Nationwide won't let us extend

MD737

Hope this is in the right place.
We need to extend our current home but Nationwide won't let us borrow money because it's not financially viable for them. They said we met the affordability criteria but because husband mentioned possibly paying off our mortgage earlier with money from shares (potentially, maybe, one day) they got funny. We had a really high fixed rate since 2009 for 5yrs and have been overpaying for the last year or so, in part to prove we can afford the extension. We think they want us off the current mortgage and offered as much in the phone call.
How is this responsible lending????

So we are stuck in a house that is too small.
Any experience with second charge mortgages with different lenders?
Any advice appreciated.

[Deleted User]

MD737 wrote: »

How is this responsible lending????

Well, it's certainly not irresponsible lending, if they're not lending...

AnotherJoe

MD737 wrote: »

Hope this is in the right place.
We need to extend our current home but Nationwide won't let us borrow money because it's not financially viable for them. They said we met the affordability criteria but because husband mentioned possibly paying off our mortgage earlier with money from shares (potentially, maybe, one day) they got funny. We had a really high fixed rate since 2009 for 5yrs and have been overpaying for the last year or so, in part to prove we can afford the extension. We think they want us off the current mortgage and offered as much in the phone call.
How is this responsible lending????

So we are stuck in a house that is too small.
Any experience with second charge mortgages with different lenders?
Any advice appreciated.

Why can't you just remortgage with a increased amount with a different lender ?

Keith99

why would you tell them that you are planning to repay, it shouldn't really matter though.

ACG

You realise that when you apply it costs them to do a credit check, it costs them to get the money in the first place, it costs them for someone to sit and look at your bank statements, payslips and ID, to do the valuation, the legals, the processing etc.

Responsible lending is ensuring you they lend what you can afford. However they also have a responsibility to their owners andcustomers ot make a profit and be in business tomorrow and the next day.

Keith99

ACG wrote: »

You realise that when you apply it costs them to do a credit check, it costs them to get the money in the first place, it costs them for someone to sit and look at your bank statements, payslips and ID, to do the valuation, the legals, the processing etc.

Responsible lending is ensuring you they lend what you can afford. However they also have a responsibility to their owners andcustomers ot make a profit and be in business tomorrow and the next day.

Agreed but one would assume thats what fees etc are for or fixed rate deals - most lenders would expect people to redem/remortgage after their tracker/fixed deal ends

MD737

Keith99: because they asked and my husband was told to be honest. If he'd have lied it would have gone thru. It didn't occur to us that over paying might be seen as a bad thing. Hindsight...

AnotherJoe: that's my main question is it possible to have two mortgages on the same property from two different lenders??

ViolaLass

They offered to 'get you off the current mortgage' in the phone call? How much did they offer?

glosoli

no - you would need to remortgage the full amount

MD737

Deleted_User wrote: »

Well, it's certainly not irresponsible lending, if they're not lending...

But encouraging us to take out another mortgage on a higher rate...

ACG

Most remortgages have free valuations and legal fees. The arrangement fees are in lieu of higher rates. If you are looking to pay off sooner rather thanlater I would imagine it would be more financially viable to choose a deal with no fees.