Nationwide product switch

muhandis

Hi,

I have a Nationwide mortgage which is on a fix ending in the next year. I will go on maternity leave in a few months and as a consequence our combined income (based on which we got the mortgage) will go down significantly when the remortgage is up. Unfortunately, my income is primarily commission, so even if NW consider my (small) basic while on maternity leave, this will not change.

My husband changed jobs recently and the resultant pay rise means that we will be able to comfortably make the monthly payment even if the rate reverted to the SVR. However, we would not be able to pass the affordability checks to get a remortgage.

Trawling through the internet, I came upon someone commenting in a forum that their bank does not do affordability checks or credit checks if you are switching products at the end of a fix (as long as you aren't looking to increase borrowing).

Does anyone know if this is true of Nationwide as well? I am hesitant to call them and ask in case this triggers a flag on their system or something.

Thanks,

K

kingstreet

muhandis wrote: »

Does anyone know if this is true of Nationwide as well?

Yep. No income or status checks for an unadvised customer retention product switch.

Mogley

I re-mortgaged and continued with Nationwide last year and concur with kingstreet.

Glover1862

Apparently Nationwide are also offering £250 if you go for a retention deal.

muhandis

Whew, that's great news! Thanks for the responses.

densol_2

Same ! I was in a different position than when I took out my original mortgage. When it came to the end of the product - I just picked a new one online and pressed a few buttons, and got a new fix. With Nationwide you can pick 4 months before the end of switch, which starts 3 months before end of deal ( with no penalty) To switch without new checks you just need to make sure you do it 'online' without advice etc, otherwise I understand that triggers a new check

kingstreet

Mogley wrote: »

I re-mortgaged and continued with Nationwide last year and concur with kingstreet.

Can't do anything here but sound totally pedantic, so hope Mogley will forgive me for the sake of future readers.

If you stay with your existing lender, you are taking a customer retention product you are NOT remortgaging.

A remortgage means a new mortgage from a new lender to repay the old one, so you are looking at products for new borrowers, or products "for those with another lender who are not moving home."

Technically, the "mortgage" deed which ties the security property to the loan only changes when you change lenders, so that is the "remortgage" not the change from one fixed rate to another etc.

The loan and the mortgage are two different things...

Glover1862

densol wrote: »

Same ! I was in a different position than when I took out my original mortgage. When it came to the end of the product - I just picked a new one online and pressed a few buttons, and got a new fix. With Nationwide you can pick 4 months before the end of switch, which starts 3 months before end of deal ( with no penalty) To switch without new checks you just need to make sure you do it 'online' without advice etc, otherwise I understand that triggers a new check

That's good to know, I'm with the coop who also allows a new product 4 months before but not sure if it kicks in 3 months before, I'll call in the morning.

xnoxxnox

Switching product online, can be done on execution only basis essentially. If your loan to value is high, and you want tracker they do an assessment over the phone. Otherwise it's click, click, done. Just search the rate you want Existing Customer Deal ending and follow through the online application using their webportal (it has errors from time to time, if it does, just reload/retry).