FTB Mortgage declined by underwriters

Stanoinnit

So there's some hope in the darkness eh? Really appreciate all your help guys. Ill let you know how I get on. Fingers crossed I don't lose my little house

Wh05apk

Personally, I wouldn't touch Nat west with a barge pole!

Other lenders will lend as much, 90% might be touch and go, so apply for 89.9% - surprising but quite often apps pass at that which fail at 90%, for 90% generally the criteria is strict.

Thrugelmir

Stanoinnit wrote: »

Now this seems a bit unfair to me?

Using an agreed overdraft facility will score against you. Exceeding it merely scores further against you. Irrespective of the amount involved.

Use your savings to put your current account into credit. Then try and manage your personal finances in a better manner in the future.

Very basic but you'll find that your credit rating improves considerably with lenders.

Stanoinnit

My account is in credit now. These arrears don't show up on my credit file, it seems unfair because it was 31p. I understand arrears are arrears as I stated, but obviously it is frustrating that a 31p interest charge has ultimately prevented me from getting a mortgage.

Thrugelmir

Stanoinnit wrote: »

My account is in credit now. These arrears don't show up on my credit file, it seems unfair because it was 31p. I understand arrears are arrears as I stated, but obviously it is frustrating that a 31p interest charge has ultimately prevented me from getting a mortgage.

Overdraft usage will score against you in any event. When lenders score you. Lenders use all sorts of matrix to filter out applications.

You will not obtain a precise reason for the decline from the lender.

Stanoinnit

They've given me a precise reason? I understand that but I passed the initial credit score - I've got a letter telling me that. When I've spoken to them they have cited these two charges from Aug and Sep last year as the reason? This is all new to me, there's a lot to try and get my head around!

ACG

Natwest can see a whole load more than any other lender because you bank with them. If you went over your overdraft for 1 day natwest will know, other banks are unlikely to.
So lenders will be scoring you differently.

The fact you met their credit score is good, you do not meet their criteria though by the sounds of it.

Chances are if you banked elsewhere they would have accepted you. Crazy world and thats why there are mortgage advisors as we have a good idea of how to play the game in your favour.

Stanoinnit

Thank you. So my first port of call should have been to speak to an advisor. I shall do that now then!

Stanoinnit

One more question if anyone knows - I have a meeting with Yorkshire Building Society...do I tell them I have had an application declined? Will they not touch me with a barge pole?

olly300

Stanoinnit wrote: »

One more question if anyone knows - I have a meeting with Yorkshire Building Society...do I tell them I have had an application declined? Will they not touch me with a barge pole?

Don't say anything to them.

They will find the mobile phone payments but don't worry about it.

Also using an agreed overdraft isn't a problem as long as you pay it of, don't regularly use it and don't go over it.