Consent to let ... Barclays/Woolwich Offset with Reserve

little_princess

Hi All,

Does anyone have any experience of receiving consent to let their home when they have an Openplan Flexible Barclays Woolwich Mortgage with a reserve they have made use of?

Many thanks
LP :beer:

Thrugelmir

Unsure why it would influence the decision.

CTL is normally granted on individual circumstances. Not defined rules.

_Andy_

Ring them and ask. Whatever other people have done with different circumstances isn't relevant.

little_princess

Thanks for your replies, is there not a set of criteria that must be met?

I appreciate everyone's individual circumstances will be different, but without guidelines it seems a bit arbitrary!

kingstreet

Lenders, in the most part, don't publish their consent to let criteria, as they know borrowers will try to find ways to "satisfy" them if given time.

Some have loan to value limits and others a multiple by which the rental income has to exceed the mortgage payment.

It may well be you are the guinea pig for future readers on here, so post back and let us know the outcome so others can benefit. If you have not yet done so, try an advanced search to see if there have been any other recent cases. I certainly don't remember any.

Thrugelmir

little_princess wrote: »

I appreciate everyone's individual circumstances will be different, but without guidelines it seems a bit arbitrary!

CTL is totally at the discretion of the lender. On whatever terms it wishes to offer.

As CTL is only intended as a short term arrangement. Not as a form of long term letting.

_Andy_

little_princess wrote: »

Thanks for your replies, is there not a set of criteria that must be met?

I appreciate everyone's individual circumstances will be different, but without guidelines it seems a bit arbitrary!

But what difference does it make? If someone on an internet forum said "they won't allow it" would you not bother ringing the lender?
Just make the call and find out.

Anything on here is just speculation and isn't going to help you at all.

somethingcorporate

There is no published criteria for normal mortgage lending so why would there be for C2L?

Internal scoring mechanisms are harshly protected by the banks.

little_princess

_Andy_ wrote: »

Just make the call and find out.

Thanks _Andy_ we will be making the call but have recently argued with our bank over hidden policies and feel that as everyone is dealing with them separately, the banks are getting away with making arbitrary decisions that cannot be challenged if no-one speaks up and lets others know what decisions have been made in their circumstances.

On another forum a mortgage adviser speculated that the banks were denying CTL if you had an historically low mortgage rate, so that the banks could encourage a new mortgage application on a higher rate...how will we know if he is right if we all just shrug our shoulders and say "oh well never mind!"

By gathering others experiences I can see if our case is being treated fairly and in line with how other people in different or similar circumstances have been dealt with, particularly as we have a low rate and a high reserve on our mortgage.

somethingcorporate

They do not need to be consistent in their approach - it is their money and they can be as arbitrary as they like (within legal limits of course).

Thrugelmir

little_princess wrote: »

Thanks _Andy_ we will be making the call but have recently argued with our bank over hidden policies and feel that as everyone is dealing with them separately, the banks are getting away with making arbitrary decisions that cannot be challenged if no-one speaks up and lets others know what decisions have been made in their circumstances.

On another forum a mortgage adviser speculated that the banks were denying CTL if you had an historically low mortgage rate, so that the banks could encourage a new mortgage application on a higher rate...how will we know if he is right if we all just shrug our shoulders and say "oh well never mind!"

By gathering others experiences I can see if our case is being treated fairly and in line with how other people in different or similar circumstances have been dealt with, particularly as we have a low rate and a high reserve on our mortgage.

You are overlooking the fundamental point on which CTL is granted. The reason for the request?

Suggest you read your mortgage terms and conditions which signed up to in accepting the mortgage offer. Look at the clause relating to CTL. Then decide if you wish to mount a legal challenge.