Overtime

dealer_wins

If the form asks for your salary, you should put your basic weekly/monthly/annual salary.

You could also state that you receive regular overtime, and provide supporting evidence ie payslips.

But even regular overtime can suddenly stop, so you cant put it as part of your actual salary on application forms.

27col

I was on overtime almost my entire working life. I would never have declared it as part of my salary. For any loan purpose.

Nasqueron

jimmy*c wrote: »

My repayment history is spotless - I have always paid on time, every time, to the full amount required of me at the time.

I understand that different lenders look at me in different ways, so income isn't really the be all and end all, I just thought it may influence a decision/offer.

I am currently overpaying my 2 loans but I'm doing a lot of saving for a deposit for a mortgage, so that is where the rest of the money is going, as well as a treat or two, not to lie. I don't 'need' a loan (you might have seen my previous thread about being offered 22.9% at best), I just thought if I got a loan at a lower rate, I could bunch the two together at a lower rate and make the same, if not more, overpayments that I already am.

The overtime I'm getting seems to be a given, a nature of the job if you like, and it's been steady for the past 5 months. It does go up and down, but like I say, as an average it makes up nearly double my salary.

There just seems to be a fine line, ignoring terms and conditions of each lender, between salary and "income", as in my case.

A lender (other than possibly your own bank) has no guarantee that your 2 loans will be consolidated into one - they judge based on combined sum.

You see (as an example) 5k loan 25% + 5k loan 20% being covered by a 10k loan at 10% i.e. 10k total debt.

The bank sees it as 20k total debt.

You would do better imo paying off the loans rather than getting more debt and saving for a deposit - reducing the interest paid in the long run means you can start saving debt free and not racking up interest charges while the deposit gets a pittance of interest

SeduLOUs

I'm curious about this one as my partner technically has a 40 hour per week contract, but has never yet worked less than 55 hours per week. The only time he gets paid 40 hours per week is when he is on holiday (and I'm almost certain this is wrong, but not on topic here).

What hypothetically would you put as your salary if you were on a zero hours contract with an average of 40 hours per week over the previous 12 months? I appreciate that in this scenario hours can possibly stop at any time, but to declare zero income also seems to be far too extreme...

I personally have a straight forward 37.5 hour per week salaried contract with no overtime, but I could still be made redundant/go on long term sick at any point in the future and have my income reduce substantially or completely.

There must be a point where average income becomes relevant.

jimmy*c

Thanks for your input guys. I have never used my overtime in any application I've ever made as I'm aware about the concerns over a large increase in income over a short period. I just wondered whether it was considered, but my question's been answered Thanks all for your time.