HSBC won`t let you add redemption penalty to your mortgage

shaunt

Hi,
If your going to be applying for a HSBC mortgage and you have a redemption penalty to pay from your current mortgage provider, unless you can pay the penalty in cash you WILL NOT be allowed to add it to your mortgage with HSBC.
We went to apply for one of their products today only to be told that they wouldnt add the redemption penalty from our curent provider to the total of the mortgage. The redemption penalty was £1100 which would have made our mortgage 57k which was well below their 60% LTV.
This only came in a few days ago and due to their staff being on hols etc we have lost out on a good mortgage product as we`ve had to wait 3 weeks to get an appointment only to find out less than 1 minute into the application that we couldnt have the product due to the redemption penalty from our current mortgage provider.
Hope this helps some of you out
Kind Regards
shaun

Thrugelmir

Insufficent savings to raise £1,100 ?

You may not have received a mortgage offer even if the redemption penalty could have been capitalised.

[Deleted User]

Agree with Thrugelmir. You may well have failed on affordability in any case, so don't let it bug you too much.

shaunt

Have got savings but don`t want to use them. The best part about it is then rang HSBC call centre and they said i could add the redemption penalty to the mortgage,
cheers
shaun