Mortgage company changing minds?!

Jambat

Hi all, so recently got excepted on porting our mortgage by the skin of our teeth!! We were told as we were " loyal customer" that it would be considered and after a 1hr 45min t/c . Basically they told us if we were new customers it would of been declined , however they are prepared to do it on this occasion!!! Advisor told me the pay slips they have just need to be double checked against her fingers, but as far as she could see they were fine. At the end of t/c they took a payment of £500 for the survey for new property.
So 5 days on and I have just recieved a t/c asking proof for our child benefit !!!!
So my question what next? Bank statement ? Proof of credit card statement balances etc?
I'm very confused why they would take a payment then carry out further checks!!
We have started to sell things that we no longer need for the new property I.e sofas in spare room, dinning table and chairs etc
Now I know this is risk that the sale could fall through, but we were prepared to take that as there was no chain!!! But we wouldn't of done this if the mortgage company are going to change their minds !!
Thanks

betmunch

Sounds like they havent made up their minds yet so cant be changing them yet.

Proving income you have declared is standard, as is asking for bank statements should they do so. Credit card statements would be a little more unusual but prefectly understandable.

I'm afraid I cant see what the lender has done wrong here.

Did you ask if the survey would be done at the end of the process? Or just send in the application on the assumption the survey happened last?

gazfocus

I can understand why you're feeling concerned, but remember that the mortgage lender has an obligation to make sure your new house is affordable. They are asking for proof of your child benefit because that will form part of your income and therefore affects your affordability.

I don't see it as them changing their minds though.

Regarding the survey, that is part of the underwriting process and many mortgage lenders get the survey done, then do all the other legwork.

Which lender is it?

Jambat

Hi there ,
Didn't ask for it at all!! Basically they told me that it was all fine at the end of call , said I had to pay for survey, and gave me a number too fast track survey if I want to.
The very next morning I recived papers saying apllication status approved , details of mortgage personal detail, income etc, and key facts of mortgage .
I was told I did not need to sign these.
As a side not on the online tracker for the mortgage there a few stage not "ticked" Such as
Passed to under writer
Decision
Application passed to mortgage centre
Application offered etc
But this contradicts application status approved on paper work!!
Thanks

gazfocus

Jambat wrote: »

Hi there ,
Didn't ask for it at all!! Basically they told me that it was all fine at the end of call , said I had to pay for survey, and gave me a number too fast track survey if I want to.
The very next morning I recived papers saying apllication status approved , details of mortgage personal detail, income etc, and key facts of mortgage .
I was told I did not need to sign these.
As a side not on the online tracker for the mortgage there a few stage not "ticked" Such as
Passed to under writer
Decision
Application passed to mortgage centre
Application offered etc
But this contradicts application status approved on paper work!!
Thanks

It sounds to me like the bit with the key facts and application status approved might have been the decision in principle rather than the full application.

Jambat

*As a side note on the online tracker for the mortage are a few stages not

Sorry cracked screen !!!

betmunch

If you didnt ask about the survey then they would just do it as their policy states which would appear to be right away.

Definitely sounds like you have an Agreement in Principal and are now converting it to a full application.

Just wait for their requests and send in the documents as soon as they ask for them

Jambat

Hi , so basically it's not a definite yes on decision in principle ?
It's a bit cheeky taking £500 , surely they should do that when all checks are done and they agree to give it too you?!!
Surely I should of been informed that it needs to go too underwriters etc for a full application ?

betmunch

Thats right. They have agreed you in principal, now they need to check everything you have told them is correct such as are you actually recieving child benefit.

The survey needs to be done to get the offer so the money has to be paid. While I totally agree with you lenders set their own policy and if you dont tell them otherwise they will just follow that. In your case you didnt question if you could leave the survey until the end, you just paid the fee.

All cases go to the underwriters for a full application. Maybe you should have been told, but its more likely they would only tell you stuff that is non-standard to be fair.

gazfocus

Jambat wrote: »

Hi , so basically it's not a definite yes on decision in principle ?
It's a bit cheeky taking £500 , surely they should do that when all checks are done and they agree to give it too you?!!
Surely I should of been informed that it needs to go too underwriters etc for a full application ?

There are many mortgage applications that get a 'yes' on DIP and then a 'no' on full application unfortunately. A lot of lenders don't do a full credit search until you submit your full application, and the DIP is largely based on information you give them, then on full application, the lender wants proof to back up what you've told them.

Jambat

Ok thanks, I'm so glad this is our dream home as I never want too move again so stressful!!( if approved)
There wording on the letter " mortage status approved" is very misleading and being in our mid 20,s have very little experience of mortages etc and along with the fact they took money !! I can safely say I'm Not doing this again... Back too sleepless nights again😩