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Re mortgaging and loan

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Hi
I am remortgaging on my current home which is due to complete in November. I would like to take out a loan to remove him credit card debt ASAP.
I have had the mortgage offer and it’s currently with the solicitor. Would it harm the mortgage completing if I apply for the loan. I asked the bank who just said they would need to do a new affordability check.
Thanks for you help.

Comments

  • DCFC79
    DCFC79 Posts: 40,641 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Get the remortgage done first and sealed then look for a loan.
  • Pixie5740
    Pixie5740 Posts: 14,515 Forumite
    10,000 Posts Eighth Anniversary Name Dropper Photogenic
    Sorou123 wrote: »
    Hi
    I am remortgaging on my current home which is due to complete in November. I would like to take out a loan to remove him credit card debt ASAP.
    I have had the mortgage offer and it’s currently with the solicitor. Would it harm the mortgage completing if I apply for the loan. I asked the bank who just said they would need to do a new affordability check.
    Thanks for you help.

    It could do yes. The usual advice is to not apply for any more credit until the mortgage completes.
  • The Lender will very, very likely be aware of the transaction as they (as is the case with all complex products) monitor your credit profile over the course of the transaction.

    Also, at the risk of being a pedant, you are obliged to inform your mortgage lender of any material changes in your circumstances during and after the transaction. If this loan is of a material nature, and by the sounds of "remove him credit card debt ASAP" it feels a little bit like it, then you should be telling them.

    Either way, go with the above advice and secure the mortgage first.
    The views expressed here are my own. I am not a Solicitor nor am I affiliated with any of the parties I mention. If you disagree with any of my comments please say in whatever way feels most natural to you. No one self improves in a bubble!
  • sourcrates
    sourcrates Posts: 31,516 Ambassador
    Part of the Furniture 10,000 Posts I've been Money Tipped! Name Dropper
    Sorou123 wrote: »
    I would like to take out a loan to remove him credit card debt ASAP.


    Can you clarify this sentence for me please ?


    You want to pay off credit card debt by consolidation, is that correct ?
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
  • Yes that’s correct
  • Sorou123 wrote: »
    Yes that’s correct

    That's not really a clarification of the statement at all!

    A clarification would usually include additional information to allow the reader to understand what you meant, otherwise sourcrates would have asked you if the statement were correct or something similar.
    Sorou123 wrote: »
    I would like to take out a loan to remove him credit card debt ASAP.

    I suspect sourcrates is asking as there is an inference from this sentence that the matter is more complex than you might have initially stated, in that "him" suggests another party in the equation, unless of course you have a stylistic turn of phrase that attaches the male pronoun to debt, credit card or otherwise.
    The views expressed here are my own. I am not a Solicitor nor am I affiliated with any of the parties I mention. If you disagree with any of my comments please say in whatever way feels most natural to you. No one self improves in a bubble!
  • Thank you for your unhelpful comments on my reply Glennstar, which were unnecessary. Yes sourcrates I plan to take out a loan to consolidate my credit card debt and clear it this way.
    The him was a miss type by auto correct. From the previous comments I will wait until my mortgage is complete and apply shortly after. I wondered if it was a possibility to do so sooner as I have several pre approved loans available across both MSE and clear score.
  • Sorou123 wrote: »
    Thank you for your unhelpful comments on my reply Glennstar, which were unnecessary. Yes sourcrates I plan to take out a loan to consolidate my credit card debt and clear it this way. The him was a miss type by auto correct.

    You're partially welcome!

    The reason I made the point is that the urgency you express combined with the ambiguity of the statement and failure to respond accurately to sourcrates' question is the sort of thing that makes lenders suspicious... plus I did try to work out how "him" might have appeared in that sentence and really couldn't see any option other than you were going to say something, changed your mind and didn't delete all of what you had previously written... I did try very hard to see how it might have arrived there and failed - for which I apologise.
    Sorou123 wrote: »
    From the previous comments I will wait until my mortgage is complete and apply shortly after.
    Yes, good, wait, please.
    Sorou123 wrote: »
    I wondered if it was a possibility to do so sooner as I have several pre approved loans available across both MSE and clear score.
    Please understand that pre-approval (certainly in the case of ClearScore (CS) - I can't comment on MSE as I have never worked with them) is pretty flimsy and really shouldn't be relied upon. Let's examine what CS thinks is an acceptable (better than commission driven) approach to giving you a decision in principle...
    The most important pieces of information we use when choosing a finance product for you are:
    * your current borrowing behaviour
    * your likelihood of acceptance (calculated based on your credit history)
    * the APR (Annual Percentage Rate).

    If this wasn't so outrageous it would be the subject of no small amount of ridicule. The laws of probability state that CS has about as much detailed knowledge of how to process your credit file (point 2) for any given lender as I do... only in this case I am not working on commission, so have no vested interest.

    The point is, if you are still reading this, that a decision in principle from a broker of this kind is irrelevant and the only way you know you will get a loan from a lender is when they agree to lend you the money.
    The views expressed here are my own. I am not a Solicitor nor am I affiliated with any of the parties I mention. If you disagree with any of my comments please say in whatever way feels most natural to you. No one self improves in a bubble!
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