Long service advance of pay and HSBC

Lottebear

Does anyone have experience of using Long service advance of pay with HSBC, we were due to complete and exchange on Monday but now they have started asking loads of questions to our solictor, she is dealing with them.

I was wondering if they has done this with others?

Fergie76

What are they asking?

The LSAP will appear as a second charge on the house.

samm1551

If the LSAP shows as a second charge on the house there should not be an issue. I have 3 charges on my home (my parents put a charge on to save me from getting stitched when getting divorced). My mortgage was then, and is now with HSBC.

Trying_to_be_good

LSAP isn't a second charge any more, but is classed as a loan and so is taken into account by the lender when calculating the maximum size of the loan they will offer. All this should be sorted out prior to exchange of contracts, as you should have accepted a mortgage offer by then.

Good luck with your purchase.

Lottebear

Many Thanks for the help, everything went through ok, they has to re asses affordabilty as it is loan, although I think this was their mistake not to have done this on offer of the mortgage.