Mortgage offer and credit card conditions

Wagesbird

I have as part of my mortgage offer a condition that I pay off a secured loan and 2 credit cards.

The secured loan will be paid off after sale of my current home and one of the credit cards is just about to paid off now, leaving one with a few thousand on it. This should be paid off at the very last minute before I complete my sale / purchase.

When do banks normally check, if they do, that you have met the mortgage conditions. As if they do it via my credit file, the information wont filter through until the following month.

I am worried that they will check and withdraw my offer prior to release of funds.

Thanks for reading )

Joe_Bloggs

My lender insisted on this type of thing. I signed a memorandum of understanding and they gave me a month after completion to do what they said I should do . I did what I agreed to do with in the month. Check your own paper work for what you have agreed to do and when.
J_B.

Wagesbird

It was done through a broker, who just said I would pay them off (my broker is rubbish and is no use whatsoever when I ask him about this!). In my mortgage offer it just states I will pay the amounts off before taking the mortgage.

I just want to make sure nothing goes wrong.

Anyone else have any other similar experiences? Any comments would be appreciated! :-)

FraudBuster

I have as part of my mortgage offer a condition that I pay off a secured loan and 2 credit cards.

What part do you not understand?

Wagesbird

Its not that I dont understand what I have got to do. I am asking at what point will the bank check.

_Andy_

They probably won't.

rsykes2000

_Andy_ wrote: »

They probably won't.

Indeed. But if they think it's not a great idea for you to have all that debt, they may just be correct. I'm sure I have read somewhere that the conveyancing solicitor you use can be part of this process in conjunction with the bank and transfer the money from the sale of the house to pay off the debt without it touching your pocket / bank account ?

Wagesbird

This is how the secured loan is being paid off, but there is not enough equity in the house to pay the credit card off, I have been doing this myself through extra money I have and help from parents.
Like I said, the broker is rubbish and has been no help whatsover with this.
I could phone the bank myself, but dont really want to rock the boat, or draw attention to it.

Thanks

Wagesbird

Hi, me again!

1 week to completion and some £11,000 paid off cc (1000 to go) but due to an error by Barclaycard (by their own admission) there has been a late payment mark been put on my credit file today.

This was due to a dd not being set up in time, and I was 3 days late once I realised and made payment! I rang Barclaycards made the payment and they said they would not update my credit file with this information but they have!!

I am worried the bank who hold my mortgage offer are going to see this (due to complete 18/12) and withdraw the offer!

I have like I said, got my credit card down to £1000 from £12,000 this year so the minimum payment was never a problem, the previous month I paid £6000 so its obvious money to pay not a problem - repayment of this card was part of my mortgage offer conditions.

I have an excellent credit file and have had no missed payments on any of my credit over the last year but am worried if the bank credit check me before funds are released this week, they will see this and withdraw offer.

I have today faxed a complaint letter off to Barclaycard and copied Experian to see if I can get this corrected asap.

But just wondered if anyone had any thoughts on this please as I am very worried.

Thanks

Wagesbird

Hi,

I am due to exchange today and just wondererd if anyone had a any thoughts on my post? I am still very worried its all going to fall flat on its face. I paid anothher £1700 off my cc this weekend, leaves a balance of £626...which will go Friday when I get paid. I am hoping in th bank query, I can show them my cc statement and they can see I am not struggling to pay. Any thoughts out there?

Thanks )

Dan_1976

The lender may not check, however it is down to your Solicitor to satisfy all conditions on the offer. May be worth chatting to them, although often they ignore them.