Mortgage deal nearly up and credit now bad—Help

bluebird1894

Hi so I’ve had my mortgage for 9 years this year, when I split with my partner 4/5 years back I struggled massively and am only just entering into a DMP. I’ve just stuck with NatWest when my deals been up and I’m happy to do that again, my questions is I’d like to take some money outta the house to clear my debts, my LTV is 61% and I’d be taking it back upto 80a% I’ve got £44k in it and need to clear £21k. Will I be able to do this or will they credit check? The biggest debt is a personal
Loan with them to the tune of 9k thanks to my ex! Any help welcomed.

Carrot007

I would expect that if debts to them are in a DMP they might be reluctant.
Though since you are planning to clear it and could authorise them to do that part internally and not have to rely on you, maybe!

[Deleted User]

If you want to borrow more, they will be checking affordability.

bluebird1894

So checking affordability not a credit check???

enthusiasticsaver

Yes they will do a credit check and affordability check.

Moving your unsecured debts to your mortgage is a very bad idea.

Richard_Pia

Consolidating debts is not necessarily a bad idea. In fact if you are struggling to maintain your debt payments - as suggested by your DMP - it can actually be a positive thing as it can reduce our outgoings overall and make things more manageable.

NatWest will carry out a credit check if you wish to borrow more money. Even if you are declined this shouldn't affect your existing mortgage.

I wouldn't say you are necessarily limited to NatWest either, it may be that other lenders would be willing to consider an application.

Brock_and_Roll

Richard_Pia wrote: »

Consolidating debts is not necessarily a bad idea. QUOTE]


Indeed...however converting unsecured debt to secured debt and risk losing the roof over your head usually is.


Don't let your job as a mortgage advisor get in the way of providing impartial advice.


Many of your other recent posts come perilously close to "pitching" for business such as:


"I have run a check with one lender in particular, and they could potentially lend in the region of £73k, assuming you don't have any other significant expenditure. "

Richard_Pia

Brock is right to issue the warning about securing previously unsecured debt. It's a decision that you shouldn't take lightly. If, however, you are struggling to maintain your credit agreements, and consolidating debt can improve your situation overall, it is definitely something to be considered.

Brock, I am fully aware of the rules of the forum and not once have I "pitched for business". I have not been on the forum long but have attempted to use my knowledge and experience to help those who can benefit from it. Going by the 'thanks received' count so far, many seem to have been grateful for that too.