Mortgage broker added money on

jasmin10

Quick question for a friend that has just found out that her mortgage broker has added £6k onto her new Mortgage for debt consolidation. The mortgage lender has stipulated that they want to see that this £6k loan is paid off before they give her the mortgage. There is no loan to pay and they are furious. The broker has said that if they amend the paperwork now they will have to start a whole new application.

I said that if it was Me I Would contact the lender directly and find out what's what as it Sounds like he has Just added money on for Commission reasons.

What are Your Opinions.

ACG

EDITED as I did not see the question sorry.

Ask the broker. You can assume as much as you like but you could be wrong. People do make mistakes.

Oh and it should not be a new application, just an alteration. The broker needs to sort it out though and correct the loan amount.

RhysHSCC

It shouldn't be too difficult to amend it. It doesn't technically require a whole new application.

Broker sends an amendment form confirming advice has been revisited and lender should just issue new offer to reflect this. Not going to take long.

But yeah I'd question why the broker did that, sounds very fishy to me

RhysHSCC

Also, your friend can't just liaise with the lender directly now because the broker gave the advice to your friend.

Your friend would have to start all over again if she wanted to cut the broker out to receive advice from the lenders mortgage advisor.

dunstonh

I said that if it was Me I Would contact the lender directly and find out what's what as it Sounds like he has Just added money on for Commission reasons.

Commission is paid by the lender. Not the borrower. So, the borrower would receive that extra £6000 not the broker. The actual commission on that £6000 would be about £18.

The broker has said that if they amend the paperwork now they will have to start a whole new application.

no they dont.

But yeah I'd question why the broker did that, sounds very fishy to me

Nothing fishy about a typo. Could have mistaken a 6 for a 0 when typing or reversed a number by mistake. It is way too early to jump to conclusions that do not make any sense.

jasmin10

Thank you for the replies.

I have gone back to my friends and has said that she didn't explain what's happened.

She's told the mortgage broker that she's got a 6k loan and he has told the bank off his own back that she will of paid off this loan prior to completion. Therefore they have stipulates as a condition. That they want evidence of this being paid off before they release the money.

Sorry - very different scenario now🤔. I'm thinking this was to rescue her outgoings to show a lower expensiture. Would it be a new application or an amended in to be re-evaluated

Debtslayer

jasmin10 wrote: »

Thank you for the replies.

I have gone back to my friends and has said that she didn't explain what's happened.

She's told the mortgage broker that she's got a 6k loan and he has told the bank off his own back that she will of paid off this loan prior to completion. Therefore they have stipulates as a condition. That they want evidence of this being paid off before they release the money.
So your friend does have a loan after all?! The loan being added to the mortgage and being paid off sounds like its a condition of the mortgage by the lender. Your friend could find she won't get the mortgage otherwise if the loan stays in place as if is.
Surely she will have been told this when mortgage broker advised her of available mortgages. If she doesn't fully understand she needs to ask the broker
I would be wary if your friend is giving you proper information as they firstly told you they had no loan!
Sorry - very different scenario now🤔. I'm thinking this was to rescue her outgoings to show a lower expensiture. Would it be a new application or an amended in to be re-evaluated

Does your friend have a problem with the loan having to be paid off and it being added to the mortgage? If they do then they need to speak to the broker, it at may be they can't get a mortgage win seperate loan still being in place

ACG

Broker should probably have discussed this with your friend, but like you say when its put like it is on the second post it does not sound as bad.

getmore4less

Is there a loan or not?