whatever undertakings you gave to the mortgage company, just for a minute .....

How do you feel about entering into the biggest financial promise of your life with no job?

space_rider

I don`t think it would be worth the headache. Cut your losses now. There`s always more expense once you move in and you won`t have the money. It will also put your relationship at risk.