HSBC surprise D.I.P.

Angry_Bear

(Background: I came on here a while back asking about the possibility of a mortgage with a 25% deposit when my OH has 2 (satisfied) CCJs from 4 years ago.)

I was calling HSBC to confirm the date that my bond time runs out and my deposit will be available again (was planning to take this info to a broker) and the advisor convinced me to do a DIP. I was certain that we’d fail, but the woman in branch assured me that it was only a “soft” footprint so no harm checking.

To my amazement we passed – I know that the CCJs appear on my OHs credit report and we don’t have any other complicating factors (no debts, no expenses, reasonable salary multiple etc). The woman in branch assured me that this DIP would have seen and passed the CCJs so now I’m wondering if it might be possible for us to actually get a mortgage with HSBC :eek:

Does anyone know how HSBC are with regards to DIP vs full application – we were upfront about everything but it felt like the info we had to give was light on the ground (was only on the phone for 15 minutes)?

samtoby

I am no mortgage expert, but I wouldn't hold out much chance. Read someof the threads on here. Most picky. But hope it works out

Angry_Bear

That's what I figured, and why we had pretty much ruled them out. I'm just a bit baffled that the womand in branch (I can't call her a mortgage advisor lol) insisted that the DIP would have "seen" all bad info and was still okay
:think:

The_J

Sounds positive, certainly no guarantee but if your only concern was the credit score then it might be OK.

Lenders typically look to reinsurers over 75% LTV who impose stricter criteria, under that level means they have greater flexibility.

Dave_Ham

I do not fancy your chances I am afraid, but that said risk vs reward and given their rates...?

If it goes nowhere, it will not hugely affect your next application although would not want to keep going down this avenue.

Remember that the HSBC advisor can only offer the HSBC product and therefore they will tell you anything (within reason) to ensure you attempt to go through them..

If speed is important and you have had an offer accepted, I may not proceed on the HSBC gamble as it may take a couple of weeks for them to decline you..

Good luck and do keep us posted...

Angry_Bear

Thanks for your responses, speed isn't important (we've found a house we like but haven't even made an offer yet!). If things don't go well, we've already identified a likely mortgage advisor so we won't keep blindly applying.

I'll let you know how things go

Senior_Paper_Monitor

Removed - as misread original post as Abbey not HSBC so original comment not valid.

Angry_Bear

Well, I said I'd keep you up to date ...

We've now had an offer accepted on a house so I called HSBC to put through the full application. We passed the initial credit check done at the point of application (I'm not really sure what this means, or how much confidence it adds).

When we get our KFI and documents to sign we have to send on 3 months payslips but nothing else - obviously there's nothing we haven't been upfront about, in fact I didn't declare overtime so pay is a little higher than we claimed.

I'm still expecting the underwriting to come back "declined", but fingers crossed!

Watch this space ....

Dave_Ham

Angry_Bear wrote: »

Well, I said I'd keep you up to date ...

We've now had an offer accepted on a house so I called HSBC to put through the full application. We passed the initial credit check done at the point of application (I'm not really sure what this means, or how much confidence it adds).

When we get our KFI and documents to sign we have to send on 3 months payslips but nothing else - obviously there's nothing we haven't been upfront about, in fact I didn't declare overtime so pay is a little higher than we claimed.

I'm still expecting the underwriting to come back "declined", but fingers crossed!

Watch this space ....

Good luck and do keep us posted - would be nice to see them accept you after the wait...

Angry_Bear

As expected HSBC have come back to us with a decline. The underwriter I spoke to tried to claim that at first they didn’t know about the two CCJs (apparently asking about it 10 times in a 5 minute conversation when first applying is too subtle!). He eventually “found” the info and apologized that the application had had to get so far before a decline.

I’ve been back in touch with my mortgage advisor and he’s sourced us what I think is a good deal (4.28% for 2 years) so it’s still full steam ahead on the purchase.

A little disappointed, but definitely not surprised!

Dave_Ham

Not shocked, but its a shame as they keep doing this to people. At least you were prudent to have a backup plan in place.

I also think your broker has done well to achieve this rate, given the adverse credit in the background.

Good luck