additional borrowing declined- Any mortgage advisor out there??

neenmarie

Hi

We have recently been to our mortgage lender (Barclays) to ask for additional borrowing of £20,000.00 on the mortgage. Our mortgage at the moment is £75,000 with 20 years left. At the moment we pay £290 per month as we are on a tracker mortgage of 0.79%. We have been turned down for this extra borrowing due to adverse info on my hubby's credit file. Our mortgage advisor can't tell us what exactly it is for but said we could go in with the report and she would look at it. Is it worth doing this? Might they re-consider a we really need the extra money for debts and home improvements. By having this borrowing on the mortgage it is a lot less interest charged than on our loans and credit cards.

Thanks

neenmarie

Anyone have any ideas or suggestions please:)

beecher2

You may as well see your mortgage adviser. Maybe the lender isn't happy about consolidating debt.

Go onto the Debt Free Wannabee forums for help in dealing with your debt.

spadoosh

bear in mind if you did borro the extra money you could be looking at paying between £500 - £700 on your mortgage.

Amazed anyone has ever had a deal .29% above base and will really expect your mortgage rates to be atleast 3-5% in the next 3 years could you afford that?!

kingstreet

Order your S7 credit files online and pay the £2 fees. You'll get the files back within a week. Experian, Call Credit and Equifax sites as follows;-

http://www.experian.co.uk/consumer/statutory-report.html

https://www.callcredit.co.uk/stat-report-online/index.php?action=basket_add&tpl=setRegister&package=63&amount=1&mode=clear

https://www.econsumer.equifax.co.uk/consumer/uk/gb_consumerletter.ehtml

Post back in here with what you find so we can see what you're up against.

Rescheduling short-term debt over a longer period is not a good idea, so I'd suggest you think about paying more than you need to get some of it paid off quicker.

iluvpink1

This happened to me today! My mortgage advisor said we could appeal and i have drafted a letter explaining in more detail our situation and finances. Not sure if it will make any differnece though!!

kingstreet

Both of you, get your files and go see an independent broker. Once you know exactly what the issues are, he'll know how best to approach them.

CloudCuckooLand

You can go through the files yourselves...it doesn't need a broker to spot many problems.

Multiple loans could be the issue. Maybe there are more than you have so far discovered.

CloudCuckooLand

Mentioning the defaults might have helped people answer accurately...