Postoffice / Bank of Ireland decline

dsme94

Hi,

I've recently stuck an offer in on a house which I had a mortgage in principal with from the Bank of Scotland (the bank i've used for 10 years). I went into them to get a mortgage application going and got to the final stages where they said they'd offer me 3.5%.

I said no to myself, that's too much. Went to a mortgage broker straight after who brought up multiple lenders offering as low as 2.53% (PO). I put in the application but I've just been informed by the mortgage broker that the application was referred to a manual underwriter and they have declined it because of credit score? The advisor seems to think it's my address history? I've moved around a lot (generally a new house every year), every time it's been living with parents (they rent). The mortgage advisor stated that they appealed the application and they said that they will not overturn it at a 10% deposit but at a 15% they would go ahead.

I was then offered to apply for one at Virgin money at 2.84%.

I honestly didn't think the address history would be an issue given that I live with parents.

I had a loan with the bank which was settled recently 1 year early.

I had a car loan which was settled early. (for a car)

The only credit on my report now is my mobile phone contract and my credit card.

I done some reading but couldn't see any information regarding address history with PO/BOI.

Really don't want to go back to the bank and accept 3.5%, but worried that if I try too many places elsewhere then I might get a knock back altogether..

I'd like to add here that I have never missed a single payment, ever. Always on time.

Lauralou79

Maybe it was the affordability. It can depend how much do you want to borrow, how much you earn and your outgoings.

dsme94

Lauralou79 wrote: »

Maybe it was the affordability. It can depend how much do you want to borrow, how much you earn and your outgoings.

25,000/year +

81000/25000 = 3.24

Very small and easily affordable mortgage. Standard 25 year mortgage.

No outgoings.

Keezing

There's no guarantee that the Bank of Scotland will accept you once you do a full application. Don't assume that they are your back up plan.

You need a better broker that can match your credit profile with the correct lenders.

dsme94

I'm not using them as my back out plan, but it's at the stage of me saying yes or no. The broker is 5* broker according to Google reviews throughout the whole central belt (Glasgow to Edinburgh and between).

Keezing

Good brokers very rarely get a decline. They know exactly which lenders are suitable for their customers.

On the rare instances they do get a decline, it's normally an underwriter error that is resolved on appeal.

What you have said indicates that you have a broker that has not performed the correct diligence on your situation and has proceeded to match you with an inappropriate lender's criteria.

Do you have a full mortgage offer from BOS?

dsme94

Keezing wrote: »

Good brokers very rarely get a decline. They know exactly which lenders are suitable for their customers.

On the rare instances they do get a decline, it's normally an underwriter error that is resolved on appeal.

What you have said indicates that you have a broker that has not performed the correct diligence on your situation and has proceeded to match you with an inappropriate lender's criteria.

Do you have a full mortgage offer from BOS?

Incredibly frustrating that this is out with my hands.

Yes I have a full mortgage offer from BOS.

dsme94

Virgin Money have came back with a DIP/Mortgage in principal

libertine85

I'm in a similar situation.

I got an AIP from Barclays and then put in an offer for a flat (it was a quick view and decision). I contacted L & C because I wanted to see if I could get a better deal quickly, incase I was making a mistake with Barclays. So they put me in for an M&S deal which took days to sort and I was declined on score (which is good). I have a car, phone and that's about it. 30k salary with no defaults etc so I should be okay. My broker's now put me through for a PO mortgage and I'm hoping it works out. I'm stressing that the flat will fall through, as it's subject to mortgage and survey.

How long have you been waiting on mortgage since having your offer accepted on your house?