Northern Rock mortgage refusal

kimmie32_2

We have a mortgage with northern rock and applied for a new one as we want to move house. We had a deal in principle that ran out in july. We eventually accepted an offer on our house and went back to northern rock and we declined a mortgage. The offer in principle had run out by 5 days and they had looked on our credit score and we failed! They will review it in 3 months. I bought a copy and looked at it and yes there are a few cc over the limit by about £32 but the main thing is a catalogue company that have said i have missed 4 payments and i owe them £18. Do you think this is the reason they refused?

We have very sympathetic buyers and they are willing to wait the 3 months, which will be 6th November. I have tried really hard to fix it all by making sure my credit cards are under the limit and even rang the catalogue and my balance is actually 64p which they say they are writing off and closing my account.
WHAT ELSE CAN I DO!!!!!!!!
I feel a complete failure to my Husband and we have had our heart set on moving.
Thanks
Kim

kimmie32_2

Anyone??????

Cara79

Hi

This should really be on the Mortgage Board, as you would get more response. Hopefully someone will be along soon to move it over.

I suspect the fact of missing 4 payments on your catalogue has had an impact on their decision.

I'm not sure what would have changed in 3 months though, but I suspect someone else will be along shortly to clarify this.

Can I ask why you don't try a different lender? If you see a whole of market broker, they would be able to find you something I'm sure.

Good luck
x

markmc999

I have heard NR are a swine in relation to credit - direct from people who work there. (Im in Newcastle and know a lot of people on their sales/mortgage teams).

I'd say you possibly have 2 ways of going around this. Go and speak to somebody in a NR branch and see if they can help or get a IFA and see if they can contact them direct and ask for advice - explain what has happened etc. and ask them for advice.

It may be worth however simply finding another lender rather than waiting the 3 months as there is no guarantee they will accept you then either - remember you will still be listing as 4 missed payments on your credit ref. file even though the account has been closed.

going2die_rich

I know it isn't the best news in the world and you were unlucky that you didn't complete a week before it ran out, but you can't beat yourself up about it. It's just one of them things.

I've also know people who worked at or still do work at Northern Rock.

They have recently had quite a bit of bad debt so are tightening their lending criteria. So although you may have been able to get a mortgage previously, with any changes in policy in the last 3 months you may no longer match their lending criteria.

You should ring the catalogue company and ask them to contact equifax/experian to correct the fact that you owed 64p and not £18, they may remove it completly.

Also I know Northern Rock allow you to do mortgages online by yourself so if you remember what mortgage product you wanted you can enter your details in again and see if you will be accepted. This will produce a KFI (Key Facts Illistration) and then a DIP (Decision in Principle). The DIP will show you the amount they will lend you. If you are blankly refused (i.e. not referred or accepted), you are failing one of their vital lending rules therefore you are very unlikely to be considered again in 3 months so it may be time to look at other lenders.

Hope this helps,