Paying off CC every month has caused mortgage application to be declined!

indigo9

I have just been informed by santander that my application to port my mortgage (after various other issues) will not be progressed due to the fact that I clear my credit card balance every month!!!!!

It was explained very clearly to them in my initial application that it is a card that i use for business expenses. I am employed and therefore I pay for my expenses on the credit card rather than out of my salary and claim back my expenses every month and use them to pay off the credit card - sensible I thought.

However, Santander have decided that this is a financial commitment and are using the average £500 per month figure that I pay off instead of the 3% minimum payment as an outgoing!

I have disputed this and provided proof that my employer pays my expenses direct into my bank account each month and that this is what I use to pay my credit card off but they will not budge.

This means that they will not port my mortgage based on affordability.

I am just about to give up and pull out of our chain!!

Thrugelmir

My gut instinct is that this a polite way of saying no portability of the mortgage.

They just gave the best reason they could find.

So make the most of the low interest rate to save money.

The_J

Are you sure it's not because of your partner's prior repossession as per previous thread? That would be more likely.

They may not be able to disclose that for data protection reasons.

Simon_gloster

5223u2629]Are you sure it's not because of your partner's prior repossession as per previous thread? That would be more likely.

They may not be able to disclose that for data protection reasons.[/QUOTE]

Ah now it becomes clear, thanks J. I did wonder by paying back a CC every month, even Abbey would decline.

If you have failed to disclose important information, its unlikely you'll get help.

indigo9

Had I not disclosed my husbands prior repossession I could have agreed that this was a likely reason. However, I was asked the question in my mortgage consultation and I told the truth - I was informed that it would need to be referred which I completely understood.

However, they won't even progress the application that far because of the issue re my expenses credit card. I just cannot understand why they would go to the hassle to make things difficult rather than just straight decline based on my husbands previous history - perfect excuse I would have thought!

Thrugelmir

indigo9 wrote: »

I just cannot understand why they would go to the hassle to make things difficult rather than just straight decline based on my husbands previous history - perfect excuse I would have thought!

Banks will never give the true reason.