Are Mortgage lenders really THAT strict?

NeoVR2k6

Hi.

Im a FTB on the roads to getting my first house. After applying with Britannia for the 3.99 rate, all seemed to be going well - valuation done on property, applications done etc. until they dropped the bombshell today that the underwriters have declined me for "late payment on credit agreement"

Now very bemused by this ive looked through my noddle report (have signed up for experian but have to wait for the PIN to arrive in the snail mail before i can double check everything that they saw)

The ONLY thing on my Noddle report is a single "under 1 month" late payment for a credit card back in 2010...

Is this seriously enough to get someone knocked back from a mortgage?

I guess theres no appeals for declines like this?.. so time to find another provider

Thrugelmir

NeoVR2k6 wrote: »

Is this seriously enough to get someone knocked back from a mortgage?

(

With limited funds to lend. Lenders can filter applications to whatever level they wish to minimise risk.

_Andy_

NeoVR2k6 wrote: »

..

Is this seriously enough to get someone knocked back from a mortgage?
(

Well yes, as you've already stated

NeoVR2k6

Ok the plot thickens.

Ive just got a Equifax report, and seems T-mobile have put several black marks on this week for missed payments - strange considering its a free sim (and one ive never used!)!.. im absolutely fuming!

holly_hobby

You need to take this up with the creditor, as it is only they who can advise the CRAs to amend their records.

Are Britannia using equifax ?

If you want a free credit check showing all 3 agencies, try check my file.com, whom offer a multi agency check facility (equifax, experian and call credit), free 30 days and super easy to cancel - here is a direct link http://www.checkmyfile.com/

As you will want to check if T mobile (or anyone else) has recorded any iffy data with the other agencies.

Hope this helps

Holly

HARSA

They only use experian

YoungBusinessman

I am finding them incrediblly strict aswel, FTB with 10% deposit....so much pointless stuff to go through and no wonder they dont make any money if they wont lend to those who need it and can afford to pay it back!

Thrugelmir

YoungBusinessman wrote: »

I am finding them incrediblly strict aswel, FTB with 10% deposit....so much pointless stuff to go through and no wonder they dont make any money if they wont lend to those who need it and can afford to pay it back!

The whole financial picture is taken into account. So more often or not a totally different view to that of the applicant. Applicants in the main over rate themselves.

northerner999

YoungBusinessman wrote: »

I am finding them incrediblly strict aswel, FTB with 10% deposit....so much pointless stuff to go through and no wonder they dont make any money if they wont lend to those who need it and can afford to pay it back!

After years of lending large amounts to people, some young like yourself and convinced they're going to continue raking it in for decades, only for it to go bang, they're stricter now. Getting a mortgage has always been a lengthy process, something you only really appreciate once you've gone through it. I took out my first mortgage at 24, six years ago, and was not prepared for the amount of paperwork (or stamp duty!) involved.

They are also going to be wary with someone who is borrowing 90 per cent of the value of the property, like yourself. If you've over-estimated your ability to repay (I did and money was very tight for a year before I lucked into a new job that doubled my salary, it's probably fairly common among FTBs) then they've made a substantial loan to write off. If you can afford it and your earnings show this, you've nowt to worry about.

ViolaLass

YoungBusinessman wrote: »

I am finding them incrediblly strict aswel, FTB with 10% deposit....so much pointless stuff to go through and no wonder they dont make any money if they wont lend to those who need it and can afford to pay it back!

They didn't lose money in the crash because they didn't lend, they lost money because people didn't repay.