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Student loan and mortgage application

Hi, just a question regarding student loan post 98.
Partner has a student loan of 20k. We worked out partner could borrow £80k so would the bank Deduct the loan from this giving a figure of £60k? How do banks work this out?

Last question they only have 2 phone contracts coming out of their account but the rest is just spent on shopping and luxury items. Obvisiouly this would stop if needed for mortgage payments, how do the banks do this when calculating affordbility?

Thanks for the advice.

Comments

  • ThePants999
    ThePants999 Posts: 1,748 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper
    Banks differ in how they handle student loans, but any sensible one, when looking at a post 98 loan, would simply deduct the repayments from income when calculating affordability.
  • cahillg81
    cahillg81 Posts: 239 Forumite
    Different lenders have different criteria
    I am a Mortgage & Protection Broker

    MSE doesn't check my status so you have to take my word for it. Any information posted is for discussion only and should not be seen as advice. I am FCA Registered, registration details available on request.
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