Appealing a morgage decision from Halifax

REArmstrong

Hello,

I need a bit of advice if possible. Also thought it would be good for anyone who is a first time buyer in the same position.

Looking to buy on help to buy on a new build with a 5% deposit and standard 20% deposit from the government. We got AIP from Halifax for 213000, the house is worth 124000 so the morgage is very small compared to what they said they would lend us.

Broker sent the paperwork to them and the underwriter came back and said they would only lend 55% of the amount, the broker appealed by letter but did all this before he told us what the issue was. Halifax came back with an increase to 65% on 12k off what we needed to borrow and wouldn’t budge anymore.

Apparently we have a few things on our credit score they didn’t like. One issue is something we have realised is incorrect and is under dispute (Santander which may be wiped off) another major issue was a payday loan on my husbands credit score, they believed that if you have to get one out you can’t afford the morgage. This loan was not only from a few years ago but after a bit of looking into turns out it was due to my husband getting paid late from an employer and to avoid late payments on his bills took it out and paid it back two days later. We have the emails and payslip to prove it.
Would it be worth sending these emails and proof to Halifax to show it was a one off? Would it be worth appealing the decision again with this?.

We were so close to getting the morgage offer we are hoping this may be enough?
Thanks in advance!

amnblog

This is advice you should be getting from your broker who should understand your case in depth.

Thrugelmir

REArmstrong wrote: »

so the morgage is very small compared to what they said they would lend us.

The Halifax never said that they would lend you that amount of money. An "Agreement In Principle" is subject to you making a full application, and is subject to the lenders internal policy and criteria at the time of making the application.

REArmstrong

i was hoping from advise from others who may know if this is something that will help prior to a conversation with them when the eventually are available next week. We understand that the AIP is not something to rely on, what I’m onterested in is whether we are in the position to appeal their reluctance to give a full morgage, specifically as they mentioned the payday loan.