Mortgage broker - ask me anything

haras_n0sirrah

kev_lpool said:

haras_n0sirrah said:

rachlikeswinter said:

May I just ask @haras_n0sirrah - what does 'too much use of arranged overdraft' mean?
I've just seen in another thread that someone got rejected by Nationwide for this reason (I'm not applying with Nationwide myself), but I occasionally go into my £200 arranged overdraft a day or two before I'm paid*. In the last 3 months I've probably done this once or twice in both of my current accounts, anywhere from -£20 for a couple of days to -£100 for a day where DDs and pending payments etc have come out all at once and I've not realised. So this is evident in the bank statements I've provided. Just curious now what 'too much use' would ever mean. Thanks!

*I'm self employed so technically I pay myself!

Nationwide are using this excuse a lot.
I think they are just looking at whether people are reliant on overdrafts and credit cards. If people have also had payment holidays on things through Covid they are declining

Hi Haras, are HSBC using payment holidays as a reason to decline? Had a payment holiday on a credit card in April / May / June and commenced repayments in July. Paid off in full in September. Didn’t need to holiday as it turned out as furlough never materialised for partner. HSBC have asked about it and told them the above but it is now with underwriters so wondering if it’ll be an issue?

I haven't had it come up with HSBC - I just know nationwide are using it as an excuse with declines at the moment

Natztastic2

haras_n0sirrah said:

Natztastic2 said:

The offer acceptance form for LBS, it says to complete all pages of the offer acceptance form and send back. It is just 1 page, is that the only page you send back or is it some of the bumpf too?

Thank you

I believe it is just the acceptance form

Thanks as always ⭐

House2021

Hi, I would be so grateful for advice.

1. Are 5% deposits still acceptable for shared ownership purchases?
2. Is it possible to get a shared ownership property when on a fixed term contract?

Many thanks

haras_n0sirrah

House2021 said:

Hi, I would be so grateful for advice.

1. Are 5% deposits still acceptable for shared ownership purchases?
2. Is it possible to get a shared ownership property when on a fixed term contract?

Many thanks

Yes it is possible to get 5% on shared ownership (my speciality)
With fixed term contract how long have you been contracting in total, how long is left on the contract and has it ever been renewed?

rachlikeswinter

haras_n0sirrah said:

rachlikeswinter said:

May I just ask @haras_n0sirrah - what does 'too much use of arranged overdraft' mean?
I've just seen in another thread that someone got rejected by Nationwide for this reason (I'm not applying with Nationwide myself), but I occasionally go into my £200 arranged overdraft a day or two before I'm paid*. In the last 3 months I've probably done this once or twice in both of my current accounts, anywhere from -£20 for a couple of days to -£100 for a day where DDs and pending payments etc have come out all at once and I've not realised. So this is evident in the bank statements I've provided. Just curious now what 'too much use' would ever mean. Thanks!

*I'm self employed so technically I pay myself!

Nationwide are using this excuse a lot.
I think they are just looking at whether people are reliant on overdrafts and credit cards. If people have also had payment holidays on things through Covid they are declining

Ok thank you! Neither of those apply to me. I think I’m just overly worrying about every tiny thing. I’m buying shared ownership with Kent Reliance and they’re the only lender who would even consider me so I’m terrified of being rejected! 

GN2020

haras_n0sirrah said:

rachlikeswinter said:

May I just ask @haras_n0sirrah - what does 'too much use of arranged overdraft' mean?
I've just seen in another thread that someone got rejected by Nationwide for this reason (I'm not applying with Nationwide myself), but I occasionally go into my £200 arranged overdraft a day or two before I'm paid*. In the last 3 months I've probably done this once or twice in both of my current accounts, anywhere from -£20 for a couple of days to -£100 for a day where DDs and pending payments etc have come out all at once and I've not realised. So this is evident in the bank statements I've provided. Just curious now what 'too much use' would ever mean. Thanks!

*I'm self employed so technically I pay myself!

Nationwide are using this excuse a lot.
I think they are just looking at whether people are reliant on overdrafts and credit cards. If people have also had payment holidays on things through Covid they are declining

Aw good god. Out of my partners last three months bank statements, the first one shows he was in his overdraft almost up to the limit. It’s been paid off in full and cancelled so at least the last two months looks awesome. 

I’m proper panicking now 😬

haras_n0sirrah

GN2020 said:

haras_n0sirrah said:

rachlikeswinter said:

May I just ask @haras_n0sirrah - what does 'too much use of arranged overdraft' mean?
I've just seen in another thread that someone got rejected by Nationwide for this reason (I'm not applying with Nationwide myself), but I occasionally go into my £200 arranged overdraft a day or two before I'm paid*. In the last 3 months I've probably done this once or twice in both of my current accounts, anywhere from -£20 for a couple of days to -£100 for a day where DDs and pending payments etc have come out all at once and I've not realised. So this is evident in the bank statements I've provided. Just curious now what 'too much use' would ever mean. Thanks!

*I'm self employed so technically I pay myself!

Nationwide are using this excuse a lot.
I think they are just looking at whether people are reliant on overdrafts and credit cards. If people have also had payment holidays on things through Covid they are declining

Aw good god. Out of my partners last three months bank statements, the first one shows he was in his overdraft almost up to the limit. It’s been paid off in full and cancelled so at least the last two months looks awesome. 

I’m proper panicking now 😬

Are you nationwide? If so do you have higher than 10% deposit.
Someone from this site approached me 3 days ago after being declined by nationwide. They now have a mortgage offer with another lender 48 hours later. If nationwide say no do not panic - they are being very fussy at the moment as they have a lot of applications but a no from them doesn't mean a no from everyone 

GN2020

haras_n0sirrah said:

GN2020 said:

haras_n0sirrah said:

rachlikeswinter said:

May I just ask @haras_n0sirrah - what does 'too much use of arranged overdraft' mean?
I've just seen in another thread that someone got rejected by Nationwide for this reason (I'm not applying with Nationwide myself), but I occasionally go into my £200 arranged overdraft a day or two before I'm paid*. In the last 3 months I've probably done this once or twice in both of my current accounts, anywhere from -£20 for a couple of days to -£100 for a day where DDs and pending payments etc have come out all at once and I've not realised. So this is evident in the bank statements I've provided. Just curious now what 'too much use' would ever mean. Thanks!

*I'm self employed so technically I pay myself!

Nationwide are using this excuse a lot.
I think they are just looking at whether people are reliant on overdrafts and credit cards. If people have also had payment holidays on things through Covid they are declining

Aw good god. Out of my partners last three months bank statements, the first one shows he was in his overdraft almost up to the limit. It’s been paid off in full and cancelled so at least the last two months looks awesome. 

I’m proper panicking now 😬

Are you nationwide? If so do you have higher than 10% deposit.
Someone from this site approached me 3 days ago after being declined by nationwide. They now have a mortgage offer with another lender 48 hours later. If nationwide say no do not panic - they are being very fussy at the moment as they have a lot of applications but a no from them doesn't mean a no from everyone 

We are with Nationwide yes. 

We’ve put down a 10% deposit, we could do 15% but our broker was confident we’d be alright and he said to go for this one to save forking out an extra 10k. 

He did contact us the other day with a query from them regarding something on my partners payslip and they wanted an up to date savings account statement from me showing my current balance and when the money went in. 

He said that’s all they’ve asked for and so far that’s all they’ve queried. 

Everything else is absolutely fine (stable, secure full time employment, affordability is great, credit files are spot on). It’s just that one bank statement that could be the fly in the ointment. 

I’m keeping everything crossed but if needs be we can go to 15% with someone else. 

House2021

haras_n0sirrah said:

House2021 said:

Hi, I would be so grateful for advice.

1. Are 5% deposits still acceptable for shared ownership purchases?
2. Is it possible to get a shared ownership property when on a fixed term contract?

Many thanks

Yes it is possible to get 5% on shared ownership (my speciality)
With fixed term contract how long have you been contracting in total, how long is left on the contract and has it ever been renewed?

Hi, 4 years in total, been renewed twice and about to have a new 2 year contract.

Thanks so much foryour response.

haras_n0sirrah

House2021 said:

haras_n0sirrah said:

House2021 said:

Hi, I would be so grateful for advice.

1. Are 5% deposits still acceptable for shared ownership purchases?
2. Is it possible to get a shared ownership property when on a fixed term contract?

Many thanks

Yes it is possible to get 5% on shared ownership (my speciality)
With fixed term contract how long have you been contracting in total, how long is left on the contract and has it ever been renewed?

Hi, 4 years in total, been renewed twice and about to have a new 2 year contract.

Thanks so much foryour response.

Should be fine in that case. Usual stipulation is min 1 year contracting experience and 6 months left on contract so tick on both counts.