the *perfect* remortgage lender

Inae

I'm a single parent in a similar situation. About one sixth of my income comes from child maintenance and I have an informal arrangement with my ex, no court order.

Childcare costs and school fees severely reduce the amount banks will lend to parents. However, child support and child benefit received by single parents are ignored by many lenders when calculating affordability. Or they make it difficult... some require "sustainability over the term of the mortgage" for child support and child benefit, but then they don't do the same thing for childcare expenses, do they? Most parents stop paying those when children reach 11.

Then, most banks ask to see a court order or a CSA letter to be able to consider child support. On the other hand, the government encourages parents to reach informal agreements and not go to court or to CSA. It's a catch 22 for many parents, especially for single mothers.

Having said that, there are some lenders who are more flexible when it comes to these situations. I can't post links but if you Google "Is child support counted as income by mortgage lenders?" you'll come across a summary on savvywoman co uk. I'm posting an excerpt here.

Don’t accept child support payments:

– Coventry building society: doesn’t currently consider child support as income for a mortgage.
– Post Office: Doesn’t take child support into account and has no plans to review its approach.

Accept a percentage of child support payments

Two lenders/lending groups will accept a percentage of child support payments as income if backed by a court order or CSA payment plan (some lenders also accept a statutory Child Maintenance Service plan as well).

– Lloyds Banking Group: Takes 60% of the level of child support into account backed by a court order, CSA payment plan or three months’ bank statements showing payments have been made. SAVVY TIP: This group accounts for a large part of the mortgage market as it includes Lloyds bank, Halifax and Bank of Scotland.
– Yorkshire building society: will take into account 50% of the value of any child maintenance payments, provided it is evidenced by a court order or consent order, a Child Support Agency or Statutory Child Maintenance Service payment order, or a solicitor’s letter confirming payments. We also require evidence from the most recent bank statement to show the payment had been made.

Take child support into account with court/CSA order

Several lenders will take all of the child support value into account when assessing income, but only if it’s being paid by a CSA or court order.

– Cambridge building society: Takes child support into account if it is backed by a court order or CSA payment order, and would also want to know that payments are being maintained and are sustainable. They may make an exception to the above if there is a good track record of payments.
– Clydesdale and Yorkshire Banks: Do not generally take child support into account as income when assessing someone’s application. However they will look at borrowers on a ‘case by case’ basis. Even where they will accept child support, it must be backed by a CSA payment order or court order.
– Co-operative Banking Group: Will take 100% of child maintenance income into consideration, provided this is covered by a court order or CSA/Child Maintenance Service (CMS) documentation. We would also want to know that payments are being maintained and are sustainable.
– Metro Bank: Takes child support into account if it is backed by a court order, and would also want to know that payments are being maintained and are sustainable.
– Virgin Money: Takes child support into account if it is backed by a CSA payment or court order, if they have been in place for at least two years before the start date of the mortgage.
– NatWest/RBS: Takes child support into account on a case-by-case basis. It doesn’t necessarily insist on a CSA or court order, but it would want to know that payments would be sustained. It may ask for evidence that payments have been received over the last six months.

Take child support into account without CSA/court order

Several lenders take a more flexible approach, including those listed below.

– Santander: Takes child support into account and would want to know that it had been paid for at least three months (this would need to be by standing order or phone/online payment so it would show up on a bank statement).
– Tesco Bank: Takes child support into account and would want to know that it had been paid for at least three months (this would need to be by standing order or phone/online payment so it would show up on a bank statement).
– Barclays: Takes child support into account as long as it is accompanied by a court order or if payments have been received continuously for 12 months.

getmore4less

they're £1020 at 2.4% fix, which ends in 3 months time. 21 years left.

That's around £200k if only looking for £215kthe £10K consolidation that will be around £5k for refurb, it be cheaper to just stick with 0% CC and fund with that and saving a bit more.

you should have room to get a decent 0% purchase card to spread the costs by using that for regular spending.