Mortgage application tomorrow TERRIFIED!!

cooperjoint

Hi

I've got my mortgage application meeting tomorrow with Barclays/Woolwich.

I got my AIP just before Xmas and have a 10% deposit on a £134k property.

Credit score is 965 and excellent. However it says I have no settled accounts as a negative factor. Will this not go in my favor?

Also I had to recently update myself on the electoral roll under my married name which I have now done which improved my score further. However my maiden name is not reflected on the credit report (Experian) although I am positive I entered this when I applied for the report. Will this affect my application?

I bank with Barclays so they are aware I have changed my name so would an AIP have been granted on this basis?

So scared about being rejected by my bank. Is mortgage broker a better option? I don't want to mess up my credit score with a decline obviously.

My partner and I will be devastated if we lose our dream home

Thanks for any advice offered.

Lisa

ACG

The things your worrying about are all things that can be discussed with the underwriter and overcome.

That being said, you have passed the initial credit check so I would not be worried.

Put it another way, what you have said would not prevent me submitting an application to woolwich.

cooperjoint

Wow! Thanks so much for your speedy reply at this hour

I am worrying myself silly about the meeting and then scrutinising my finances and then thinking the worst. I know an AIP is no guarantee of an offer.

I am a first time buyer at 46 years old so this is all new to me. My partner will be contributing towards the monthly mortgage payments so will this count in the application? We are not going joint mortgage however as partner's credit history isn't so good :-(

Thanks again. Hopefully I can get a bit of sleep now

Lisa

hounslowfish

If your partner is not named on the mortgage, their payments to you wont be taken into account. Unless you declare them as a lodger! Doesn't sound like you need to.

Senior_Paper_Monitor

'lodger income' is not "taken into account" by any lender !


Neither is any form of income by partner not on mortgage - indeed most lenders will be 'touchy' about contribution to mortgage - and particularly deposit - by a resident partner.

cooperjoint

Thanks for the further updates everyone.

Oh, the deposit is in my partner's ISA it's where we have both saved the cash. Should I get this transferred into my bank account?

I have got proof to to take with me however.

If I am turned down by Barclays/Woolwich today even with an AIP in place will that be it for me right now??

hounslowfish

Not at all! Go to a broker (or use a free one like the ones recommended on this site) and apply elsewhere.

But I think you're likely to be ok if they preaccepted you. Fingers crossed it goes well.

hounslowfish

By the way, your post above is all about credit worthiness, but if you got the AIP you have already passed their credit check. What they'll be looking at now is affordability. Is there enough cash left after essential purchases to cover the mortgage (even at a higher rate).

Senior_Paper_Monitor

Transferring it now is going to make no difference as they will simply request confirmation of source.


I can't recall having taken a shared deposit, sole applicant case to Woolwich so can't confidently comment on there stance on this (and it is not specifically covered on their published criteria) - perhaps one of the other broker contributors on here has specific experience on this issue.


It is certainly a question we would raise during any pre-application research (as it is the sort of thing that gets picked up at underwriting rather than application stage).


Should this prove to be a problem (and I hope it isn't) there are lenders (but by no means all of them) who will accept this situation - so it should be solvable elsewhere.


My opinion is that you must be totally upfront on this issue with them at the interview, so it can be approved or rejected (much better now, than in a couple of weeks time when their underwriters spot it, as they surely will).


The AIP takes your income/liability statements (and assumes source of deposit is your own - or an acceptable source) as given and checks affordability and credit. It only verifies a limited number of factors - the rest is left to underwriters.

cooperjoint

Blowfish - yes I passed the affordability check and have proof of my monthly commitments. I ran another affordability check thru the Barclays site yesterday and it came back affordable. As Barclays are my bank they will know exactly what is going on with my account I am sure

I have an overdraft which I never use. My partner pays all our utility bills and groceries. This is easily proved as none of these come from my account and I have been at the same address now for nearly 3 years.

Being a novice at this mortgage business will I find out today if it's a yes or a no or does it take time for the underwriters to decide?

Thanks for all the advice so far guys. I'm more nervous than when going for a job interview lol!

cooperjoint

Oh and I ran the check at 7% and still came back affordable