Changes in circumstances - do I have to tell the bank?

Ruby_Roo

I'm going to be leaving my job in September as I will be spending 2 days per week undertaking postgraduate study, and my employer has refused a request for flexible working. I will be trying to find other work, but I don't know how that will go.

So my question is, do I have to tell the bank (HSBC) about our change in circumstances? It won't affect the mortgage being paid, and it is hopefully a short term situation for one academic year. Also our current mortgage product ends in December, so we will have to either apply for a new one or go onto the variable rate - if we apply for a new product, do we have to go through the process of showing we can afford it, or do we just get it before we've already got the mortgage?

Thanks for you help, I'm a total novice at this.

mrcow

If you can happily pay any mortages/loans to them, then no you don't.

dimbo61

You may be able to book a new deal up to six months in advance.
Why not look on the HSBC website and see what they have to offer you as an existing customer.
Consider a fix as this gives you security while on your course

Yorkie1

dimbo61 wrote: »

You may be able to book a new deal up to six months in advance.
Why not look on the HSBC website and see what they have to offer you as an existing customer.
Consider a fix as this gives you security while on your course

Would the OP have to declare the imminent job resignation in that process with HSBC?

_Andy_

No you don't need to tell them.

Regarding new rates, no, as long as no further borrowing is being asked for.

Ruby_Roo

Thanks very much all

Caladan

Andy has pretty much covered this and is absolutely right, but I'll post to support and also make a clarification on dimbos' post (Sorry! )

As long as you keep up your repayments - HSBC, or indeed any lender, doesn't care what you're doing. If you fall into financial difficulty as a result of your change in circumstances you can tell them about it then, you wont be penalised for not doing so in advance.

Existing HSBC Mortgage customers can only reserve a new rate after they receive a letter stating they're coming off their current deal, the 6 month rule does not apply to existing customers (it's usually 1-2 months).

Hope it helps,
Cal

Ruby_Roo

Caladan wrote: »

Existing HSBC Mortgage customers can only reserve a new rate after they receive a letter stating they're coming off their current deal, the 6 month rule does not apply to existing customers (it's usually 1-2 months).

Hope it helps,
Cal

Thanks As it happens, there isn't anything available at the moment which is as good as what we've got (which was 2 year fee free 3.84% on 90% LTV) unless we want to pay a huge booking fee (we can't/don't) so we're not in any hurry, and if all else fails we'll go onto the variable rate in December.