EU NATIONAL. Not allowed on mortgage!

Tina27_2

Hello everyone, please help.
My partner who has a joint mortgage with his Ex is trying to replace her name on the mortgage with mine. However, after speaking to one of the banks mortgage advisors he was told that I would not be able to take her place due to the fact that I was Slovakian. I am an EU National, I have been a resident in the EU for more than 3 years and lived and worked in the UK for 8 years with permanent residency rights. I have had a UK bank account for 6 years and am in full time permanent employment with a very successful company. I have no debts or bad credit. I am also registered on the electoral role.
Abbey will not let me do this. Can somebody explain why not or what do I need to do in order to sort this situation?
Thank you

Comyface

Are you an EEA 'Transitional' national (sorry for my ignorance on this point). I know that the rules can be different for these.

Tina27_2

Hi,

sorry what do you mean by it? not sure whats EEA

tina

Comyface

EEA is the same as EU (as far as I'm aware, European Union = European Economic Area?).

I know some countries, such as Poland for example, have transitional arrangements in place so nationals of these countries do not have the same rights as full EEA nationals. Wasn't sure if Slovakia was one of these.

Tina27_2

Hi,
I am from Slovakia and we have been part of EU since 2005.

But i dont know anything about transitional arrangements....?

thank you

Dan_1976

I thought it was 2004?

Its probably a mix of the size of your deposit and the fact your not from the UK. Depending on the lender I think they like you to be on the voters roll for x years, my memory really is bad!

Also they will restrict the loan to value.

I am not sure if any lenders out there would be flexible at this time. I would maybe wait a year.

KentishLady

Hi

Having had a quick look online it would appear that there were transitional arrangements in place for the 8 central european accession countries which include slovakia.

http://www.migrationwatchuk.com/pdfs/EuropeanUnion/4_3_East_European_workers_rights.pdf

http://www.lawcentreni.org/Publications/Frontline/Frontline%2055/f55_eu_migrant_workers.htm

However you say you now have permanent right to reside in the UK and for some institutions this would be sufficient for you to be able to take out a mortgage with them.

Was the adviser told that you had permanent right to reside? Or did the fact you are a slovakian national stop the conversation/application getting that far? Were you there when this conversation took place?

I wonder if you need to go back and get further clarification on their policies regarding foreign nationals with the permanent right to reside in the UK.

KL.

Leon_W

Abbey are a pain.

I Recently submmited a case to Abbey for a client of mine and his girlfriend. The girlfriend was from Poland and been self employed in this country for 3 years. Now, nationals from Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Slovakia, Slovenia are treated differently than nationals from other EU states.

People coming from these countries have to register on the Workers Registration Scheme. Once you have worked in this country for 12 months you can then apply for a permit which grants you permanent rights to live and work in the UK.

The permit is not a legal requirement but you can get one if you so wish.

Back to Abbey. They asked me to supply proof of permanent rights to reside for my client. "She doesn't need it" I said. "We know that" they said, "but it is part of our underwriting requirements" they said.

My client then phoned up the home office and apparently it would take "a few months" to obtain this piece of worthless paper, which wasn't really good enough as they had had an offer accepted on a property. Stuff that I thought so off we went to Cheltenham and Gloucester who have no such nonsensical requirements.

Therefore, the answer to your questions is, that if you have proof of permanent rights, either a stamp in your passport or this "permit" then Abbey should accept you and I would take it higher if they refuse because they are in the wrong.

herbiesjp

You should be having no problem getting the mortgage agreed on the basis of your residency.

Best bet is a get a broker involved

blueyellowred

This is strange one - I am from one of those 8 countries, got our first mortgage in 2001(way before EU expansion). Nobody asked us to provide proof of my residency or Home Office papers - valid passport was enough. Provider then was Mortgage Express but we did use mortgage broker. Going through second remortgage since then and have not been asked this at all - ever.

opinions4u

There is a great irony that a Spanish owned bank would have such difficulties!

It sounds to me like you're being hard done to.

It may be the reason given is not quite accurate. Is it that the individual you are replacing on the mortgage is seen as a better risk than you? Could it be that the staff member you have seen hasn't quite pushed the case through properly? Do your joint incomes provide come in at enough? Is the loan to value ratio high?

I would put a complaint, in writing, to the bank's head office asking for clarification as to why they have these procedures in place and explaining how they have applied them in this case, given the permanent nature of your employment and residency.

If that fails, go to a broker who may well be able to lean on Abbey. If not, they can look in to remortgage opportunities should these exist.

This is strange one - I am from one of those 8 countries, got our first mortgage in 2001(way before EU expansion). Nobody asked us to provide proof of my residency or Home Office papers - valid passport was enough. Provider then was Mortgage Express but we did use mortgage broker. Going through second remortgage since then and have not been asked this at all - ever.

With the greatest respect, the market is very different now. Mortgage funds are much harder to come by today than they have been at any time since the early 1990s.