Lloyds being pedantic

northern_lass

Help, I really need some advice, I'm tearing my hair out, my husband and I have had a trouble free mortgage with with the now Lloyds for over 7 years, overpaying which was our choice for over 5 years. We have now sold our house as we have to relocate due to work. We approached Lloyds back in May so we could get the ball rolling so when we found something we could move quickly, we were told that everything was fine and we could borrow upto £300k. Anyway we have found a new build which we decided to buy on the new help to buy scheme, we reserved the house and told Lloyds that we needed to borrow £210k, £300k minus the government loan and deposit, so well below the amount offered. Anyway they are now saying that the mortgage is in doubt because between 2007 and 2010 I had a few manual late payments which amounted to less than £100 and one this year for £12 because I at the time was in hospital having my appendix out so paying a bill was not exactly top of my to do list. We have both checked our Experian credit reports and we both have scores of 999 and deemed low risk. The bank are telling us that they do not look at the credit score but at the history, surely they cannot seriously deny us a mortgage on the basis that we missed payments on a few things amounting to not much money in the grand scheme of things when we have never missed a mortgage payment, overpaid for a substantial portion of the mortgage period and are deemed a low risk with excellent credit scores. Please help we are at risk of loosing this house because the bank are in my mind being pedantic.

jackieblack

northern_lass wrote: »

surely they cannot seriously deny us a mortgage on the basis that we missed payments on a few things amounting to not much money in the grand scheme of things

They can do what they like, no-one is entitled to be lent money.
The lender can choose who they lend money to and who they don't.

If Lloyds are being difficult, try somewhere else

kingstreet

A lender can decline a case wherever it feels that case does not meet its criteria.

"The mortgage is in doubt." Does that mean they've declined it? They are thinking about it?

You appear to have two choices;-

- convince Lloyds to change its mind or await a decision not yet made

- change lenders.

opinions4u

We have both checked our Experian credit reports and we both have scores of 999 and deemed low risk.

Have Experian got any good mortgage rates that you wish to consider?

The bank are telling us that they do not look at the credit score but at the history, surely they cannot seriously deny us a mortgage on the basis that we missed payments on a few things amounting to not much money in the grand scheme of things

If you're lax with the small bills you give a lender doubts about your commitment to the big things.

when we have never missed a mortgage payment, overpaid for a substantial portion of the mortgage period and are deemed a low risk with excellent credit scores.

Some positives there which I'd expect them to consider. But you need to get your head around Experian's number generator. Lenders use their own interpretation of the data. 999 means nothing to them. The CRA have awarded you the highest possible number knowing full well you haven't always paid your debts on time. Can you see how insane that is?

Please help we are at risk of loosing this house because the bank are in my mind being pedantic.

In days gone by they'd have been called wreckless for ignoring your payment history.

betmunch

opinions4u wrote: »

Have Experian got any good mortgage rates that you wish to consider?

Love this response, hope you dont mind, but I am stealing that for next time someone brings up their credit score from Experian!

eskbanker

opinions4u wrote: »

In days gone by they'd have been called wreckless for ignoring your payment history.

Being without a wreck is rarely a bad thing, being reckless is less desirable though!

Now that's being pedantic!

opinions4u

eskbanker wrote: »

Being without a wreck is rarely a bad thing, being reckless is less desirable though!

Now that's being pedantic!

Puzzled as to whee that spelling error came from. I can't blame the wife, she's at work!

Experian_company_representative

betmunch wrote: »

Love this response, hope you dont mind, but I am stealing that for next time someone brings up their credit score from Experian!

We build credit scores for many major lenders. You don't have to be a lender to be able to analyse and model credit risk - it's what we've been doing for over 30 years.

While a 999 Experian score shows you how a typical lender will interpret your credit report, lenders can employ other assessments too. Most mortgage lenders will use risk and affordability scores alongside policy rules and a manual review of the data. They are very thorough, understandably.

James