*ANSWERED*: Bankruptcy Search AFTER EXCHANGE! - Can HSBC now pull my mortgage offer?

Ciske

I vaguely remember reading the HSBC application form and it having a disclaimer about assumptions they had made during the process, and one was about bankruptcy. I've just checked and it's not mentioned in the Key Facts doc or the Offer doc, so it must have been the application form itself.

Also, from the T&C Booklet: 'We can withdraw from the Agreement before First Drawdown or, at our option, delay First Drawdown in any of the following circumstances'.... 'We discover any adverse information that is relevant to our decision to lend to you.'

So that covers a rather wide set of circumstances.

Jojo1daffy

It does.. Bet the OP is tearing their hair out with the wait, I know I would be

Wh05apk

I am certain lenders would have access to the full credit report, we certainly did at branch level at Abbey, back in the days of "anything goes", so I am sure now with everything so much tighter lenders will not risk missing something important, certainly when discussing cases with lenders, they will "indicate" that a client has ccj's/missed payments which would imply they have access.

Contrary to "popular" opinion a bankruptcy is not a 6 year sentance, it is for life, it may only show on your file for 6 years, but you will still be a bankrupt, hence why solictors do a search prior to completion (incase of bankruptcy occuring since application) many lenders now will decline regardless of how long ago /how small it was for, I suspect HSBC who are normally very picky are one of these.

There will always be a question on the application asking about bankruptcy, I suspect the branch sales person glossed over this? it may not have been picked up on the search as you would have provided 3 years address history, if you had moved shortly after the bankruptcy, that could be on an address not checked.

I am truly sorry for the OP's predicament, but unfortunately this highlights the danger of "DIY" having anything as serious as a bankruptcy will always cause problemsm a broker would/should have asked about this and placed the application appropriately. Depending on the outcome, I would get in touch with a broker ASAP and potentially get another app lined up, depending on LTV etc there may be a chance elsewhere.

Jojo1daffy

I am certain lenders would have access to the full credit report, we certainly did at branch level at Abbey, back in the days of "anything goes", so I am sure now with everything so much tighter lenders will not risk missing something important, certainly when discussing cases with lenders, they will "indicate" that a client has ccj's/missed payments which would imply they have access.

The credit score has it covered - I'm not lying! We aren't in the days of 'anything goes', we are in the days of 'if you have a credit score over 950 will might think about giving you a mortgage providing you jump through several hoops'.
The credit score system is adjusted to reflect the criteria the lender wants to take into account, they all have it wound in so tight so that only the very creditworthy get automatic acceptance - the OP is one of these. They have said the satisfied bankruptcy report is visible on their credit file - this will be reflected in their score Different levels score may indicate different things such as missed payments etc (doesn't actually mean that this is the case but it's what the score indicates). If they had been declined on the score and the lender had said 'sorry you don't meet our criteria' they could've then appealed and sent in their report - this would've been looked at and they would've said 'Ah bankruptcy - that's why your score was cack - sorry still no!'.....
But this did not happen to the OP.

coxyboi

hi most banks will run credit check and get reports on the info they want this will show on Ur search history, my guess is that they assumed the bankrupts would show here????
may be worth looking at Ur own report to see what they can see!
check out .... callcredit, experian and equifax all will give u a free trial on line 30days, or for £2 post ya a copy.
but I'm guessing that it could be for some reason the bankruptcy wasn't recorded properly,
as mine doesn't show on my records???? 2008-2009,
i was in an Iva that didn't work so went bankrupt, the Iva is recorded but the bankruptcy wasn't, odd now I'm not sure what to do? as i looking for mortgage too, have 50% deposit but still
banks wont mortgage to people with Iva's so bankruptcy not looking good??
i hope it works out for you, maybe there take it in consideration that it got this far??

Wh05apk

coxyboi wrote: »

as mine doesn't show on my records???? 2008-2009,
i was in an Iva that didn't work so went bankrupt, the Iva is recorded but the bankruptcy wasn't, odd now I'm not sure what to do? as i looking for mortgage too, have 50% deposit but still
banks wont mortgage to people with Iva's so bankruptcy not looking good??
i hope it works out for you, maybe there take it in consideration that it got this far??

Whether it shows or not, you should still declare it, some lenders will lend, although the criteria will be strict, if you have 50% deposit that will certainly help.

As an aside if you went bankrupt 2-3 years ago, how have you built up 50% deposit so quick?

coxyboi

i got the deposit via a mix of working hard and an insurance pay out,
got over 64K and seen house for 125k, and not missed any payments since 2006, earning over 22k year with no debts,
but at the moment any Iva or bankruptcy seem to get a flat no! even had a word with a few brokers and not had any luck so far! so any advice welcome,

Wh05apk

Coxyboi, most will require the bankruptcy to be discharged for 3 years, sounds like you are not too far away?

maninthestreet

Made bankrupt in April 2007, but haven't missed a mortgage payment since 2006? This doesn't add up.

DemonIT

I think he means he hasn't missed a bill payment (e.g. Gas, Mobile phone), not mortgage payment.

Also, I was 2007, I think coxyboi was 2008.

J