Underwriters reassurance required

stressed_out_dad

Hi all i know there are millions of threads on this already or similair anyway but i was wandering if yoou lovely folk can possibly reassure me.

Basically my partner and i purchased our first home almost 2 years ago and sine then the property has declined in price by approx. 10-15%

We have agreed a part exchange with the builder of the current house to move to one of his larger more expensive homes.

we have been given an exceptional deal here as they have agreed to give us the purchase price of our flat and throw in carpets landscaped gardens and fencing as well as giving us shared equity 85/15 split to make our dream move possible.

Basically my issue here is with my mortgage application it was sailing through seemingly and the halifax agent said there were absolutely no issues regarding the credit checks.

all was well and all i had to send in was my most recent payslip which i did inbranch the same day and then laterly a 3rd part permission form for references etc.

Then all of a sudden the underwriters are involved i have been informed the only reason is because 15% of all applications must go through the underwirters randomly and i was unfortunate enough to be picked.

Basically they have come back and aked 3 questions firstly where my 5% deposit is coming from (equity and savings), secondly about a default on my credit report from 6 years ago when i was 21-22 a vodafone account whoch i struggled to pay as an apprentice but was settled. and lastly about 2 recent bank charges which i explained were due to my error i opened up a bill paying account and failed to transfer enough money between accounts and rectified this as soon as flagged.

Do you see any of the 3 things questioned being an issue or are they just doing there bread and butter checks as it was a random check i actually even under estimated my salary by 3-4k a year which the informed me of

just really stressed otu as i have paid £500 deposit and they builder already ahs my home on the market im not sure where i would stand if it all fell through , im meant to be signing my missives in the morning and obviously cant do that without finance behind me :sad:

any help appreciated as i am doing this without a broker whilst working away from home and getting severely stressed out by this.

holly_hobby

The underwriters are checking where the deposit is coming from to ensure its from your own funds & not gifted or builder assisted.

The reason why they have asked about your default, etc, is to obtain your explanation as to why these events occurred - if plausible and acceptable to them - than no problem. They are trying to get a handle on how you manage your finances & therefore a general view of your attitude to debt & financial commitments - thats all - nothing unusual about this, indeed if I had submitted the mge as a broker I would have included an explanation of the same, as all u/ws should request such data to perform a full assessment - thats their role.

By the way, your Default at 6 yrs old should have, or be about to, fall off your credit record.

Holly

Thrugelmir

stressed_out_dad wrote: »

Do you see any of the 3 things questioned being an issue or are they just doing there bread and butter checks as it was a random check i actually even under estimated my salary by 3-4k a year which the informed me of

These issues would have caused a referal to the underwriters when they were detected. All part of the risk control procedures in place.