Can HSBC refuse to port out lifetime tracker

Mamounbean

Currently on a lifetime tracker 0.29% above base. We're moving house and want to port our current tracker to the new property, (not increasing the mortgage at all). They have refused to do this and not been clear on their reasons why. We think it's just a ploy to get us off this rate and force us to remortgage.
Can they do this even though it's a fully portable tracker?

Additionally, we've had real difficulty dealing with them, has anyone else had this problem/

VIGILANT22

Yes they can refuse...if you don't fit current criteria..I am surprised they haven't offered an explanation......try asking them

_Andy_

are they declining the new mortgage full stop or is it just the rate they're saying no to?

SLAMMER_2

Mamounbean wrote: »

Currently on a lifetime tracker 0.29% above base. We're moving house and want to port our current tracker to the new property, (not increasing the mortgage at all). They have refused to do this and not been clear on their reasons why. We think it's just a ploy to get us off this rate and force us to remortgage.
Can they do this even though it's a fully portable tracker?

Additionally, we've had real difficulty dealing with them, has anyone else had this problem/

they definitely can refuse. as the other chap says you have to meet todays lending criteria.

An explanation....

imagine you had lost your jobs but still wanted to port your mortgage. If they FSA, the regulator, ever got hold of a bank giving a mortgage to someone who can't afford it they would be in big trouble.

It doesn't matter if you can pay the mortgage or are still paying the mortgage. When the mortgage moves to a new property its classed as a brand new application. you can keep the rate, if you meet the criteria of the day.

Mamounbean

LOL, tried that! The mortgage manager put the application through with a 12% deposit and then it was refused. At no point did she ask us for 20% or 25% which I assume is 'current criteria' although this has not been made clear. Doesn't make sense that she would submit the application knowing that we would be refused!

She's a tricky person to deal with, has refused to escalate our case to her manager and clarify these points. We're happy to officially complain or even go to the FOS but need a mortgage agreed asap!

Mamounbean

They are refusing full stop. I understand that the application has to be new but our circumstances have changed for the better, higher earnings and excellent credit rating. So we're assuming it's the LTV.

VIGILANT22

Mamounbean wrote: »

LOL, tried that! The mortgage manager put the application through with a 12% deposit and then it was refused. At no point did she ask us for 20% or 25% which I assume is 'current criteria' although this has not been made clear. Doesn't make sense that she would submit the application knowing that we would be refused!

She's a tricky person to deal with, has refused to escalate our case to her manager and clarify these points. We're happy to officially complain or even go to the FOS but need a mortgage agreed asap!

:rotfl::rotfl::rotfl::rotfl:

You think you can make banks lend you money....aarrghg

Will you lend me 100k...if not I might report you to Martin Lewis...

SLAMMER_2

Mamounbean wrote: »

LOL, tried that! The mortgage manager put the application through with a 12% deposit and then it was refused. At no point did she ask us for 20% or 25% which I assume is 'current criteria' although this has not been made clear. Doesn't make sense that she would submit the application knowing that we would be refused!

She's a tricky person to deal with, has refused to escalate our case to her manager and clarify these points. We're happy to officially complain or even go to the FOS but need a mortgage agreed asap!

there's so many reasons why they could refuse not just the ltv.

income doesn't cover it, affordability not met, not been a job long enough and others.

But they could have submitted the application on the information you gave them and other things could come up like undisclosed commitments, ccjs (you may/may not have told them about).

its not simple.

Simple thing is, for you, they can and have refused you.

They are lending you the money, they can make that decision.

you don't have to move, thats your choice. Harsh but true.

if you have to move, you can sell your house but not have a mortgage.

not up to the bank to decide your life path.

i know its harsh. believe me others on here could make you cry.:)

Mamounbean

Thanks for that. We think we meet all the criteria. And obviously we have no right to demand their money, but are they obliged to give us the details of WHY they have refused us?

We actually got mortgage with Natwest agreed today (with far less hassle!), not a bad rate either.

SLAMMER_2

Mamounbean wrote: »

Thanks for that. We think we meet all the criteria. And obviously we have no right to demand their money, but are they obliged to give us the details of WHY they have refused us?

We actually got mortgage with Natwest agreed today (with far less hassle!), not a bad rate either.

they should tell you why and normally when they tell you most people realise why.

little tip, never demand. Be polite (which i'm sure you are). Just ask for a reason and i'm sure you'll get one.

glad you've got a mortgage sorted.:T

remember though the original bank may have different criteria. its not a personal thing.:)

Thrugelmir

Mamounbean wrote: »

Thanks for that. We think we meet all the criteria. And obviously we have no right to demand their money, but are they obliged to give us the details of WHY they have refused us?

We actually got mortgage with Natwest agreed today (with far less hassle!), not a bad rate either.

But no doubt at a higher rate of interest.

So both the banks are winners from this situation.

There's probably a Natwest customer heading in the opposite direction.