We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

Bank not honouring Mortgage Promise

salolfs
salolfs Posts: 3 Newbie
in Mortgages & endowments
Heya,
Me and my partner went to the bank and got a mortgage promise for £151,000. Because of this we put an offer in for a house and it was accepted. Now we've gone back to the bank like they told us to and now they don't think they can give us the full amount.
Are they allowed to do this??? As we thought it was a guarantee.
We haven't lied at all during our application and the amount promise was made my the mortgage advisor after looking over our finances.

Comments

  • ACG
    ACG Posts: 24,962 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    Yes.

    Its an agreement in principle. It can change for whatever reason (Credit score, they find something they do not like, they find something they did not ask about but has come up with evidence provided... any reason they wish pretty much).
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Yes they can. Have you made a full application yet?
  • FreddieFrugal
    FreddieFrugal Posts: 1,752 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    salolfs wrote: »
    Are they allowed to do this???

    They can, as the 'promise' is just 'in principle' and is in no way binding. Have you asked to find out why they won't offer you what you were originally asking for?
    Mortgage remaining: £42,260 of £77,000 (2.59% til 03/18 - 2.09% til 03/23)

    Savings target June 18 - £22,281.99 / £25,000
  • salolfs
    salolfs Posts: 3 Newbie
    No we went into the bank to continue to a full application, but they are finding fault with pay cheques because the computer won't accept them.
  • salolfs
    salolfs Posts: 3 Newbie
    Because my payslips are made up 5 different types of pay not 1 flat salary.
  • Paulaviki
    Paulaviki Posts: 297 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Maybe you should speak to a mortgage broker as they might be able to suggest other banks/building societies who will lend to you.
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    salolfs wrote: »
    Because my payslips are made up 5 different types of pay not 1 flat salary.

    Is some of your income variable and not guaranteed.
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 354.4K Banking & Borrowing
  • 254.4K Reduce Debt & Boost Income
  • 455.4K Spending & Discounts
  • 247.3K Work, Benefits & Business
  • 604.1K Mortgages, Homes & Bills
  • 178.4K Life & Family
  • 261.6K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.
Update Your Picture