Halifax fast track mortgages... is this normal?

nathan75

Iv had a mortgage offer from halifax, i asked my advisor if they need more info as only asked for most recent payslip, passport and proof of address.

No p60, no bank statements and they havent even called my work for reference?

Is this right? or should i get this info together as they will be asking for it?
my advisor seems to know her stuff, says due to my passing credit checks well it is a 'fast track' application & not subject to the normal checks?

cheers
nathan

Jimbo1976

Sometimes lenders choose to "fast track" low risk applications. Ie those with bigger deposits and better higher credit scores. This means they don't tend to ask for the documentation that you would expect.

If I were you I would get all of the above items ie 6 months bank statements, payslips etc ready as sometimes later in the process (but pre completion) the lender decides to audit these files and ask for this documentation. It is easier to have it all ready rather than having to scrabble around to find it at the last minute.

nathan75

thanks jimbo, my advisor said they might ask but it would be before making an offer, is this inaccurate then?
Id also like to warn my hr dept if a reference req is coming in as they are soooo slow with that kind of thing (public sector)..
Would i have time to call and pre warn them its coming or would halifax just send it?

Jimbo1976

No, your adviser is right, checks normally happen before an offer is made. However lenders do always retain the right to withdraw an offer, though this is pretty rare.

I think its best to warn your HR department that it might be asked. If Halifax request an employers reference letter it will normally ask for bank statements etc as well, so you should know before via your advisor.

kingstreet

If your case is pulled for routine audit (1 in 12 are) you will be required to provide all the status documentation normally required at the outset.

TBH most advisers wish they'd get rid of fast-track. We have to get it all at the outset for our own files anyway.

They won't apply for an employer's reference unless they are unhappy with some aspect of your payslips, or if your payslips and bank statements don't match.

You will need to sign a "third party mandate" form to authorise your employer to provide the reference. I get one routinely at application stage, some advisers leave it until it's actually needed.

Do you remember signing something like this?

http://www.halifax-intermediaries.co.uk/pdf/mortgage/3rd-party-customer-authority-form.pdf

nathan75

Thanks guys i will prewarn work etc, and get bits all printed.

kingstreet -- nope iv signed nothing like that at all....?
guess if they want reference ill have to sign that which wont be issue, just concerned this will all take time... which could have been saved if id done all this in the beginning!!

if my app was pulled for audit will this be before offer or after? its new build so will have about 4months between exchange and completion, so if i warn hr now they will have forgotten of halifax then ask in 3 months time!!

IYKWIM!

kingstreet

A routine audit can be called any time from application right up to completion, regardless of when exchange takes/took place.

You now know they can't write to your employer for a reference until they ask you to sign a TP mandate.

Conrad

nathan75 wrote: »

thanks jimbo, my advisor said they might ask but it would be before making an offer, is this inaccurate then?


it?

No.
All lenders HAVE to also check a small proportion of cases after offer, even after exchange of contracts. Some applicants as a result end up loosing thier 10% deposit to the vendor.

I've had occasions where cases have been checked after full legal completion.

This is the reason quite a few brokers are getting huge fines and having thier assets sequestrated by the state.
A classic way brokers get caught is the FSA contact clients direct and promise them immunity if they dob in the broker.
They also look for similarities in any given brokers cases as patterns can emmerge which end up giving the game away.

nathan75

kingstreet wrote: »

A routine audit can be called any time from application right up to completion, regardless of when exchange takes/took place.

You now know they can't write to your employer for a reference until they ask you to sign a TP mandate.

This is good to know, thanks for your help!

ill get all my paperwork ready, and be ready to call hr if needs be!!
thanks all for advice, its good to know ppl like you on here to ask advice of, this mortgage process is minefield!

Conrad

kingstreet wrote: »

A routine audit can be called any time from application right up to completion, regardless of when exchange takes/took place.

Santander have been asking for Bank statements anbd such like AFTER completion amongst local brokers around here, and that includes me. If you read the terms of engagement with lenders, this possibility is all set out.

nathan75

Conrad wrote: »

No.
All lenders HAVE to also check a small proportion of cases after offer, even after exchange of contracts. Some applicants as a result end up loosing thier 10% deposit to the vendor.

I've had occasions where cases have been checked after full legal completion.

This is the reason quite a few brokers are getting huge fines and having thier assets sequestrated by the state.
A classic way brokers get caught is the FSA contact clients direct and promise them immunity if they dob in the broker.
They also look for similarities in any given brokers cases as patterns can emmerge which end up giving the game away.

Oh, okay well this is worrying! I presume my advisor has been honest about my case? not alot else i can do but wait i suppose!