stoozing and mortgage applications?

dcurzon

hi

i should be applying for a mortgage within the next 6 months or so, would it be adviseable to not partake in any stoozing activities prior to getting the mortgage? or would it be ok providing i clear the card/s before the mortgage gets agreed?

thanks,
darren

Galstonian

I stoozed right through a remortgage so I guess it comes down to how the underwriters see you and that probably varies by lender almost as much as it does by borrower. If in doubt ask up front, you can't be penalised for that. If they say they don't like it then stop, if they say they don't care then carry on, if they say it affects income/affordability calculations then do the sums and work out if it impacts you badly.

Also bear in mind that your mortgage activity may impact your stoozing. You'll have searches, a new address and electoral roll changes to cope with.

obeywan_kenobe

i have quite alot stoozed up (Over £10,000). I also pay a fortune in childcare fees therefore when I went for a mortgage meeting with my Building society you can imagine i was a bit aprehensive. However they were understanding. As long as you dont have any CCJs (county court judgements), previous mortgage arrears or past bankruptcy then you should be OK.

Shinds

Do u think that certain lenders might pick up on it and not like the fact that you owe so much on Crecit cards etc...

nh

But as you'd have the savings to cover the 'debt' you can prove it is not a problem.

Galstonian

The problem will be the ones who take your minimum payments straight off your monthly income when calculating affordability.

smartsaver

nh wrote:

But as you'd have the savings to cover the 'debt' you can prove it is not a problem.

Britannia seemed to think we may spend the 'savings'. We explained that we would be offsetting them against the mortgage and they were happy to lend the money.

Reaper

If you have a mortgage lender in mind then you can always ask them as suggested above. However if not then I can't help but feel you are limiting the field to those who are understanding.

Particularly if it's your first mortgage rather than a re-mortgage then I'd say cut back on the stoozing. I just don't think it's worth the risk of having to settle for a couple of percent higher interest on your mortgage because the cheaper lender got put off. That would dwarf any profits you could make from stoozing.


EDIT: Oooh look - my 1000th post. I feel I ought to say, um... er... Well I'll think of something clever by the time I get I get to 2000 I promise.

smartsaver

Reaper wrote:

If you have a mortgage lender in mind then you can always ask them as suggested above. However if not then I can't help but feel you are limiting the field to those who are understanding.

Particularly if it's your first mortgage rather than a re-mortgage then I'd say cut back on the stoozing. I just don't think it's worth the risk of having to settle for a couple of percent higher interest on your mortgage because the cheaper lender got put off. That would dwarf any profits you could make from stoozing.


EDIT: Oooh look - my 1000th post. I feel I ought to say, um... er... Well I'll think of something clever by the time I get I get to 2000 I promise.

I agree with you with first mortgage, but with offset they can't lose so much as interest rates are generally higher and you need, I think the current figure is, 45K to make it worthwhile. Congrats on ur 1000th Reaper. Still can't get the smileys into the text...

Galstonian

I'd have thought that for a first mortgage your ability to stooze would be somewhat limited anyway. In that case I'd suggest shopping around for the best discount available and see if that would be cheaper even with no stooze money at all.

dcurzon

ta for the replies. im going to do a short term small stooze as im waiting on my house sale to complete, i want to top up my ISA then top it up straight away once into the new tax year, paying it back with the proceeds of the sale. (not much compared to what the ex wife will be getting )