HSBC underwriting

Bubblecat

Has anyone got any recent experience of the HSBC underwriting process? My husband and I have applied for a £269k mortgage, LTV 74.9%. Combined salary is nearly £70k, one dependent, savings of £30k, and a loan which has £9.5k remaining (but we are going to pay it off in full). We pay our credit cards off in full every month, have no other debts and clean credit histories.

Initially we were told it would be a bank approval but then a few days later were then informed that it had to go to the underwriters as my husband has just been given a pay rise greater than 8% (so has not shown up on his wage slip yet).

The in-branch mortgage manager told me that it shouldn't be a problem and didn't think affordability was an issue but I'm really jittery now that it has gone to the underwriters as we have had to provide our credit card statements (bank approval wouldn't need them). The reason I am worried is that over the last year we haven't been as frugal as we could as we have had so much disposable income (whilst still saving approx £1k a month) and I know that HSBC is a very picky lender. Is this likely to backfire on us and lead to a decline?

TIA

N.B. we put everything on the credit card for the rewards but it may also look like we spend a lot as my husband puts all his expenses on it (which includes 2-3 expensive train fares per month).

Thrugelmir

All mortgage offers are underwritten. An underwriter has the authority to make you a mortgage offer on behalf of the lender.

Relax.

Bubblecat

Thrugelmir wrote: »

All mortgage offers are underwritten. An underwriter has the authority to make you a mortgage offer on behalf of the lender.

Relax.

HSBC have started doing a one-day branch approval service without it having to go to the underwriters and that is what was initially going to happen with our mortgage application. Only now that my oh has had a large pay rise which has not yet shown up on his pay slips has it been referred to their underwriters in Sheffield. Hence why I am now a little worried as they will scrutinise everything much more.

The house we are purchasing is our dream house so my stress levels are sky high as we don't want to lose it, so relaxing isn't possible at the moment! I'm praying for a good result!

Thrugelmir

Bubblecat wrote: »

HSBC have started doing a one-day branch approval service without it having to go to the underwriters and that is what was initially going to happen with our mortgage application. Only now that my oh has had a large pay rise which has not yet shown up on his pay slips has it been referred to their underwriters in Sheffield. Hence why I am now a little worried as they will scrutinise everything much more.

Presumably you applied on the basis of the new rate of pay. It's not the fact that he is getting a rise that's the issue. More the lack of documentary evidence to support the application.