Remortgage questions

MAngerman

Hi all, first time poster, long time reader here.

I am trying to arrange a remortgage, primarily to pay off some debts and get myself back on track financially. I have remortgaged before with my existing lender but thought this time I would engage a mortgage broker to see what deals I can get.

The broker has suggested Nat West, but they want me to send 3 months bank statements on top of my pay slips, P60's etc so they can verify that my wage slips reflect the money going into the bank!?. I've never come across this request before and am a little concerned. Apart from the fact they want me to email bank statements, which I'm not happy about, I agreed to blank out my balance and a/c number etc as I don't want them to see my overdraft as I feel it's my personal business, so that is what I sent. They have come back and now said they won't offer me anything unless they see the unabridged version, plus details of my wife's account. I am employed and earn commission, as I always have done, and thought this sort of request would be for self certification mortgages. I also pointed out my wife has a part time job, she gets paid in cash and the account is a joint one, apart from her going to the bank on payday and showing them her cash, how can she prove this above and beyond providing her payslips?

Anyway, is this something new that banks are doing, has anyone else had this sort of request, or could it be the broker requesting the info rather than the bank.

I'm not happy that I'm being treated like a potential fraudster, which is a ripe request coming from banks who threw this country (world) into severe debt with their dodgy dealings. Should I go elsewhere or is this the norm now. I've told them I will only consider this request if I can have direct contact with the bank, as I am worried they will see the overdraft as a negative thing when I know the re mortgage will clear everything and reduce my outgoings substantially and would at least like the chance to explain.

Any advice appreciated, especially if you've made it to the end of this semi ranting email...

Mark

GMS

Many lenders ask for bank statements. They can reveal any number of things. Primarily it will be to verify income but also to see how you conduct your finances. Any bounced direct debits/cheques or charges will raise questions. Any undisclosed credit will show up and be questioned.


Self certification it is not.


Blanking out balances is defeating one of the objectives so they will not accept these. Franly your broker should have told you this before submitting them. The question from the lender underwriter may well now be 'What have you got to hide?'


If you have decared your wife as having an income it will need to be proven. If it is 'cash in hand' then this will not be acceptable. Paying cash into the bank could be from anything, not necessarily a job.

There are lenders who may not have asked for bank statements but they all reserve the right to request as much information as they deem necessary.

You are not being treated like a fraudster. It is responsible lending.

Your broker will send certified copies of documents to the lender. Why will you not provide the information to them?

MAngerman

Thanks for the reply, as I mentioned I have not come across this sort of thing before so was unsure as to why they would need it. I was told by the broker that all they wanted to see was confirmation that the money on my wage slips matched what went into the bank account, that's what put my back up. Where would the money go if it wasn't going into my account was my thought. Anyway, I decided if that's what they want, that's what they will get, i.e. a statement that show's the money going in, no extra info. My concern was some random stranger will see my overdraft and use that against me when the truth is this remortgage is the difference between solvency and not. Maybe not quite that drastic, but pretty damn close. I think the broker probably should have explained things better, but they've replied and agreed with my request that if I do send it, I want to talk to the bank direct to make sure they understand that the monthly saving in getting this remortgage is the answer to my current woes.

As for "responsible lending", they should have thought about that one a couple of years back, then we wouldn't all be suffering the pain of the current economy, but that's obviously neither here nor there but something I felt the need to write, I am a the end of the day a cantankerous old [EMAIL="f@rt"]f@rt[/EMAIL] :-)

Thanks

Ronaldo_Mconaldo

What comedy. You think that the fact that you have no money and are using your overdraft might be used against you? Good, that's the idea. It's ironic that you are ranting against the bank for not giving you money and getting the country into a state due to irresponsible lending when it was the irresponsible lending to people like you that got the banks into such a mess to start with.

GMS

MAngerman wrote: »

Thanks for the reply, as I mentioned I have not come across this sort of thing before so was unsure as to why they would need it. I was told by the broker that all they wanted to see was confirmation that the money on my wage slips matched what went into the bank account, that's what put my back up. Where would the money go if it wasn't going into my account was my thought. Anyway, I decided if that's what they want, that's what they will get, i.e. a statement that show's the money going in, no extra info. My concern was some random stranger will see my overdraft and use that against me when the truth is this remortgage is the difference between solvency and not. Maybe not quite that drastic, but pretty damn close. I think the broker probably should have explained things better, but they've replied and agreed with my request that if I do send it, I want to talk to the bank direct to make sure they understand that the monthly saving in getting this remortgage is the answer to my current woes.

As for "responsible lending", they should have thought about that one a couple of years back, then we wouldn't all be suffering the pain of the current economy, but that's obviously neither here nor there but something I felt the need to write, I am a the end of the day a cantankerous old f@rt :-)

Thanks

The statements will be to check your financial conduct. Missing pages, blanked out transactions and anything that could be seen as an attempt to conceal somehting will cause you issues.

The 'random stranger' you refer to will be the underwriter who decides whether or not to approve your loan which now sounds vital to you.

Discuss your concerns with your broker. Your broker should have put the case to the lender for you i.e explaining how you will be better off etc. That's why you employ their services, so you don't need to do the leg work yourself.

I hope you get it resolved but be careful as to what you do/don't submit to them. Make sure the broker is in agreement first.

Wh05apk

Must admit though Nat west would not be my first choice of lender for anything other than low multilpe/low LTV/high credit score cases, they are a pain in the a**e to deal with.

MAngerman

GMS thanks for your reply, I think the broker should have explained the situation more clearly, I am more than happy to send my info now I understand what it is used for and realise how it would come across as me hiding something. I have since discussed this with the broker and they have explained it properly so, on top of your comments, I feel much better now. Which is why I posted on here in the first place.

Ronaldo, save your replies for someone who asks for ill informed comments, I don't beleive I did. Unless, somehow, you can judge a persons life and situation from a single email I suggest you go back to your quite obviously sad and lonely life of trawling forums for no apparent reason other than a poor attempt to fill whatever the massive whole is in your life. Good luck and when you come back at me with an even pithier response, please don't be offended when I ignore it, or do what you normally do and chalk this up as a win for you then take the rest of the day off.

Wh05apk I appreciate your comments, I've had more than my fair share of pains to deal with (see above:)), but I will check out your comments as well.

kingstreet

Before I go anywhere near a lender MY requirement is three months' payslips with at least one month's bank statement verifying the credit from one of the payslips.

Sadly, it's no longer possible to take the client's word for it. I've heard of brokers having their agencies pulled after cancelling applications when there's a request for further income documentation.