Condition on Halifax mortgage

candles1978

Hi

We have exchanged on a property and due to complete next Friday. I am losing sleep slightly as one of the conditions of our mortgage is that we repay our debt before completion. We did state to our broker that out debts would be repaid.

However, we have paid all but one outstanding loan. Unfortunately we do not have the funds to pay this one off prior to completion. We are currently renting and the deposit we have on the property will allow to pay this off but obviously this will only be after completion.

My question is do Halifax do a final check prior to completion?

marsman802

Pretty sure I had the same stipulation the first time I took my mortgage out however I never bothered to adhere but that doesn't mean I was right because clearly I broke a rule.

Re the credit check - I'm pretty sure the reports only update once a month so you could have paid it back anyway but the report wouldn't say or reflect that.

bebewoo

With Lloyds I had the same stipulation and they did ask for proof before releasing the funds I guess it depends on how diligent Halifax is.

candles1978

Thank you - bebewoo, when did they ask for that proof? Was it just before completion or after exchange?

davidmcn

I've seen similar in Halifax offers before, and they certainly didn't check before completion - whether or not they check afterwards, I don't know.

chanz4

I had the same, they didn't even ask but myn was resolving credit card

Contemptuous

The condition is more an instruction for your solicitor to follow. It is their duty to ensure the conditions of the mortgage are met before requesting release of funds. Sounds like some of you have been lucky with lax solicitors in the past!

davidmcn

Contemptuous wrote: »

The condition is more an instruction for your solicitor to follow. It is their duty to ensure the conditions of the mortgage are met before requesting release of funds. Sounds like some of you have been lucky with lax solicitors in the past!

No, the conditions I've seen were purely for the borrower to deal with - Halifax didn't expect the solicitor to get involved.

mrginge

CML handbook.

6.1.1The loan to the borrower will not be made until all relevant conditions of the mortgage offer which need to be satisfied before completion have been complied with and we have received your certificate of title.

6.1.2You must check your instructions and ensure that there are no discrepancies between them and the title documents and other matters revealed by your investigations.

davidmcn

mrginge wrote: »

CML handbook.

Yes - I checked (as a non-lax solicitor!) - the condition related to credit card accounts which were to be cleared by the borrower immediately after completion, rather than by the solicitor.

mrginge

davidmcn wrote: »

Yes - I checked (as a non-lax solicitor!) - the condition related to credit card accounts which were to be cleared by the borrower immediately after completion, rather than by the solicitor.

Lol. As a non-lax solicitor will you be sending me a bill now ha ha ha .