Mortgage approved, now need to buy a car :/

chelseablue

In need of some advice please;


We are in the process of buying a house, offer was accepted in November. Mortgage is approved.


On Friday evening my partner was in a car accident and it looks like the car is a write off.


At a guess the market value of it that the insurance will pay out is about £1,000


He gets a bonus in February that he is going to put towards a car (Approx £800).


Would it be ok if we put the remaining cost of the car on my credit card?


I have a credit card with £0 balance and the credit limit is £6,000.


Would be looking to put about £1,500 on the card


Would it cause any problems with the mortgage?

betmunch

Would the lender still think the mortgage is affordable to you with a £1500 credit cards debt?


If so, it'll be fine, if not they will withdraw the offer when you tell them about the material change

chelseablue

I would think so yes.


Our DIP was for £244,000, we are borrowing £230,000 if that counts for anything?

betmunch

I would check before going ahead if I was you.

kingstreet

£1,500 x 5% = £75 per month.

£14,000 / £5 per thousand = £70 per month.

It is very, very close on affordability, IMHO.

Debtslayer

Personally I wouldn't risk it, I wouldn't risk anything going wrong with the house purchase. I'd buy a car with the payout from the insurance

chelseablue

Thank you all. Never had to buy a car before, can you get anything for £1,000 that isn't really old?

Debtslayer

There should be plenty about for 1k. Yes it may be an older car but as long as it gets you around for at least 12 months then does it matter about the age. A car being reliable is more important. You can spend thousands on a 5 year old car and it could be unreliable.
Priority has to be the house, I wouldn't jeopardise the house for anything.
Could your boyfriend get lifts to work until he gets his bonus if he wants to wait til then to have more money for car?

chelseablue

He's getting a courtesy car today, not sure how long he can keep that for, maybe until we receive the money for his written off one

Paully232000

chelseablue wrote: »

I would think so yes.


Our DIP was for £244,000, we are borrowing £230,000 if that counts for anything?

Just for a comparison, we got a DIP a while back, and then when a full mortgage application was done it came back with a less amount of mortgage that could be offered. Given your two figures are only 6% apart that's not a lot of a drop.

kingstreet

chelseablue wrote: »

He's getting a courtesy car today, not sure how long he can keep that for, maybe until we receive the money for his written off one

Once the decision is "write-off," entitlement to a courtesy car ends.