Hsbc 90% ltv

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Hi All,

Ok so I was all set for applying direct to HSBC for this mortgage at 3.84% over 25 years.

I had spoken to an IFA and he wasn't aware of this rate but a quick squiz on her suggests that HSBC don't have broker introductions.

However also on here I've seen that HSBC like to cherry pick and frequently these types of mortgages are turned down, even after AIP stage.

I'm currently debating whether to go direct to them and risk a decline or just to go with what my IFA suggests.

My current mortgage is with firstdirect but I think my needs now are pretty complex.

I'd effectively have two mortgages - one on interest only till it's sold and the other i'd be residing in.

What do you think - direct or IFA?

My IFA charges a fee so could i still get them to apply through HSBC even although they may not get commission?

Thanks.

Thrugelmir

Firstdirect is a subsidiary of HSBC. So for intents and purposes are the same bank.

HSBC do not cherry pick. They have constantly maintained high traditional lending standards and criteria even through the credit boom years.

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I knew they were a subsidiary. Perhaps banking with and holding a mortgage with Firstdirect will be an advantage.

I'm sure their criteria for mortgage purposes will have been the same.

I think what i'm looking for will be affordable.

Will it do any harm to contact HSBC direct first and then if declined contact an IFA. How would these multiple AIP's affect my credit rating?

Conrad

Right this thing about having 2 resi mortgages at once leads me to conclude HSBC will likely fail to deliver at the last hurdle once they realise it is not a simultaneous sale and purchase (Bank staff often assume the current home is being sold).

Therefore someone like Halifax or Abbey / Santander might be more useful. If you yourself apply direct keep in mind you have to word things correctly as you will be dealing with call centre staff that often have no experience of anything outside the norm (ie a straight sale and purchase).

Maybe a broker might be more sensible this time - be careful they will almost certainly want to sell you life assurance - clarify if it's best value now - dont wait until mortgage offer when they seemingly have you over a barrel.

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Conrad wrote: »

Right this thing about having 2 resi mortgages at once leads me to conclude HSBC will likely fail to deliver at the last hurdle once they realise it is not a simultaneous sale and purchase (Bank staff often assume the current home is being sold).

Therefore someone like Halifax or Abbey / Santander might be more useful. If you yourself apply direct keep in mind you have to word things correctly as you will be dealing with call centre staff that often have no experience of anything outside the norm (ie a straight sale and purchase).

Maybe a broker might be more sensible this time - be careful they will almost certainly want to sell you life assurance - clarify if it's best value now - dont wait until mortgage offer when they seemingly have you over a barrel.

Thanks.

I already have life insurance that i took out with my first mortage that should cover both as I insured for a higher amount.

Will HSBC as likely to do this when the interest only repayment for my existing mortgage will be like £60 per month?

On having a look Santander/Abbey and Halifax rates for 90% LTV are a good bit higher than HSBC.

I'll wait and see what my broker comes back with.