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drawing down extra funds

guestd
guestd Posts: 2 Newbie
in Mortgages & endowments
hi - i have recently drawn extra borrowing on my mortgage. The lender would let me take it to 85% for home improvements.

Since i got the money i have done some of the work, but my situation has changed. I need to use the rest to pay off a debt.

At the time of application i was told i could only have 75% for debt consolidation.

I i use the money in this way:
1. will anyone know?
2. am i breaking the law?

Any other suggestions?
I have done some of the work on the house but dont want to get into trouble with the lender.

Thanks

Comments

  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    To clarify. Do you now have a 85% LTV and wish to borrow more?
  • kingstreet
    kingstreet Posts: 39,352 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    The OP appears to be using funds earmarked for home improvements for debt consolidation. Had he/she applied on that basis, the lender would have restricted the maximum borrowing to 75%, not 85%.

    After the event, there's not a lot the lender can do about it.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
  • guestd
    guestd Posts: 2 Newbie
    Hi - I have an 85% MTV based on the theory I was spending onthe house, but I needed to use sOme for a debt and am concerned that I have done wrong?
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    No point in worrying now.
  • _Andy_
    _Andy_ Posts: 11,150 Forumite
    Fraud is cool
  • kingstreet
    kingstreet Posts: 39,352 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    _Andy_ wrote: »
    Fraud is cool

    Proving intent would be a tough ask IMHO.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
This discussion has been closed.
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