mortgage fairness

javorb

we have just been turned down for a mortgage after passing all criteria due to having a dmp,considering they charged us £395 to apply which we have lost ,i feel really fed up ,we have been in dmp for nearly 6 years which was not helped by a rogue mortgage advisor,we have spent the last 6 years paying our dmp ,we sold our house last july and got a mortgage from santander ,in the last 9months we took a further 2 additional loans with santander to complete the renovation on our cottage ,increasing the value by £70000,we have a mortgage of £78000 and value of £165000,we have planning/building warrants in place to extend giving us a 5 bed cottage with off plan value of £300000,we needed £50000 to do the extension,my credit score has increased from very poor to fair in the last six months,everything was fine until they checked my last 6 months bank statements and queried the cccs payment ,and declined on that basis,if i had this taken out of my personal account our mortgage would have gone through,why when we have admitted our mistakes and are paying off our mistakes it ,seems like you have to be dishonest to get a mortgage now ,if i had been made bankrupt instead of paying my debt i would have had the mortgage .we now have to wait six months until the defaults are all removed and hopefully will get a mortgage ,what i dont understand is that no 2 mortgage companies use the same criteria ,income calculations ,before the over greedy banks were lending ludicrous 125%ltv honest people like myself are suffering again for the corrupt banking worlds poor performances ,with the bigger picture in our needs ,we have 4 kids in a 2 bed cottage needing £50000 to change it to 5 beds and ending up with a mortgage of £125000 and value of £300000 when complete ,how many people that have mortgages that were given 125% ltv will have any + equity

Thrugelmir

The reality is that you defaulted on your creditors. Sounds as if you haven't learnt your lesson as expect still to be advanced money. Despite the fact that the financial world has rapidly changed.

Days of easy borrowing are over. Real bankers are taking over control again. Imposing proper lending criteria.

javorb

obviously you are an overpaid banker,yes i defaulted for £15000 but have since reclaimed over £18000 in bank charges and ppi claims,before defaults i tried to remortgage to pay all debts off ,i had over £100000 equity but through no fault of our own a poor mortgage advisor failed to disclose a grant on our house which resulted in a wasted 7 months failed remortgage due to a scottish ex grant on our mortgage that was not disclosed ,by the time of the mortgage collapse we could get no remortgage and resulted in defaults ,but we have admitted our mistakes and are repaying our debt ,the mortgage company that declined us will and do give mortgages to people who have been bankrupt ,the biggest risk in mortgages is non payment and what do they do is repossess if you dont pay ,if the banking world had not conned me out of the returned £18000 i would not have had £15000 of debt,with our application this company accept my wage and tax credits ,income/expenditure is part of affordability but they did not take child benefit of £242,care allowance of £220 and dla of £300 ,all of this is paid 4 weekly so how can they say this is not included in calculations ,child benefit is and dla and care allowance is mor reliable than tax credits as it does not changed ,is someone who repays debts a worse risk

ACG

This post is rediculous. Blame the world for your own shortcomings?

Firstly, im a mortgage advisor not a banker - so dont tar me with that brush.
PPI - not always miss sold, despite what you might think.
Greedy bankers - not an expert but the chief execs would have given them targets, they reached them and so were rewarded for it.

Now to you...
You are in a DMO - if this had been mentioned prior to an application being made then you would have known they wouldnt accept you - i speak to the lenders before any application is submitted so i can be as sure as possible it will get accepted - therefore saving you £300, a credit search and wasted time.
One minute you blame the banks for being reckless and now they have tightened their criteria your moaning again - you need to decide which one you want and sit in that camp rather than swapping and changing because it doesnt suit.

Im sorry but you sound like you want to moan because things havnt gone the way you want. Youve been told if you wait 6 months it will be fine so i dont see a huge problem, sit back for 6 months and enjoy the rest of the summer and xmas. New year, new start.

javorb

part of my point is i met all of their criteria past credit scoring and had twice had,if the payment to cccs wa from a different account the mortgage would have went through ,yes i had been wrong to get into debt but i have and am repaying it but my other point was if i had gone bankrupt a mortgage would have been given ,so i feel penalised for paying off my debt,last year we managed to sell our last house and buy the property with a mortgage from santander ,after 2 further advances from santander we now have a cottage worth £70000 more than we purchased it for ,our equity has gone from our £40000 deposit on purchase to £80000 at current value ,so we have doubled the equity ,my credit score has gone from very poor to fair ,so within a year ,the mortgage climate has gone so bad i cannot even get a mortgage , yes i will wait until january when hopefully with a cleaner credit file it should be easier,the other mortgage offer was refused because we had 2 advances in the process of doing up the cottage,so if that had been asked or been part of their criteria we would not have applied for either of the mortgages

javorb

not missold ,so why are they paying out billions ?

ACG wrote: »

This post is rediculous. Blame the world for your own shortcomings?

Firstly, im a mortgage advisor not a banker - so dont tar me with that brush.
PPI - not always miss sold, despite what you might think.
Greedy bankers - not an expert but the chief execs would have given them targets, they reached them and so were rewarded for it.

Now to you...
You are in a DMO - if this had been mentioned prior to an application being made then you would have known they wouldnt accept you - i speak to the lenders before any application is submitted so i can be as sure as possible it will get accepted - therefore saving you £300, a credit search and wasted time.
One minute you blame the banks for being reckless and now they have tightened their criteria your moaning again - you need to decide which one you want and sit in that camp rather than swapping and changing because it doesnt suit.

Im sorry but you sound like you want to moan because things havnt gone the way you want. Youve been told if you wait 6 months it will be fine so i dont see a huge problem, sit back for 6 months and enjoy the rest of the summer and xmas. New year, new start.

javorb

javorb wrote: »

not missold ,so why are they paying out billions ?

my advisor is a close friend and he spoke to both mortgage companies ,ge money and precise before he submitted the applications and told them our situation,are we a bigger risk because we are paying our debt as to someone who walks away

ACG

When were you bankrupt? If it were in the last 6 years depending on the lender im not so sure you would have got a mortgage - there are exceptions though.

Im not saying none of it was miss sold - the ones where it was added to the loan as a lump sum being the key example. But i know of people who had it all explained to them, they agreed to take it out and then put in a claim and had it paid back.

I spent 6 months working for a mortgage advice firm (who to be honest were not much short of con men...hence why it was only 6 months).
All of their clients who they sold ppi to they then went round and completed a form to claim it back. I sat in on an appointment where the client actually said - no you explained it and i know what ive paid for so its not miss sold - they were still then convinced to put in a claim and received their money back...and the company i worked for received 15%!

I have a feeling banks couldnt cope with the number of complaints they would receive so its easier to set some money aside and get it refunded.

haras_nosirrah

have to ask the question

If you have 4 children and presumably there are two adults - why did you sell your house and buy a 2 bedroom cottage? You can hardly complain that it is too small and it is the banks fault they won't let you extend it when you bought it knowing full well it had no space and that you would be reliant on the banks money to extend.

Bit like the people in 3 bed council houses complaining they have 10 children and it is too small and the council should have to move them when they only had one child when they moved in.

Gentoo365

I would have been concerned that the payment to the DMP was a surprise and only discovered when the statements were checked. In addition you seem to be suggesting that the best course of action would have been to hide the payment in another account.

Very worrying. The banks seem to have mended their ways and are now doing more checks prior to lending. They are also ensuring that they do not lend to people who are having financial difficulties with current credit.

It is possible you could get a mortgage, but you need a good advisor. Like others I am concerned that your advisor did not explain the situation to the lender prior to the payment of the fee.

If he did state that you were on a DMP prior to making the application, and you declared all your outgoings, and the decline was only due to the DMP then I would suggest to your broker that he ring them and request a refund of the application fee as a goodwill gesture.

This is because the bank should not have taken the money if it knew that you would have been declined on their policy regarding customers DMPs.

However the bank could (quite rightly) state that it is partly up to the advisor to read the lending criteria prior to submitting an application. Which means you have to take it up with him.

javorb

we sold our previous house to improve our kids live by moving to the country ,we bought the 2 bed cottage for £95000 ,we have renovated it and now have a mortgage for £78000 valued at £165000,our extension will cost £50000 but will increase value giving a 5 double bed 3 bathroomed cottage with clear views for over 20 miles around and value of £300000 ,obviously that is our choice but in our area the cheapest 5 bed property is over £25000 which i could not buy so doing what we are doing is improving our kids lives and increasing my housing equity to around £175000

haras_nosirrah wrote: »

have to ask the question

If you have 4 children and presumably there are two adults - why did you sell your house and buy a 2 bedroom cottage? You can hardly complain that it is too small and it is the banks fault they won't let you extend it when you bought it knowing full well it had no space and that you would be reliant on the banks money to extend.

Bit like the people in 3 bed council houses complaining they have 10 children and it is too small and the council should have to move them when they only had one child when they moved in.