Mortgage Declined. Help

lg793

Hello all.
My mortgage with Santander got declined today.
After a month of back and forth questions, and sending documents, the application got declined at the under-writing stage.
The reason was that they had no proof that I've been in employment for the past 2 years.
The reason behind this, is that I was on an apprenticeship and got paid by BACS, and not through PAYE (I was way below tax threshold so no tax fraud going on, don't worry).
I've been on my 'full-time' wage for 3 months now, and I have proved clearly my new wage which they were satisfied with.
My mortgage advisor says I have no hope of appealing their decision as there is no evidence that I have been employed before my full-time wage, apart from my bank statements.
Has anyone had simar issues? What can I do??
We've already paid the deposit on the house, solicitor fees and mortgage broker fees as they were 100% sure that our application would sail by

pinklady3333

Why can’t you provide your contract of employment? 

Thrugelmir

Being on the Company payroll has nothing to do with paying tax or not. Payslips are in fact a legal requirement. Where ever you've obtained the information from you've been misled. Now you are paying the cost. 

MWT

Thrugelmir said:

Being on the Company payroll has nothing to do with paying tax or not. Payslips are in fact a legal requirement. Where ever you've obtained the information from you've been misled. Now you are paying the cost. 

Exactly right, BACS is just a payment method, it is not an alternative to PAYE.

Just because the payment was low it does not avoid the obligation to track payments to employees through payroll and report in a proper manner.

For the OP, if it was an apprenticeship there would have to be a contract, if there was no contract and no payroll payment then the company was not treating you as an employee and you have in fact only just started work for them in the last 3 months...

haras_n0sirrah

I imagine what has happened is you have declared you have been there for 2 years. In doing their background checks (your year to date accumulation has raised flags and they may have done some further digging with HMRC and found you weren't registered) and this has led to your integrity being called into question and the subsequent decline)
The real worry would be if a cifas registration has been put in - if they think you have lied on your application this is possible.
You could try another lender and state you have been working there for 3 months or you could push back against the decline with whatever evidence you have however if you have no payslips or contracts then this may not be possible to overturn.

niknaks0285

lg793 said:

Hello all.
My mortgage with Santander got declined today.
After a month of back and forth questions, and sending documents, the application got declined at the under-writing stage.
The reason was that they had no proof that I've been in employment for the past 2 years.
The reason behind this, is that I was on an apprenticeship and got paid by BACS, and not through PAYE (I was way below tax threshold so no tax fraud going on, don't worry).
I've been on my 'full-time' wage for 3 months now, and I have proved clearly my new wage which they were satisfied with.
My mortgage advisor says I have no hope of appealing their decision as there is no evidence that I have been employed before my full-time wage, apart from my bank statements.
Has anyone had simar issues? What can I do??
We've already paid the deposit on the house, solicitor fees and mortgage broker fees as they were 100% sure that our application would sail by

There is a thread on here mortgage broker ask me anything. If you ask on that thread you may get a better and more professional answer. Just a question though, can the company you worked for as an apprentice not provide proof of employment? Will the lender allow this?  

haras_n0sirrah

niknaks0285 said:

lg793 said:

Hello all.
My mortgage with Santander got declined today.
After a month of back and forth questions, and sending documents, the application got declined at the under-writing stage.
The reason was that they had no proof that I've been in employment for the past 2 years.
The reason behind this, is that I was on an apprenticeship and got paid by BACS, and not through PAYE (I was way below tax threshold so no tax fraud going on, don't worry).
I've been on my 'full-time' wage for 3 months now, and I have proved clearly my new wage which they were satisfied with.
My mortgage advisor says I have no hope of appealing their decision as there is no evidence that I have been employed before my full-time wage, apart from my bank statements.
Has anyone had simar issues? What can I do??
We've already paid the deposit on the house, solicitor fees and mortgage broker fees as they were 100% sure that our application would sail by

There is a thread on here mortgage broker ask me anything. If you ask on that thread you may get a better and more professional answer. Just a question though, can the company you worked for as an apprentice not provide proof of employment? Will the lender allow this?  

That is my thread.
Santander are unlikely to overturn if they have a bee in their bonnet. As a lender they take day 1 employment so being 3 months in a job wouldn't have been a problem for them. The bigger issue is they have decided op has lied on his application. If I was his broker I would a) try to prove to Santander that no lies have been told to prevent a cifas marker and b) try another lender with 3 months employment history if that is what the ytd accumulation on his payslip shows as that is what has been shown to be provable 

csgohan4

lg793 said:

Thrugelmir said:

Being on the Company payroll has nothing to do with paying tax or not. Payslips are in fact a legal requirement. Where ever you've obtained the information from you've been misled. Now you are paying the cost.

Where did I say it wasnt a legal requirement?
I'm kind of in a !!!!!! situation if you can't already tell, no need for the stating the obvious answers.
I was asking for help on how I can resolve the issue, not entitled pricks like you telling me that an issue in the past (when I was under 18 by the way) was my fault 

OP with replies like this, your unlikely going to get more constructive replies. It seems you have a bone to pick, but don't take it out on seasoned forum goers here. Not their fault you don't have the paperwork or got rejected is it?

Good luck, your going to need it. Fair play to others who have replied and give you advice despite your unwelcome snap at others, your lucky they did, they don't get paid to reply to your posts

csgohan4

ScottL45 said:

csgohan4 said:

lg793 said:

Thrugelmir said:

Being on the Company payroll has nothing to do with paying tax or not. Payslips are in fact a legal requirement. Where ever you've obtained the information from you've been misled. Now you are paying the cost.

Where did I say it wasnt a legal requirement?
I'm kind of in a !!!!!! situation if you can't already tell, no need for the stating the obvious answers.
I was asking for help on how I can resolve the issue, not entitled pricks like you telling me that an issue in the past (when I was under 18 by the way) was my fault 

OP with replies like this, your unlikely going to get more constructive replies. It seems you have a bone to pick, but don't take it out on seasoned forum goers here. Not their fault you don't have the paperwork or got rejected is it?

Good luck, your going to need it. Fair play to others who have replied and give you advice despite your unwelcome snap at others, your lucky they did, they don't get paid to reply to your posts

FWIW, I agree with the OP.  All too often you see these !!!!!! responses when somebody is just looking for some help or reassurance.  Tone is everything.  I don't ever see the broker (Sarah I think) that started her own thread speak to people in this tone but it's seemingly okay for others to do it and then take offence when they're pulled on it.  Be nice, or don't respond at all.

Thrug's post was factual and there's a difference between false reassurance and reality. In any case, there's no need for that kind of reply, you can ignore the poster if they so wish and be done with it. 

Don't forget the OP had not answered the first person who replied

If OP wants to be told everything will be fine, there are other tree hugging forums out there

Thrugelmir

lg793 said:

Thrugelmir said:

Being on the Company payroll has nothing to do with paying tax or not. Payslips are in fact a legal requirement. Where ever you've obtained the information from you've been misled. Now you are paying the cost.

Where did I say it wasnt a legal requirement?
I'm kind of in a !!!!!! situation if you can't already tell, no need for the stating the obvious answers.
I was asking for help on how I can resolve the issue, not entitled pricks like you telling me that an issue in the past (when I was under 18 by the way) was my fault 

Being offensive isn't going to help you. Hopefully your ban won't last too long. 

[Deleted User]

http://www.anapprenticeship.co.uk/apprenticeships-tax-what-you-need-know.html

If the apprenticeship was done properly then you would have had a tax code and been on their PAYE system.    

I wouldnt expect Santander to overturn their decision but as Haras says, you might want to deal with the misunderstanding before the lender thinks you intentionally lied on application