Mortgage broker - ask me anything

latam2012

I have just gotten an AIP with Barclays through a broker, I gave permission to go forward with this based on the understanding it was a soft search MIP. However, both my partner and I have hard searches immediately appear on our Equifax and Experian files.

This concerns me as we do not yet have a specific property in mind, and the soft search MIP was to help boost our chances when making an offer, not necessarily because we wanted to commit to that lender. Any experiences with Barclays or this kind of mix up?

Will this affect my chances of being able to go with another lender we've selected a property.
I'm quite annoyed with the broker on this as she assured me it was soft search only.

K_S

latam2012 said:

I have just gotten an AIP with Barclays through a broker, I gave permission to go forward with this based on the understanding it was a soft search MIP. However, both my partner and I have hard searches immediately appear on our Equifax and Experian files.

This concerns me as we do not yet have a specific property in mind, and the soft search MIP was to help boost our chances when making an offer, not necessarily because we wanted to commit to that lender. Any experiences with Barclays or this kind of mix up?

Will this affect my chances of being able to go with another lender we've selected a property.
I'm quite annoyed with the broker on this as she assured me it was soft search only.

@latam2012 Well the broker has made a mistake unfortunately. Barclays DIP when done by a broker is a hard-check.

Having said that, unless you're applying with another lender straight away, it shouldn't have a huge impact on your chances.

latam2012

OK thanks  for confirming - it doesn't really give me confidence when a mistake like this has been made. 

K_S

latam2012 said:

OK thanks  for confirming - it doesn't really give me confidence when a mistake like this has been made. 

@latam2012 Completely understandable that you've lost a bit of confidence. It is a rookie mistake to make but everyone makes a few early on in their careers (and sometimes later on as well!).

On the plus side, I assume the DIP has come back as good to go. Good luck!

Kelda1

Week two of application and we have been credit and ID checked on the 3rd and 11th of jan. two questions came back but not heard anything else is this normal ? Or does it look like they will decline? I was under the impression this was done at the start and end of the process ? 

K_S

Kelda1 said:

Week two of application and we have been credit and ID checked on the 3rd and 11th of jan. two questions came back but not heard anything else is this normal ? Or does it look like they will decline? I was under the impression this was done at the start and end of the process ? 

@kelda1 It's usually at the start. There's nothing in your post which indicates that your application is any more/less likely to be declined.

I would sound a note of caution that "credit report monitoring" services like Clearscore can sometimes erroneously show multiple searches when there's only one. 

Woowar99

Woowar99 said:

Looking for some insight in to what to expect from Santander.
Applied before Christmas, been back and forth with them, there is a hard credit search on my Experian and passed okay. They've asked for loads of documents and I'm now in a UW queue. My wife does have multiple payday loans from a few years ago but she has passed a search too. 

I was on Furlough for 2 months last year. Are they likely to go back to the credit report and find payday loans or will that part be over and done with? And are they likely to come back to me and request some sort of letter from my employer to say that my job is secure even though I've been back in work for the best part of a year after furlough?

Thanks

Hi K_S, are you aware of what I should expect from my post above? I know that I'm in the queue for the UW. Is it likely that we can still fail a credit check even after a hard search has been performed on my file? And will being on a payment holiday with Santander come in to their decision and will they require anymore documents from me?

Thanks

lf93

lf93 said:

K_S said:

@lf93 Unfortunately, it's one of those things which are subject to what your HR has said and how the underwriter interprets it. You've done all you can.

Your colleague was right, Newcastle takes guaranteed shift-allowance at 100%.

Fingers crossed whatever they have sent is enough. Our broker said this happens with some lenders and their interpretation of our pay structure. 

Am I right in thinking if we have to go for another lender, we start the application process from scratch and have to pay another valuation survey plus application fee...? 

@K_S sorry another question! RE the above - broker I think is doing some back and forth with someone at the mortgage company to agree a lending amount (apparently they have made an offer but below what we applied for - all because of the interpretation of my pay structure). Without giving away all my information... how much is the broker's word 'worth' when negotiating with the bank, and explaining pay and future earnings? Or are we likely simply getting a 'computer says no' answer? 

trackboy

Just read about 10% deposit products returning on BBC. How true is that? Brokers? 

K_S

@trackboy
https://forums.moneysavingexpert.com/discussion/6221443/90-ltv-mortgage-market-coming-back-to-life