Nationwide Mortgage - Accepted, then Declined???

scotty101

,

We have just went through the DIP process with our local branch of Nationwide, we brought along all the required documentation and passed the credit check. We received 2 certificates, one for the maximum amount Nationwide would lend us, being 247K, and the other for the amount we require, 172K. We asked what this meant, and was told that these certificates are a guarantee to the funds we can borrow from them. So, all smiles from us. We were however awaiting the sale to go through on my partners property, once this was done, and the funds were in our account, we made an appointment to go through the "application" process, again at our local branch, again no problems, signed all paperwork. Then received a call regarding my SMP, I did ask if this would be a problem, and was told no, but it was, so sent letter confirming back to work date and salary, they were happy with that. THEN,,, they notice that my partners (an existing Nationwide customer) address was under his old property address, obvicously as he has newly sold this, they asked for this to be changed to our current address, my home address, and now our application has been declined??? :mad:I find this unbelievable, how can they decline on an address at this stage? The mortgage advisor we met with was aware that we were both staying at my address, for the short term, so he is not on the Elec. Roll for the address, but never advised us of any problem. Obviously when you sell one property and apply to buy another you are going to be staying somewhere, surely they exercise some form of common sense?
They have now asked for 6 months bank statements which we supplied, and again our advisor has advised us that there wont be a problem with this, as we have not been refused on financial issues, mearly the change of address, why?? Surely they would ask for the information first before declining, then asking for the bank statements, it all doesnt make sense.

Can anyone help, or offer advice? Do we have any way of appealing this decision? We have made a formal offer on the new property and sellers have taken it off the market!


Any advice much appreciated

herbiesjp

I would suggest keeping just one thread going.

You can indeed appeal the decision, you would need to get the adviser to do this for you -however there is no guarantee of success

You may well be better off using your time finding a different lender to help - one that will agree the mortgage upfront based on all the correct details.

For this, and for speed (in order to not lose your sellers) you might want to get in contact with a whole of market mortgage adviser

scotty101

Many thanks for that. We are a little wary of applying with other lenders, as we will now have a declined on our credit report, through no fault of our own.

herbiesjp

Incorrect

You will not have any such notification on your report

YOu will only have the search that Nationwide carried out

scotty101

Oh, when i went back with the bank statements i asked the mortgage advisor about this and she said yes we would, we'd have the original accepted, then the declined, but she said that if we were sucessful with the bank statements it will be an accepted again??
Like there would be 3 entries on our credit report.

herbiesjp

You may have 3 credit seacrhes, but it does not say declined against them

Even if it did, it would not really mean anything, as you could be declined for a number of reasons (which may not apply to a new lender).

If Nationwide are not going to budge, your only option will be another lender

Mrs_Bumble

As herbiesjp says above the searches will appear but they just show as searches.

You can persist with Nationwide and ask to speak to an underwriter directly as the ones I have dealt with at Nationwide have been approachable and human! I might just have been lucky there. If no joy though you will have to look to another lender as herbiesjp states above.

scotty101

ok, right, well thanks again, will contact an IFA, see how we get on then.

scotty101

Hello again,

I called our contact at the Mortgage Application Centre, and she has advised that our Advisor has reqested our file back and it is being sent to Head Office, what does this mean? I thought when the bank statements were requested that this was from the Application Centre, ,but apparently not, we're not really being kept up to date with our case, can anyone help? Does Head Office mean the underwriters?

Any advise greatly appreciated

happybroker

head office does generally mean the underwriters. It sounds like the advisor is making a bit of a hash of this to me...that person would be able to tell you why the file has been requested and if you're not happy at the way you are being treated complain.

scotty101

Well, thats what we're beginning to feel, but we're stuck until Monday at the earliest, before they give us a yes or no, what is involved with the underwriters, do they look at the whole application again, i.e. run credit checks again, that will be 4 now, if that's the case. Do they demonstrate any kind of common sense, and look at the fact that my partner has newly sold his house, within the last couple of weeks, and obviously requires a roof over his head until he buys a new property, our bank statements as in the address we are both staying at, but he is not on elec. roll, he is an existing customer, who has never missed a mortgage payment, and has cleared his original mortgage and made a profit which we will be using as deposit, we applied for the 95% mortgage, on the 182K and was accepted without any problems. Surely when we pointed out the difference in address to the advisor she should have know that this would cause problems and not say "dont worry everything will be fine" as clearly its not. We could have held off the application until my partner put himself on the electrol roll first, or does this now make no diff?

Many thanks for your help.