Santander mortgage

fairfighter

:money:got 18mths left on interest only mortgage with Santander. Want to take out new mortgage and increase amount but because less than 2 years left they wont entertain it never missed a payment ever want to take this to a higher lever but it is impossible to do so keep getting turned down flat have great credit rating a home with lots of equity but they wont speak with me until 6 months left there is a great rate available saving me £700 per month but am not allowed Why is Santander such a difficult company to deal with surely somebody like me with great equity and an ability to pay on the dot each and every month be such a risk only want another 7 years extension and an extra £100k house worth well over £1.5mill. Anybody got advice how to appeal to a higher level other companies seem much more amenable but need to stay with Santander unfortunately . Santander seem to be getting many complaints. We even bank with them on their 123 account. Help please!!!:mad:

_Andy_

Can you re-write it with sentences etc so it is more understandable?

fairfighter

:money:So sorry for poor punctuation I was worried about running out of character. I have a Santander interest only mortgage that has just 18 months run. I would like to take advantage of the new very good low interest only mortgage which is available now also increasing the amount by £100,00. I have a home with a huge amount of equity and have never missed a repayment. I am in work and able to repay a new mortgage. I have spoken with Santander who dismiss me out of hand and will not talk about a new mortgage until there is just six months left on my current one. I am not a bad risk at all and wish to appeal to a higher level, however it is impossible to get to speak with anybody to appeal this decision. I find their customer service appalling. They will offer other buyers with no history with Santander a mortgage but somebody well known to them with an umblemished history no chance at all. I want to extend for about 7 more years. I also have a 123 bank account with them. I cannot understand this negative dismissal. If anybody can help me get to a higher department in Santander I would be most grateful. Tank you.:mad:

thatsean

Why does it have to be Santander? If they don't want your money why so keen to throw it at them?

fairfighter

Ah now there is the rub, owning my own company I am paid in a tax efficient way, that means my accountant cannot justify my earnings albeit I am paid well but by dividend and this then causes a problem proving to a new lender that I can afford to repay the mortgage. My mortgage is £301.000K and I want another £100,000 my home has been valued between £1,5, to £1,8 million so there is plenty of equity, but you cannot use your home as proof of repayment of the final amount,. My business was always going to be the repayment vehicle, however because of the financial climate that also cannot be used. Otherwise I would most surely go to another lender. However as I have been with Santander for a few years a new mortgage with them would be the easiest way. Its all a paper exercise. I am now stuck

_Andy_

On what basis have they declined it?

Thrugelmir

On the face of it your Company does not generate enough profit for you to substantiate £400k of mortgage debt. On the basis that Santander would be looking for the mortgage to be placed on a repayment basis in the absence of a repayment vehicle. The amount of existing equity is of no great relevance. As mortgage lending is not priced on the basis of default , more the expectation that the debt will be repaid without incident.

The request for a further £100k may well be an issue in itself from an underwriters perspective. Raising more questions and doubts.

Dave_Ham

It is hard to determine the detail in this post.

It appears that you are struggling to get any sense from Santander (which is not necessarily unusual) coupled with an interest only mortgage and restricted self employed income.

Go and sit down/speak with a recommended broker. It would take me personally about 30 minutes to confirm if this would be achievable elsewhere or not.

Age may also be a determining factor.

fairfighter

_Andy_ wrote: »

On what basis have they declined it?

They say because there is less than two years left on our existing mortgage they will not look at it until 6months before its end. Looking at other companies they say we do not show enough income although actually we have enough this is because of the way the income is paid its a tax efficient way. They do not take into consideration the value of our home which seems mad as we have a large amount of equity

fairfighter

Dave_Ham wrote: »

It is hard to determine the detail in this post.

It appears that you are struggling to get any sense from Santander (which is not necessarily unusual) coupled with an interest only mortgage and restricted self employed income.

Go and sit down/speak with a recommended broker. It would take me personally about 30 minutes to confirm if this would be achievable elsewhere or not.

Age may also be a determining factor.

You are right Santander are very difficult to deal with. They will not consider giving us another mortgage until 6 months before the current ones end, however they will allow us to revert to a repayment one which is exhorbitant. They have now an interest only 1.5% which they will not consider us for, my husband is 58 years old and a company director on a good wage however he is paid by dividend and therefore his payslips do not add up to enough to prove our ability to repay and this is why other lenders will not offer a mortgage. Seems they rathe take a chance on less safe bets. I just want to take it to a higher level at Santander which is impossible!

chanz4

so your no better than he big companys avoiding paying tax