Co-operative Mortgage - Not a happy bunny

Lindy_Loo_3

Thank you for the link and quotes Trollfever but in my eyes all it does is confuse me more.

My husband is a model borrower, I am not. However I am not asking to borrow any money at all.

We have no outstanding debts at all and I have worked to pay off (am paying off) my creditors from a moral point of view from my wages. I understand that I created the debt and if I can earn to pay it back then I shall.

We were actually told that if we weren't married, he would be able to apply and get the mortgage. This is despite the fact that we are not and having never been financially linked unless you count the savings account we hold with a large (in our eyes) deposit sitting in it.

So the old adage is true, "marry me marry my debts".

Thank you to everyone who posted and apologies if I got a bit emotional.

Trollfever

So the old adage is true, "marry me marry my debts".

Prudent bankers have an adage:

"Leopard's don't change their spots"

coffeedog

The earlier person is correct.As you are married it means you have rights to remain the home if you seperate. Unmarried couples do not get that right. Also, if you were to seperate you may end up staying in the house rather than your husband . I guess this may be a reson for asking married couples to make a joint application. Just speculating.

Lindy_Loo_3

Trollfever wrote: »

Prudent bankers have an adage:

"Leopard's don't change their spots"

Nice to know that you're obviously a perfect individual and not judging.

With that quote, their should be no reason to refuse my husband a mortgage - he's never even missed a payment for anything.

By accepting responsibility and paying most of the debts and not getting into trouble again clearly shows that I have changed my habits. Like some people I could have quite easily gone bankrupt and walked away for 6 years but chose not to. You don't know my reason for going bankrupt and prior to that I was a model borrower - high paid job, no financial dependants, always paid on time etc etc. Take the job out of the equation and the inability to find one that paid even half as much as the last one and watch the problems begin - but I don't need to justify my circumstances to you.

I do get the feeling that some posters are just out to try and stir my emotions up and get a negative response - shame on you, this is supposed to be an advice forum.

payless

The fact you are married means you have financial links

Lindy_Loo_3

payless wrote: »

The fact you are married means you have financial links

I didn't know that. We have always had seperate account and the only thing we share is a surname and child

Could you elaborate more please? Thanks

payless

would have thought it was obvious, just on a day to day basis you have will both use money to pay for things whether that be rent/ mortgage food lighting - these things are for joint usage.

If you have children then usual for both incomes to be considered for tax credits . If you have to fill out a self/assessment they ask if married .

Council tax is a joint responsibility

You have a financial interest in the house -
1. As spouse you may have rights in a split
2. You already state deposit is in a joint account ( one of the common ways of a person proving they put fundsinto a purchase)
look a http://www.adviceguide.org.uk/index/family_parent/family/cohabitation_and_marriage_legal_differences.htm#Debts

Now whether these financial links are a valid reason for a lender to decline- unfortunately is at lenders choice.

Lindy_Loo_3

Ok, that makes some sense.

We have seperate accounts and operate our finances completely seperately. The rent / utilities etc are all paid by my husband from his account.

Food is bought by either of us whenever it is needed.

We don't receive any tax credits as I do not work more than 16 hours a week. Sometimes my husband gives me money to top up what I earn (call it housekeeping) so wouldn't that make me a financial dependant?

The deposit is in a joint savings account - I thought this was the crucial difference but obviously I have misunderstood. I assumed that financial links in terms of credit are only created when credit is applied for.

It's always a lenders choice to decline and fair enough. It's hard when you're presented with the Ownhome scheme to finally buy your own home and you're declined because they do not want to process a single applicant from a married couple despite our solicitor explaining that I would effectively have to sign away "squatters rights" etc and move out if the house was sold.

Please understand we didn't apply blindly thinking all would be ok, we presented the bank and solicitor with the facts and asked for the reason why my husband wouldn't be allowed a mortgage.

If it's simply a case of the Co-op's policy is, "married couples must have joint applications" and we will not lend if "you have a discharged bankruptcy on file" then I can accept that. I'm currently waiting for final clarification on the matter.

Thank you for your advice.

payless

There's a difference between actively avoiding any credit related financial links , and there being an assumed financial link for married couples.

Whilst the lender may get you to sign a "no squatters rights form" I'm not sure that would stand up if you enforced your "Home Rights " as detailed above.

In the current market the lenders are looking for reasons not to lend . The points mentioned may be policy OR maybe a decision that they have made in your case - either way the answer seems to be the same .

Lindy_Loo_3

So despite the offer to sign away "Home Rights" we're still not eligible. Well, we have few other options then.

Sorry to keep bothering with questions but can anyone clarify if this is going to be the same case for a "normal" mortgage?