Mortgage advice

Keri092

Hi all,
We have recently bought a house and we used a mortgage broker to find our lender.  Upon application, we discussed clearing some of my debts with my own funds, which I have been doing. They are 2 x £200 credit cards.
Nothing else has been discussed re: debts other than the mortgage broker asking what would be cleared from own funds and what was staying.
Natwest sent over their full mortgage offer to us and we are hopefully completing within the next month.
There are no special terms and conditions on the full mortgage. 

Our car has recently had to go in for repair so money is extremely tight to pay the last part of the credit cards prior to completion.
My question is, if there are no special terms and conditions on the full mortgage offer, does this mean they do not expect them to be fully cleared? Or would they still expect it cleared before completion as mortgage broker told them these debts would be cleared.
I don’t want to get to completion and then get told “you can’t complete as you haven’t cleared the debts as stated”.

if anyone is able to advise, that would be great. 

Thanks

Keri092

Hi all,
We have recently bought a house and we used a mortgage broker to find our lender.  Upon application, we discussed clearing some of my debts with my own funds, which I have been doing. They are 2 x £200 credit cards.
Nothing else has been discussed re: debts other than the mortgage broker asking what would be cleared from own funds and what was staying.
Natwest sent over their full mortgage offer to us and we are hopefully completing within the next month.
There are no special terms and conditions on the full mortgage. 

Our car has recently had to go in for repair so money is extremely tight to pay the last part of the credit cards prior to completion.
My question is, if there are no special terms and conditions on the full mortgage offer, does this mean they do not expect them to be fully cleared? Or would they still expect it cleared before completion as mortgage broker told them these debts would be cleared.
I don’t want to get to completion and then get told “you can’t complete as you haven’t cleared the debts as stated”.

if anyone is able to advise, that would be great. 

Thanks

MultiFuelBurner

Did you borrow the maximum you could for the mortgage?

How much exactly will be left on the credit cards?

Keri092

 No I believe our maximum was £320k and we borrowed £247,500.
and they will be left with £100 and £200.

MultiFuelBurner

Stop worrying about it those are miniscule amounts and it won't affect your mortgage.

Sleep well 

JMA74

No one checks if you have paid off debts that you said you would if that's the answer you are looking for

Some lenders make it a condition pre offer to pay off debts if they are concerned, and some assume the debts will be in place regardless of what someone says. 

Solicitor won't get involved unless it's on the offer and even then they usually only care about secured debts 

jimjames

Keri092 said:

 No I believe our maximum was £320k and we borrowed £247,500.
and they will be left with £100 and £200.

It shouldn't have any impact. Of more concern is the fact that your budget is so tight that £100 on a credit card is unaffordable when a bill comes in with a mortgage of nearly £250k. You might want to review your outgoings to make sure that everything is affordable as having a property adds in a lot of other potentially unexpected bills.

simon_or

As per what my broker said, a credit card balance is calculated as a financial commitment of 3% per month. So for a balance of £300, that would be £9 a month. 

There's no way a £9/month outgoing is going to materially affect your maximum loan size so nothing to worry about.