Remortgage rejected at the last minute - advice please.

superbez

Hello

So a few months ago we started the remortgage process using a broker at a well known high street agent (50-100ish shops I’d guess) and all went fine. We’d asked to take a bit of money out to settle a few debts we’d built up by doing up our new house, a new kitchen, bathroom, living room, rear garden etc and a bit on top to do further work such as a garage conversion etc. All agreed, no problems and an offer was submitted and everything was on track for completion next week.

I received and email today from the lenders lawyers telling me that the lender (again, a big high street one) had told them they were not going to proceed. After several stressful phone calls it turns out the broker at the well know agents had tried to remortgage with the same lender (which I knew about as he told me) who have suddenly realised that they can’t proceed as the offer I’d been given apparently only applies to new customers, not existing ones and they’ve pulled the plug.

Having tried to contact the broker I was told he no longer works for the company and to be fair they seem very concerned about this situation and are trying to do something about it, I suspect because it might become quite a problem for them. The lender so far has just said no deal that’s it but talks between the two are ongoing.

This could have a catastrophic ending for me as we’d ‘banked’ on it all going through as we’d been told by the lender it would.

I’ve done nothing wrong! I am considering looking into legal action regretfully, do I have a case of any kind seeing as it was all agreed?

Thank you for reading

[Deleted User]

No. But a complaint might earn you £50 or a bottle of wine.

Save your legal costs and put it towards the mortgage instead, where it will bring much more benefit.

Thrugelmir

superbez wrote: »

I am considering looking into legal action regretfully,

On what grounds does your solicitor believe that you have a case. What outcome are you hoping to achieve.

Ganga

superbez wrote: »

Hello

So a few months ago we started the remortgage process using a broker at a well known high street agent (50-100ish shops I’d guess) and all went fine. We’d asked to take a bit of money out to settle a few debts we’d built up by doing up our new house, a new kitchen, bathroom, living room, rear garden etc and a bit on top to do further work such as a garage conversion etc. All agreed, no problems and an offer was submitted and everything was on track for completion next week.

I received and email today from the lenders lawyers telling me that the lender (again, a big high street one) had told them they were not going to proceed. After several stressful phone calls it turns out the broker at the well know agents had tried to remortgage with the same lender (which I knew about as he told me) who have suddenly realised that they can’t proceed as the offer I’d been given apparently only applies to new customers, not existing ones and they’ve pulled the plug.

Having tried to contact the broker I was told he no longer works for the company and to be fair they seem very concerned about this situation and are trying to do something about it, I suspect because it might become quite a problem for them. The lender so far has just said no deal that’s it but talks between the two are ongoing.

This could have a catastrophic ending for me as we’d ‘banked’ on it all going through as we’d been told by the lender it would.

I’ve done nothing wrong! I am considering looking into legal action regretfully, do I have a case of any kind seeing as it was all agreed?

Thank you for reading

Have you been" spending" the money that you thought you were going to get before you got it?

superbez

Thrugelmir wrote: »

On what grounds does your solicitor believe that you have a case. What outcome are you hoping to achieve.

I said I was considering it which is why I asked. How has it got this far before someone, somewhere has finally spotted it, 10 days before completion. I have a young family, it’s Christmas time and my mortgage payment are about to shoot up as I’m at the end of my 2 year deal, now with no new deal in place. I’m not blessed with a fortune, this deal was all agreed and if I go over the limits I’d planned to clear with the remortgage then it could well have an impact on my credit score preventing me from securing the same deal again. I’m no expert in this, again why I’m asking for advice. Thank you.

superbez

Ganga wrote: »

Have you been" spending" the money that you thought you were going to get before you got it?

No not as such but see above. Thank you.

[Deleted User]

superbez wrote: »

it could well have an impact on my credit score preventing me from securing the same deal again.

That won't happen. You credit score is not something is used in any form of lending - it's just a gimmick for you to enjoy. No one else gets to even see it.

A search or two is of no concern.

superbez

Again, I’ve done nothing wrong, I’ve been open and truthful throughout, it was all agreed and I passed all the checks with flying colours, it’s an admin error that’s put us on the edge.

superbez

Deleted_User wrote: »

That won't happen. You credit score is not something is used in any form of lending - it's just a gimmick for you to enjoy. No one else gets to even see it.

A search or two is of no concern.

Thanks for replying I do appreciate, but what if the resulting higher mortgage payments means I miss a payment or two? Surely they will see it and it will have an affect? Maybe I’m just panicking it’s been a very stressful day and I’ve not told my wife yet

Thrugelmir

superbez wrote: »

Thanks for replying I do appreciate, but what if the resulting higher mortgage payments means I miss a payment or two? Surely they will see it and it will have an affect? Maybe I’m just panicking it’s been a very stressful day and I’ve not told my wife yet

Yes, there's been an admin error. However given that the lender is unable to offer you an alternative product. Suggests that there maybe more to their decision. Your comment about affordability being an issue immediately raises red flags.

superbez

Thrugelmir wrote: »

Yes, there's been an admin error. However given that the lender is unable to offer you an alternative product. Suggests that there maybe more to their decision. Your comment about affordability being an issue immediately raises red flags.

I spoke to the bank, yet again passed the affordability checks it’s just that there is the POTENTIAL that the delay might impact us.

I’m sure you can imagine how stressful this is so all I’m asking is this...

We had an agreement in place

By no fault of my own the offer has been withdrawn

Is anybody accountable for this and do I have any chance of a claim should I end up financially worse off as a result?

That is it