Refused Mortgage Northern Rock

blue03water

We have been trying purchase property now for 7 months.
We were initially going to purchase the house that we rent which is for sale valued £210K, we were recommended broker through friend of dad and got an aip with santander. We then found property for £210k and provided all details to mortgage broker, we instructed solicitors etc. after 4 weeks of chasing our broker as seemed to be taking ages, 2 weeks later santander came back and said they would give mortgage if we could raise an additional £10K deposit we currently had £30k. We declined thought ridiclious so pulled out £600 down on solicitors and abortive costs. Our mortgage broker then got us an aip with RBS why he couldn't of got this in the first place god only knows. We then found another property £200K offered accepted. This time we held back on solicitors until the owner had found property. 3 weeks later the owner pulled out they couldn't get enough to move up the ladder. We stopped looking for a month then started looking again and then found a new property for £184,950, alot less so we decided to clear loan we had and used £10K of our deposit. We were fed up with other broker as didn't return calls and seemed to be taking along time, if he found rbs initially we would probably we moved into the first house by now. We decided to go with another broker who went through few companies with us then decided on northern rock, we got aip and provided all documents,they took valuation money, we then instructed solicitors on this basis. 8 weeks later!!! and much chasing they came back saying partner had late cc payments last 36 months. We don't have any missed payments between us so knew this was wrong and personally supplied experian report which showed this was incorrect. Appears it was my dad as we have there address prior to our current one on our files when we lived at my parents for a while. Nothern rock then came back saying they don't use experian credit checks which partner uses, he then registered credit expert got report and got 999 rating we provided to broker who spoke to northern rock, who still said no we don't meet criteria. What really is going on, they took money for valuation? and completely wasted our time and money. Should they really be going this if they have no intention of lending, why did they give aip. No other reason given only we don't meet criteria. We are now £1500 down on solicitors costs and valuation money paid. Our broker says she will try halifax but we now see this as a gamble, if we go through all this again and part with more money and are refused we could be looking at £2000 lost and for nothing. We have joint income of £50k and £20k deposit, no other debts all cleared. We currently rent £900 per month never missed payment, both our reports with credit expert are over 900. It is a joke really can i persue northern rock and get valuation money back which they should never have taken, which looking at they had no intention of lending in first place and giving us a bunch of lame excuses.

Thrugelmir

An AIP is not a formal mortgage offer. Lenders obtain data during the application process in deciding whether to advance you a mortgage.

Suggest you switch to another broker and ask them to appraise your circumstances fully before applying to another lender. As appears that other issues may be impacting.

MagicCats

If you have been refused by Northern Rock then the issues with Santander and RBS are secondary and only muddy the post so I would leave them out. I know you've lost money through these problems, but the most recent are most pertenant.

As I understand it NR have refused you on the grounds on late payments 36 months ago? But these payments you claim are from your fathers's account, but NR say these late payments are the subject of your partner?

Something is not right here. If your partner was living at his parents home and shared the same name as his father (disregarding DOB) then you could understand the mix up on credit report checking. But for them to suggest someone with a different surname i.e your fathers's (I'm assuming?) and different DOB to share a similar credit file owing to the confusion is just not right.

You need to get both your credit reports from all three agencies and check these before doing anything else.

I don't mean to sound harsh but banks confusing your partner's credit file with your Dad's sounds like a load of old cobblers. Which is why you need to be armed with all the facts before letting anyone apply for more AIPs for you.

Dave_Ham

Typically this is not the way broking works.

Usually the banks would not let you have a valuation (nor would we want to) until the credit score is approved...?

Ok, so if they underwrite post application and you have told porkies about income etc. then so be it, but not on credit scoring and not on another credit file from family member.

Echo previous comment "load of cobblers" what you have been told...

I wish you more luck going forward.

alexjramsay1

Also, I would hope the broker would have known this and informed you but Credit Expert = Experian, they aren't two separate agencies. The other main agency is Equifax, and the smaller third agency I believe is CallCredit (never had cause to look at them)

It is possible for you to have missed payments showing with one credit agency and not another, but it is quite rare...

Sounds like you've been very unlucky with who you have working for you - I promise we're not all like that!

Alex

Thrugelmir

alexjramsay1 wrote: »

It is possible for you to have missed payments showing with one credit agency and not another, but it is quite rare...

Many companies only register data with one agency.

blue03water

Thank you for all your responses. It just seems to be a very bad way to process mortgages. We put in offer on house on 2/02/2012, by 15th Feb we had illustration documentation from northern rock outlinding our loan amount and repayments. On 17th Feb they took £287.00 for the valuation, by 28th we get the valuation report. We then don't hear anything until 27th March, after weeks of broker saying they are processing to them come back and say no they won't give us a mortgage because my partner had late cc payments. We knew this was rubbish as neither I nor my payment have no history of any late payment. We gave broker credit report, who went back to northern rock who then said it was my dad, completely different names and date of births, but no they still will not offer, no other reason now just we don't meet there criteria. And it took them a month to come back with just that!!!
They were all very quick to take our £287.00 for valuation, personally just feel like they've ripped us off.

Thrugelmir

blue03water wrote: »

They were all very quick to take our £287.00 for valuation, personally just feel like they've ripped us off.

Do you expect them to process your application for free?

blue03water

of course not, but they just seem very quick to take your money and then take ages to do anything about processing mortgage. Just annoying as if they were doing job properly then any questions they had should of been asked at the beginning not 8 weeks later. I would not have been so quick to pay the valuation, as were led to believe all was going through.
If they are doing this to say 4 people a day then they are making quite a bit a month without then actually going through with lending.
Just crazy times really with mortgages, I know more people now in there 30's on £50K plus incomes, decent deposits who cannot get mortgages just can't see any sign of things improving very fast. Headlines are complete load of rubbish.

Thrugelmir

blue03water wrote: »

Just crazy times really with mortgages, I know more people now in there 30's on £50K plus incomes, decent deposits who cannot get mortgages just can't see any sign of things improving very fast. Headlines are complete load of rubbish.

Incomes mean nothing. Higher income means more expensive lifestyle. Quite often higher debt. As an attitude of spend today pay tomorrow.

All very well until of one of the 3 D's hits then life changes for the worse.

3D's are death, divorce or distress.

poppy10_2

Thrugelmir wrote: »

3D's are death, divorce or distress.

Thought it was death, divorce and disease.