Maternity leave and evidence requirements

17May1990

Hi all

Would be grateful for your advice. My wife and I are applying for a remortgage with Santander, however the have rejected the application on the basis that there is insufficient evidence of my wife's future earnings.

My wife is on maternity leave, returning to work in January 2015. We are considering that she may go part time, but with 6 months to go nothing is set in stone yet. If she cannot return part time, then the will return full time.

We have provided Santander with 3 letters from my wife's employer. 1 states her pay during maternity leave and return to work date. The next confirms her salary should she return on a full time basis. The 3rd confirms her salary should she return on a part time basis. We pass affordability on both full time and part time basis.

Santander say they need a letter stating that my wife WILL be returning on x date at x hours on x wages. Her employer will not do this until they legally have to, which is 8 weeks before return to work.

Seems to me that Santander are assuming she won't return to work, which is discriminatory, and are requiring evidence that it is impossible to give, which is unreasonable. Do we have grounds for an appeal?

Cheers

Senior_Paper_Monitor

I have been having quite a rant in the office recently about changes (following MMR) snuck into some lender's criteria, but frankly Santander aren't the worst by any means (just placed one there without too much difficulty).


From our own notes on the subject ......


Will use all of the return to work salary.


Letter from client stating intentions and, if a partner involved, letter from them to confirm their work circumstances won’t alter either.


If there is a significant gap (no specific time limit) the risk underwriter may request savings to assist with affordability during this period






From recollection this subject became quite hot about 5 years back and after some rumblings in or with reference to the European Court it was generally accepted that they must assume back to work at same pay/hours, but could question funding during payment shortfall period and child care costs after (and add another dependent) - I suspect there may be a new furore commencing shortly.

Thrugelmir

17May1990 wrote: »

Santander say they need a letter stating that my wife WILL be returning on x date at x hours on x wages. Her employer will not do this until they legally have to, which is 8 weeks before return to work.

Seems to me that Santander are assuming she won't return to work, which is discriminatory, and are requiring evidence that it is impossible to give, which is unreasonable. Do we have grounds for an appeal?

Cheers

That's because your wife can change her mind and not return to work. Power is with her not the employer.