Halifax Mortgage 'decision in principle' credit check

gmtrack

After investigation call credit removed the incorrect information, I contacted halifax to review my case, they came back today and said that the application was accepted, they also took valuation fee, the mortgage advisor i was dealing with congratulated me for the success of application, halifax has not asked for any earning proof neither ID, i am an IT contractor, my question is, have i jumped the last hurdle or it is still pending with underwriters and they have yet to ask for earning proof, it though looks like their system didnt ask for this information. Can someone advise that it is all done as far as earning is concerned and successful valuation will enable final offer?

mortgageforme?

Hi all,

I have been reading through this thread and wanted to say congrats to all those who managed to secure their mortgages.

My wife and i currently have a mortgage and are looking to buy a new house. We have a LTV of around 60% (house worth £160 and mortgage of £90000 needed)

We have been through an application with Nationwide, and passed all the initial checks, first credit score, and even through to income checks. Then they noticed that on my oldest bank statement there was a payment to Wonga.com. The advisor came back the next day to say that they had declined the application "due to the level of credit cards over limit, loans amassed and evidence of a payday loan on the bank statement".

I already had access to my credit file and check it frequently as once there were about six errors a few years ago,all of which have been rectified a long time now, and looking through the file i could see around seven occasions where a credit limit had been exceeded by no more than around £30. In three of the instances (on separate cards) I had been away for a family funeral and had completely forgot about the payments being due so addition of interest had just tipped the account over their limits. All of these were rectified within a couple of days, and the companies involved refunded charges due to the circumstances. Another instance was due to an error in Barclaycard's website which showed the account being in credit when it was actually around £10 over its limit - again this was rectified once it was noticed and Barclaycard refunded all charges.

As far as loans go. I have around £10000 across two loans with Halifax (one running for 4 years, the other for 2 so far) I have taken no other long term loans but have had around four PDLs since October last year - all of which were for between 1-3 days only and were all paid back as they were taken out for me to make purchases on trade items i needed to buy just before my wages were paid in and paying about £15 in fees and interest to buy them was more beneficial than allowing them to go - but i have had no other loans since a car loan that ended in 2008.

I have had no defaults, no missed or late payments, no CCJs etc, and the only negative thing on my account is that my credit amount is high and the usage is high (I currently have around 14000 as total credit available on credit cards and a combined balance of around 12,000 - although £8000-£9000 of this will be cleared in the next couple of months as part of the profit from our house sale.

On Experian, i have a credit rating of around 700 - although it did just dip to 680 due to the Nationwide searches.

My wife has no debts other than our mortgage.

After being declined by Nationwide we have now begun a process with Halifax. Reading though this thread, i have been a little encouraged that Halifax are perhaps more likely to accept based on joint circumstances and not just "they have had a PDL", but wondered what the opinion was?

Thanks in advance

carian3393

Afternoon everyone!

Need a question answering if possible!

We have had our offer in principal from Halifax through a broker and wanted to know do Halifax instruct the valuation before they even do the full credit check.

Submitted on the 16th of July, on the 17th I had a 'mortgage quotation' search on experian from Lloyds. On the 18th of July the valuation fee of £355 left our account. What does this mean?

Thanks

Mortgage_Mark_2

carian3393 wrote: »

Afternoon everyone!

Need a question answering if possible!

We have had our offer in principal from Halifax through a broker and wanted to know do Halifax instruct the valuation before they even do the full credit check.

Submitted on the 16th of July, on the 17th I had a 'mortgage quotation' search on experian from Lloyds. On the 18th of July the valuation fee of £355 left our account. What does this mean?

Thanks

Yes.

Halifax instruct survey ASAP following receipt of the application (typically a couple of days).

You will have another search done towards the end of the underwriting process.

welliesrgreat

You can tell if it's a full search if the amount you have requested to borrow shows on your search. It should say First Mortgage. Some lenders do this at DIP/AIP others just do a soft check first.

mai_taylor

Our application has been in a week and OH has just found out that he has a poor credit rating on Equifax for a couple of late payments in 2008. As it's showing as settled will he be able to get this taken off? My credit rating with all three agencies is excellent and his is very good on noddle and experian so is it still possible they will say yes or are we screwed?

Mortgage_Mark_2

It depends how bad it is really. You cannot get them removed simply because they're now up to date, that's the point of a credit file, to show how you've conducted the credit agreements that you have over a six year period.

How many payments were missed, on what, and when? Unless it's anything major you will probably be ok if it was late 2008 to be honest.

mai_taylor

It was a catalogue the he never remembers having, I think there were two or three late payments on there. No other bad credit on anything since.

filbrit

Here is something that might ease a lot of people who are in the process of applying or waiting for a halifax mortgage. Well we just completed today.

We had a in house countrywide broker who was absolutely brilliant - some advice here to avoid them like a plague. we earn jointly 63k a year. have loans, credit cards to pay, and sometime use our overdraft. 10% deposit and 225k mortgage.

Our experience was the smoothest mortgage application ever. DIP then formal application a week after, declared everything. All they asked was for 3 months payslip. we check our experian, equifax and noddle. NO Credit check whatsoever and we bank with barclays. Oh after submitting application, one week after booked valuation, then 3 days after as it was a friday and on monday we got our offer.

Hope everyones application goes well. But had to share this here as I know reading from here it really sounds worrying and you never hear the good and easy side of things. So there you go.

Halifax...cant fault them!

mai_taylor

mai_taylor wrote: »

Our application has been in a week and OH has just found out that he has a poor credit rating on Equifax for a couple of late payments in 2008. As it's showing as settled will he be able to get this taken off? My credit rating with all three agencies is excellent and his is very good on noddle and experian so is it still possible they will say yes or are we screwed?

Surprisingly they actually took it off his credit file today!