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Mortgage from Nationwide

my husband and I have submitted our mortgage application through a broker yesterday together with 3 months bank statement (Dec11-March 12')+ 3 months payslip+p60.
Contacted by broker again and asked for another 3 months bank statements (Sept 11-Nov 11').

The statements from Sept 11-Nov 11' showed that my husband had some overdraft , on average about £500 towards the end of each month and he also paid a regular amount to his credit card account (this was due to the extra spending for our wedding in Oct 11') but his bank account balance became positive and stable from Dec11-March12' once the credit card balance was paid off completely in Dec 11'.
I don't have any overdraft in my current account from Sept 11' to March 12' or any outstanding credit card balance.

Our total monthly income after tax is about £4000 and both of us were employed.

1) What will the underwriter look for from our bank statements?
2) Does my husband overdraft affect our mortgage application?
3) What should we do if the application is turned down?
and can we put more deposit to secure the mortgage instead? (Our LTV is 80% at the moment but we are able to increase to LTV 70% if needed )

Comments

  • bf206
    bf206 Posts: 34 Forumite
    We got our Nationwide offer through a broker too. We didn't have to submit that extra three months of statements but because we were very close to the borrowing limit, the broker got me to dredge up old payslips showing I'd got bonuses from work in the past, to provide the lender with greater certainty of income.

    I also had a few big credit card bills in the statement period Nationwide had which did worry them at one point. But I told the broker the reason why (holiday) and i assume the bank were happy with that.

    From talking to my broker, it sounded like certainty and level of net income, coupled with built up credit card debt, were the main things being looked for.

    Your broker should be able to tell you if and why there are any problems and, if need be, could recommend another lender which might have slightly different qualification criteria.
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