Mortgage Refeered HELP

FTBHELP_2

Afternoon please help as we are in a major panic, partner and I have visited Natwest for our Mortgage application which all seemed to be going well and affordability boxes were all ticked. However once the advisor submitted the application it has come back with please refer 😩 !!!

Arrived home and after thinking what can it be looked into info online and have come across pay day loans affecting application ! Last year I personnally took out pay day loans to increase my credit score (which it did) as I was advised to do so. But all websites are saying no lenders will lend ?

What do we do now ?? Please some sound advice

FTBHELP_2

Any mortgage underwriters or advisors would be great help

Sparx

Who told you pay day loans would increase your 'credit score'?

P.S. They don't by the way, they are a negative factor!

BitterAndTwisted

I dunno where you heard that taking out pay-day loans enhanced your credit-score. They don't, they demonstrate very clearly that the person cannot manage their financial affairs properly. Pay-day loans are a last resort for the desperate where other lenders won't touch with a very long barge-pole.

You might have to suspend your property-buying plans for a bit.

FTBHELP_2

They were nearly a year ago now does this help ! This was advice from a freind obviously now not so good advice !!

Would the application not have just been declined if this is the main issue, apart from the PDL there is no issues with either of our reports we have a healthy deposit and a sound income

FTBHELP_2

Upon reading many lenders views on PDL some state it's a no go area where others state they see it as a normal loan and as long as all was paid on time etc then should be fine.

Sorry for many question we are FTB and are very new to the whole process

Thrugelmir

FTBHELP wrote: »

Last year I personnally took out pay day loans to increase my credit score (which it did) as I was advised to do so.

Who ever did, had no idea what they were talking about.

Speak to a mortgage broker once they are at least a year old. As the lenders who will consider you for a mortgage will be few in number. Time is your only healer.

FTBHELP_2

So it's a no go evern though it's been refered not declined ? Thanks all

ognum

FTBHELP wrote: »

So it's a no go evern though it's been refered not declined ? Thanks all

Think you have got yourself in such a panic you are not really reading what's been written.

First take some deep breathes.

Now wait for the result to come back, it may be OK.

If it is not then go to a broker, explain the situation, they will be able to look at the whole mortgage market and pick a mortgage product that will fut your requirement.

The only issues is it may end up costing you a bit more.

Don't just give up!

FTBHELP_2

Yeah a little bit haha thanks for the advice, we have had an offer accepted and its our dream house.

It's just so annoying we have a healthy income and deposit affordability is great . Suppose it's just the waiting game now

Hoploz

Don't panic yet ... It may still come back ok. If not then a broker will probably still be able to find you a product, just it might be at a higher % rate.