Porting and Alliance and Leicester mortgage

mjc1975

Hi all,

My other half has a mortgage with the Alliance and Leicester which she is looking to port to her hew house. She wants to do this mainly to avoid the £4000 fee for redeeming within her fixed rate period which would mean she could not afford to move.

However when she called, they made her go through a new customer application which she duly failed - they are now saying she cannot port the mortgage. After she stopped crying she called back for more information and after digging was told she does not meet their lending criteria anymore. I would imagine this is because her original terms were based on a 90% LTV...

She has appealed today to the underwriters on the following points:

1. She is not asking for any more money at all, just the outstanding balance transferred to the new property. Although the original terms were based on 90% LTV the new property is worth more so makes it closer to 85% LTV

2. She has about 2 years total flawless payment history with them. She also has impecable credit as well.

3. She now earns about £5k a year more now than she did when the mortgage was first taken out. Incidentally she works for the NHS so has pretty good job security!

4. She is moving from a leasehold flat to a freehold house. This means that she will no longer have to pay a monthly ground rent and management fee. In fact she is closer to work and in a similar council tax band so by moving she has more disposable income!

She has faxed a letter of appeal today but I would imagine that no decision will be made until after the bank holiday.

I am posting really to see if anyone has had a similar experience and to seeif anyone knows what the likelihood of success is. I can (hopefully) put her mind at ease over the weekend!!

Fingers crossed!!!

unite79

Sorry to be the bearer, you GF has no chance of success - The portability option always had the small print that it was subject to meeting current criteria - due in main to the 'economic situation' A+L no longer lend at 90%.

_Andy_

As per unite - portability is never guaranteed.

What would be helpful is to know what caused her to fall outside of criteria - i.e. was it LTV, scoring, adverse, income, affordability etc.

I would agree with unite, can't see them changing their mind.

Not meaning to sound harsh but she really should have enquired about the mortgage prior to making an offer etc.

mjc1975

Good news!!

The underwriters came back today and said she can port at exactly the same terms and take all of the outstanding balance!!

Victory for common sense eh!!

_Andy_

Nice result, glad it worked out

unite79

I am absolutly Gobsmacked, and send my unreserved apologies for my post.
Well done.