Post Office Lending Criteria

heranaway

Hello All,

I will be applying for a joint Mortgage next month, we are first time buyers that a borrowing 85% LTV and choosing the Post Office as they have a decent rate at 3.94% fixed for two years.

Its all good but I have a small concern with the regards to their 'clean credit history' policy. They say Max 2 missed payments within the last 3 years so this is where I am worried, I have no other debts, CCJ's or defaults. My 'credit score' with Experian is 999!

When I viewed my report online, this is why I got slightly worried...

1/ BarclayCard, Settled 09/May/2005 = In the last 19 months of account activity, the number of status 1-2 is 4 and the number of status 3+ is 0

2/ Halifax Card Services, Settled 09/Apr/2008 = In the last 36 months of account activity, the number of status 1-2 is 1 and the number of status 3+ is 0

3/ Capital One, Settled 18/Apr/2008 = In the last 36 months of account activity, the number of status 1-2 is 2 and the number of status 3+ is 0

In summary my credit report is clean, apart from above...student days

Am I getting worried for no reason or should I stay clear of the post office? I can't afford to get into that rejection spiral lol

Any advice would be highly appreciated

gazza975526570

If your saying it says maximum of 2 missed payments and you have 3?......................

heranaway

On the website it says...

For last 3 years:

No mortgage/rent/loan arrears
Maximum 2 consecutive missed payments on credit/store cards
Maximum 1 CCJ to £250, not in the last 12 months
Communications/mail order arrears ignored unless scale/frequency is a cause for concern

It says 2 consecutive, does that mean I have 1? And are they really strict on this?

Crinz

if they alllow small CCJ's then im sure your missed cc payments will be ok

heranaway

I hope so...has anybody else experienced this and been approved? What if I call the post office? Can I speak to the underwriting team, would that help?

sarahdebtbuster

Hi,

I think you will be fine. We had a Post Office mortgage approved a couple of months ago and are all set to complete next week. I have debts and work for myself so had to supply all of my accounts before we were approved. They say on their lending criteria that they needed 2 years but were happy for me to submit one year's worth so they do seem to be flexible.

We found the underwriting team to be excellent, really excellent. I would speak to them to find out and get peace of mind before completing an application.

milliebear00001

I'd suggest you ring and talk to them before applying as you are probably outside their official criteria. If they say no, try a broker.

heranaway

Thanks guys, the info is very helpful. One more question, do I ring post office or bristol and west? I read that they are the ones that provide post office mortgages so maybe they do the underwriting?

Does post office search equifax or experian?

josievg

I would ring the PO mortgages number. We did this when we had a a query for the underwriters. She put me on hold for a couple of mins and came back with the answer from the underwriter.

PO searched Experian for us. Don't know whether they searched Equifax too as I didn't check that report. I guess they only search one.

HTH

heranaway

I did ring PO, the lady on the other end was quite helpfull but she said that they are quite strict understandably but she said they take the whole application into account there fore its my risk if I take the application further...

I am confident in my credit file with experian and equifax but banks are funny now days and I really do not want to get rejected. What about Yorkshire bs and norwich peterbourough? Do they have a strict lending criteria?

heranaway

Bump please