Mortgage broker - ask me anything

Mark_1986

multicolouredeyes said:

But on my file is a Vodafone 'debt' from 2017. This wasn't actually a debt - I had a huge dispute with them over lack of signal and service. I decided to just stop paying them and had to get the Ombudsman involved. They found in my favour and Vodafone stepped down and said they would release me from my contract (on the phone - I wish I had got it in writing). BUT - Ive recently signed to Clearscore and there's a whopping £1700 debt to them from 2017. They haven't chased it, I haven't heard from them at all. But I am assuming that if I contact them it may reset the six year term for debts to be unenforced. 

From my experience with Vodafone: contact them and ask to remove adverse information from your credit file. It would be helpful if you have an email or letter from Ombudsman, or even Vodafone with any info related to your case.

Dilan1975

Hi, I am a first buyer. With the right to buy scheme I have been offered to buy a council house for 50k . I have 5k deposit in my ISA account. My mother is sending me a gift from overseas 15k. I am looking for a short term mortgage. A mortgage advisor found a lender (Halifax) that offers me 50k with 24 years term on 1,8% interest ( fixed for 2 years). The question is shall I use 15k gift as a deposit on the house as well and would it change the interest rate or the length of the term ie do i save any money in paying more deposit or shall i do mortgage overpayments ? 
Is it necessary that a gift money should be paid into my bank account from another account overseas or I can use other money transfer methods? What will be the best (cheapest) way? From what I heard direct bank transfer is not the best deal as the exchange rate is usually lower also the fee! Thanks in advance

Amateurretiree

My son and his partner are looking to move from their flat which has very little equity. They are going to save like mad for a couple of years. The flat is in her name, he has never had a mortgage. Could he save into a LISA then use it for a deposit in joint names?

Thanks in advance.

K_S

Amateurretiree said:

My son and his partner are looking to move from their flat which has very little equity. They are going to save like mad for a couple of years. The flat is in her name, he has never had a mortgage. Could he save into a LISA then use it for a deposit in joint names?

Thanks in advance.

@Amateurretiree An FTB with a LISA can still buy a property jointly (with a non-FTB buyer), using the LISA savings and 25% bonus in the account.

Amateurretiree

K_S said:

Amateurretiree said:

My son and his partner are looking to move from their flat which has very little equity. They are going to save like mad for a couple of years. The flat is in her name, he has never had a mortgage. Could he save into a LISA then use it for a deposit in joint names?

Thanks in advance.

@Amateurretiree An FTB with a LISA can still buy a property jointly (with a non-FTB buyer), using the LISA savings and 25% bonus in the account.

Wow! Thank you so much for your prompt reply! 

K_S

Dilan1975 said:

Hi, I am a first buyer. With the right to buy scheme I have been offered to buy a council house for 50k (due to the difference in what you pay and the market value of the property) . I have 5k deposit in my ISA account. My mother is sending me a gift from overseas 15k. I am looking for a short term mortgage. A mortgage advisor found a lender (Halifax) that offers me 50k with 24 years term on 1,8% interest ( fixed for 2 years). The question is shall I use 15k gift as a deposit on the house as well and would it change the interest rate or the length of the term ie do i save any money in paying more deposit or shall i do mortgage overpayments ? 
Is it necessary that a gift money should be paid into my bank account from another account overseas or I can use other money transfer methods? What will be the best (cheapest) way? From what I heard direct bank transfer is not the best deal as the exchange rate is usually lower also the fee! Thanks in advance

@dilan1975 Theoretically, you may not *need* a deposit for an RTB product. And that being the case, the deposit being 5k or 20k may not have a huge impact on the "best" interest rate you can get.

Unless you absolutely need it for some reason that isn't evident in your post, introducing an overseas gifted deposit into the transaction may unnecessarily complicate matters, either from the lender's end or at conveyancing (solicitor asking for overseas bank statements, translating them if not in english, etc etc).

Once you have the mortgage, you can always use the gifted funds to overpay the mortgage to save on interest costs.

Amateurretiree

Amateurretiree said:

K_S said:

Amateurretiree said:

My son and his partner are looking to move from their flat which has very little equity. They are going to save like mad for a couple of years. The flat is in her name, he has never had a mortgage. Could he save into a LISA then use it for a deposit in joint names?

Thanks in advance.

@Amateurretiree An FTB with a LISA can still buy a property jointly (with a non-FTB buyer), using the LISA savings and 25% bonus in the account.

Wow! Thank you so much for your prompt reply! 

Another question, if they put 4000 in before the end of the tax year will they get the bonus for this year then another bonus next tax year if they do the same? ( thanks in advance!)

K_S

Amateurretiree said:

Amateurretiree said:

K_S said:

Amateurretiree said:

My son and his partner are looking to move from their flat which has very little equity. They are going to save like mad for a couple of years. The flat is in her name, he has never had a mortgage. Could he save into a LISA then use it for a deposit in joint names?

Thanks in advance.

@Amateurretiree An FTB with a LISA can still buy a property jointly (with a non-FTB buyer), using the LISA savings and 25% bonus in the account.

Wow! Thank you so much for your prompt reply! 

Another question, if they put 4000 in before the end of the tax year will they get the bonus for this year then another bonus next tax year if they do the same? ( thanks in advance!)

@Amateurretiree As I understand it, that is correct.

Amateurretiree

K_S said:

Amateurretiree said:

Amateurretiree said:

K_S said:

Amateurretiree said:

My son and his partner are looking to move from their flat which has very little equity. They are going to save like mad for a couple of years. The flat is in her name, he has never had a mortgage. Could he save into a LISA then use it for a deposit in joint names?

Thanks in advance.

@Amateurretiree An FTB with a LISA can still buy a property jointly (with a non-FTB buyer), using the LISA savings and 25% bonus in the account.

Wow! Thank you so much for your prompt reply! 

Another question, if they put 4000 in before the end of the tax year will they get the bonus for this year then another bonus next tax year if they do the same? ( thanks in advance!)

@Amateurretiree As I understand it, that is correct.

Wow that’s amazing thank you so much! He is opening one today so hopefully we can do that.
Thanks again .

K_S

Amateurretiree said:

K_S said:

Amateurretiree said:

Amateurretiree said:

K_S said:

Amateurretiree said:

My son and his partner are looking to move from their flat which has very little equity. They are going to save like mad for a couple of years. The flat is in her name, he has never had a mortgage. Could he save into a LISA then use it for a deposit in joint names?

Thanks in advance.

@Amateurretiree An FTB with a LISA can still buy a property jointly (with a non-FTB buyer), using the LISA savings and 25% bonus in the account.

Wow! Thank you so much for your prompt reply! 

Another question, if they put 4000 in before the end of the tax year will they get the bonus for this year then another bonus next tax year if they do the same? ( thanks in advance!)

@Amateurretiree As I understand it, that is correct.

Wow that’s amazing thank you so much! He is opening one today so hopefully we can do that.
Thanks again .

@Amateurretiree Do keep in mind that 12 months need to elapse from the new LISA opening date to be able to use the bonus. So mid March 2022 at the earliest.