Help AIP got declined by current lender

Dee_FTB

Hi all,

So my AIP got declined and I am a bit lost. I currently have 2 years left on my fixed deal so I will have to port my mortgage with Santander or pay ERC of about 7k.

I recently contacted L&C who assessed my affordability and advised that I had to pay off my car loan to be able to get the full amount i required. I have paid off the said car loan and some other debts and I am now within the amount I need to borrow.

My OH has just started a new job but was told Santander don't care as long as you can provide one month's payslip. So we found a house we liked made an offer which got accepted but as usual they wanted a AIP as proof of funds. I couldn't get hold of an advisor at L&C so decided to go ahead and appli for an AIP online myself as we want the house to be taken off the market.

The AIP came back as declined, as an existing customer they told me the reason was due to affordability, so apparently the loan I paid off is still showing on my credit file ans it appears as if I haven't declared it.

Now my question is how do I move on from this? I need to get an AIP ASAP. How long will it be till I can apply again?

Both are credit reports are good, no defaults or late payments. Our debt utilisation ratio is low.

[Deleted User]

Santanders credit check will be locked in place for probably 90 days now.
If it was my case I would expect to be able to have it overturned by sending in the settlement statement for the loan.

Ask santander if you can appeal this somehow by sending in proof of repayment

Princessladonna

Hi, I found L&C when I did my affordability said I could borrow a lot more than I actually could. We are still in a fixed with our mortgage and are going to have to pay the ERC as my mortgage company would not offer us the money that we needed. We went with a broker that I found off this website. There are quite a few on here.

What are your financial circumstance? E.g wages, debts and how much you want to borrow? They may see this post and offer you some advice!

Dee_FTB

Thanks for your response, will I be able to appeal this myself or do I have to get a broker involved?

I don't mind paying a broker just need to know if they can sort it for me.

[Deleted User]

Dee_FTB wrote: »

Thanks for your response, will I be able to appeal this myself or do I have to get a broker involved?

I don't mind paying a broker just need to know if they can sort it for me.

If the broker didnt submit it then the broker cant appeal it. However im not sure if a broker could submit it again and then appeal that decline decision.

Try contact the mortgage services tomorrow and see what the appeal options are. Common sense should win out here

Dee_FTB

Total joint salary is 71k
Total CC debt 8k
Mortgage required: 340k
Deposit: 38k

Princessladonna

Have you had a play around on Santander’s affordability calculators to see what figures they come up with?

Dee_FTB

The figures come up fine, I didn't even include our bonuses in case it would inflate our salaries. If I include our bonus then we can borrow a lot more than we require

amnblog

If it is on the credit file the system considers it active, if it is active it is offset against affordability, hence you fell short.

You should not be trying to manage this case yourself, but you should also be working with a Broker that is available when you need them.

A decent Broker would have managed this appropriately.

Dee_FTB

Everything has been sorted, Santander were very understanding of the issue and have now issued me with the decision in principle.