HELP Mortgage Declined

scn_2

Hello I am new to this site so please forgive me if I make any mistakes.

Myself and my husband have sold and completed our house sale and reside in rental property since April 14 - sale complete 23.07.14. We recently paid off all credit cards was a balance of £8k although these still show on our credit file as not updated yet.

Booked appt with Post Office and explained said would be ok but we was declined full apllication, they suggested waiting two months and applying again once credit file had updated even though we can prove we have closed the accounts.

We then visited a mortgage broker who tried to obtain a DIP with Accord who have also declined. Awauting reason but suspect the same.

We dont want to apply to anymore as will hurt credit rating both have excellent scores no defaults etc.

Just to give you an overview of what we are trying to achieve:

Income - £58k plus £10k bonus can proove 3 P60s
2 children
2 loans - 1 = £10k 266 per mth
- 1 = £9k 215 per mth - both car loans

We are looking for £212.500 and have £37,500 deposit so 85% LTV over 30 yrs.

No other debt now all clear from 31.07.2014.

Any ideas of what to do next, i.e. how long to wait before applying again or any lenders that will help?

Thank you much appreciated

Keekles

Why did the broker go with Accord?

If you're desperate for this mortgage now (given your sale has completed I would imagine you are!), you're probably best approaching a lender that will allow for debt consolidation depending how you fit affordability. There are high-street lenders that will consider this and still provide a competitive rate.

The broker should be able to identify these lenders - although if the first suggestion was Accord then I'd probably look towards another broker to be honest.

scn_2

Thank you, not sure think he may have affiliation as YBS branch. Would this harm us applying again given that we have now had two credit searches?

Keekles

YBS branch? In which case he wasn't a broker. First step is to approach a broker - a friend's referral would be ideal otherwise you'll find one easy enough with Google. These will either be in a mortgage advice office or in a local EA (though this website would suggest seeking an independent).

They should be able to identify a lender to meet your needs in this situation.

scn_2

Thanks, starting to loose hope. he is a finacial advisor whole market lender but think the company is affiliated somehow to YBS.

My worry is if we apply again on the advice of a broker we will damage our credit files and wont be able to get a mortgage at all.

Will seek advice and see....

Thank you

kingstreet

Keekles wrote: »

YBS branch? In which case he wasn't a broker

We had a thread last week where the broker still had a YBS local agency in their office.

Wh05apk

This sounds perfectly possible, but not with Post office/Accord and probably the likes of HSBC etc, you need to find a good broker who should have no problem placing this.

scn_2

Really even with 2 declines?

Keekles

People are over-worried about the effect on their credit rating of declined applications. If you keep updated with your credit file (and judging from your attitude to declines vs credit affecting I would imagine you do), I'm sure you'll see those two declines haven't made any real difference, or any whatsoever.

An authentic broker will place the case with the right lender first time round so you shouldn't have any problems with a third search on your credit file.

scn_2

Thank you so much for all your help really appreciated

I have just made an appt with a good broker, who new his stuff so fingers crossed....

Thrugelmir

scn wrote: »

No other debt now all clear from 31.07.2014.

In a cold light.

You still owe £19k on car loans and are committed to an outgoing approaching £500 pm.

The 30 year term is presumably to make the debt affordable. Would it be if interest rates reached 7%?