First Time Buyer - Leeds Mortgage - Please HELP

Aberdeen-Loon

Looking for reassurance but im starting to pull my hair out.


See below the timeline and i will go into more details after.



21/07/18 - AIP reffered but approved
23/07/18 - Home Offer Accepted (Provisional move-in date of 14th, everything to be confirmed and signed pending the mortgage offer)
25/07/18 - Full application and documents (including home report) sent to broker and Leeds
25/07/18 - Credit search has appeared on credit file
03/08/18 - Leeds request proof of deposit - Sent (advised this is the final document)
09/08/18 - Leeds waiting on copy of the home report to be assesed
14/08/18 - Broker phoned for an update and advised home report has been received but they are now questioning an outstanding default, of which there isn't.


Everytime we have received an update it has been me asking my broker who then phones leeds. What customer service is this? surely leeds should be updating the broker?


twice leeds have already had the information but requested it meaning it has to go back into the underwriting pile.


The outstanding default worries me but i don't know why. My broker today requested an update and received a response mentioning an outstanding default on my credit file with equifax. I logged into equifax credit report and the only default on there for £300 was settled 5 years ago. No other credit agreements have missed payments or defaulted. So where on earth is this information coming from?


Not only that but i called leeds myself to get more infortmation where i was advised it would be 2-3 days for the underwriters to do further checks, then 2-3 more days for offer checks? Can anyone advise on offer checks? Then 9 days after the offer another credit check would be done....??


So basically the minimum date we will receive an offer is looking like next week, which will have been 4 weeks since the application went in. Which sounds an extremely long time considering we don't need an evaluation as its a scottish property and the home report is still in date.


As previously said... please advise as im pulling my hair out :eek::eek::eek::eek::(

barrymat

I feel your pain

Just going through an application with Leeds too.

Got the AIP no problem, declared all credit commitments, outstanding balances etc...

Sent the broker a copy of our Experian credit report.

Full application made and then got a call from the broker and said that Leeds had said we had undeclared credit.

Turns out £790 on a credit card that we paid off at the start of the month was showing up as cleared on Experian bit not on Equifax which is the CRA that Leeds use.

So had to send a copy of our latest credit card statement showing the balance as 0

Broker said that that amount was affecting the amount they would lend.

Wouldn't have thought that relatively small amount would have the potential to have that much affect.

csgohan4

did you get your broker from the EA?

kingstreet

barrymat wrote: »

Full application made and then got a call from the broker and said that Leeds had said we had undeclared credit.

Turns out £790 on a credit card that we paid off at the start of the month was showing up as cleared on Experian bit not on Equifax which is the CRA that Leeds use.

Each time we send out illustrations where there has been no disclosure of credit we say;-

Our next step is an agreement in principle with the lender to confirm your “mortgageability” so the builder will accept your reservation. A credit search is carried out, leaving a visible “footprint” on your credit file. Please confirm you are happy for us to do this, to enable us to proceed.

If you have any credit cards which are repaid in full each month, please let us know so we don’t include the balances in affordability calculations. Issuer, holder and latest couple of months’ balances for each card please, as the credit system does not work in “real-time” and lenders may see out of date data when searching your credit history.

You can't afford to assume;-

all lenders take data from your chosen CRA
all your credit files say the same thing
the lender's data feed corresponds with when you've done something.

So it's important to disclose everything and note it to be repaid on completion so it doesn't affect affordability.

A £800 card debt could cost you about £8,000 in mortgage borrowing with some lenders.

barrymat

We did disclose to our broker that we had paid off our credit card.

Didn't know that it would make that much of a difference.

Hopefully now with the proof of payment things will go through ok.

Our broker has also sent us some info on mortgage protection.

Obviously this in principle sounds like a good idea, is it best to source my own or go through the one the broker found for me.