When do I mention my DMP if wanting to port

Woodypuddy · 17 February 2015 at 3:53PM

Hi,
Sorry in advance if this sounds like a stupid question.
I have been on a DMP for just over 12 months and have c. 12 years to go. We have enough equity in the house to sell, buy a cheaper place in a slightly different area and repay the DMP. The DMP is from unsecured debt, never missed a payment on my mortgage (not sure if relevant?) I would however still need the same mortgage amount (it is 85% LTV and we would want to keep this if possible). The equity had come from house prices rising in the area I live but not so much in the places surrounding it.

We are aware that our current provider may not agree to us porting our existing mortgage due to the DMP and I know we would have to go through a full mortgage application. However I would like to try this route first even if we are knocked back. My question is when do I tell them about the DMP - at what stage - do I just ring them up, ask them about porting but at the same time tell them I am on a DMP that I hope to pay off? Or do I just put it on the application paperwork? (Which I guess would lead to an automatic no).thanks in advance

Another quick question is I have read some threads that suggest people with DMP's should speak to a broker who is skilled at adverse - how do I find one?
Many thanks

Thrugelmir · 17 February 2015 at 9:12PM

If your proposal is to downsize and clear your debts in the process. Then speaking to your your existing lender is the way forward. Lenders have a duty to assist borrowers experiencing financial distress. So be totally honest about your financial circumstances and be prepared to explain your plan. This will give your lender confidence that you are taking the situation seriously and approaching it with intent. There's absolutely no reason why you shouldn't get a good reception.