Halifax FTB - Worried About Unauthorised Overdraft

cara22

Hi everyone,

My partner and I have applied for a mortgage with Halifax, via a broker. We put an offer on a house, the offer was accepted, and now Halifax has approved our mortgage application *subject to valuation*. It was approved on 8 June and valuation is on 14 June.

My worry? On May 4 & 5 I exceeded my £1000 overdraft by £30. On May 6 I paid it off fully. Before making the application, I told my broker this (he also has my May bank statement to see it). I have £19k in savings and each pay day I'm too optimistic with how much money I can save - this is why I used my overdraft. Not sure if they'll accept that as an excuse!

Will this affect our mortgage offer?? So worried such a stupid mistake could ruin our chances! At the time of application, Experian was showing data from May 1 - so it hasn't taken my unauthorised overdraft into account. Broker said he mentioned it when he applied with the lender, and they said they couldn't see anything.

I understand that Experian updates mid-month, so pretty soon my exceeded overdraft will be visible to Halifax. The only good thing about this = Experian displays the bank balance from the last day of the month, so hopefully it never even shows on my report.

- My partner and I are both limited companies, our salary together is £150,000/year
- 20% deposit on £540,000 property
- Broker says this isn't the high street Halifax, apparently there is another branch of it that accepts limited companies with only 1 years records (me - my partner has 3 years)
- Partner's accounts are immaculate

cara22

Guess my question is: if mortgage was accepted subject to valuation, will Halifax run a credit check again after valuation?

csgohan4

cara22 wrote: »

Guess my question is: if mortgage was accepted subject to valuation, will Halifax run a credit check again after valuation?

All lenders may run credit checks before exchange/ completion as well. So best to avoid any finance decisions' till after.

cara22

Thanks. Will they be able to see that I went over my overdraft limit?

poppy1010

Have you already sent them your bank statements? if so I wouldn't worry. I was tracking Experian throughout our application (Halifax) and they only credit checked before they did the offer not after. Plus Experian is so out of date. My current balance for one of my credit cards is about 2 or 3 months out of date....they're behind and it takes a month or two to update. So it won't update on your Experian (which is who they use apparently) until a few months away. By which time you would probably have the offer anyway (typically a week or two).