Underwriter asking for more information - is it bad news?

planningforthefuture

Hi there,

We have recently submitted an application to Santander via a broker. We provided wages slips, P60's and a contract extension letter. This was in addition to a million other pieces of documentation/evidence.

The underwriter now wants more information about our income. I am contracted with two years previous and 1 years extension with the same company. My partner is commission based but has been in the same job for over five years.

Am I right to be worried that things are looking precarious and that it is likely to be declined?

iazcac

Not neccessarily. Lenders have rules where all applications which meet certain criteria are referred to their credit underwriting departments for a closer look. For example they may decide that all high LTVs or houses in a certain area where the lender has sufferred for repossessions get closer scrutiny. Even if you vastly exceeded the affordability criteria, ticking just one of the criteria would lead to referral. Your lender will not reveal these criteria however.

Fingers crossed for you

GMS

I had a case with Abbey (Santander) last week where the underwriters wanted to know what the applicants intended to do woth their current property. App form stated they were tenants and included the landlord name. Still raised the question.

They rent it I said. Ok said Santander. Off to underwriters with the question coming back 'What do they intend to do with it?'

Hand it back to the landlord was not enough explaination. Question came back again.

Dont worry too much. If you have told the full story on the application form then clarify it. Some of the underwriters are poor at best.

planningforthefuture

Thank you for your replies. I will desperately be clinging onto your optimism. We are asking for less than half of our affordability, FTB's at a rate of 75% ltv. I thought we would sale through but obviously not.

Fingers crossed!