Nationwide declined FTB.

blue_top_red_trainers

Hello all, just need some advice. We are FTB, looking LTV £266,000 with £20,000 deposit. Our credit report is good. Our total income is £61,000 we have no loans, credit card or other debts.

We applied directly to Nationwide and just been told they have declined due to the following; I have put my answer underneath each one FYI.

1. Did not declare a payment of £50pm to Link Financial (debt management) 
- this was an old debt sold from the CoOp bank to Link in 2018 and was told to the MA and was part of our financial commitments during the initial app. 

2. Did not tick the ‘’ have you been bankrupt or in an IVA in the last 6 years ‘’.
- I was in IVA in 2015 to June 2016, which is over 7 years ago, so this question is irrelevant.

3. I had a miss Virgin Media payment in Dec 2021.
- I did not renew with VM and went to Talk Talk, cancelled the DD, however VM tired to take the last payment, this shows as 1 month miss payment. At the time I called VM and paid it off. 

I have supplied the above to NW and been told they will take into consideration and review.

can anyone share some thoughts or recommend what we could be doing next. Ie. Another bank or go to broker. TIA

blue_top_red_trainers

FYI the Link Financial is now zero balance.

CSI_Yorkshire

Wait and see what the result of the review is.

No point jumping until you know if you need to.

simon_or

 It's a 95% LTV app, so the bank will be pretty detailed with their risk assessment.

2 doesn't make sense as it looks like you answered it correctly.

3 is subjective but perhaps valid to take into account missed payments inside 2 years considering it's a 95% LTV app.

1 is tricky as besides it being a monthly commitment, it's for an old debt that's being collected so I guess the bank can see that as worse than say a personal loan with a £50/month payment.

While Nationwide is considering the appeal, in your place I would speak to a broker and get an app in with another bank, or least get a recommendation and then a DIP. If you do speak to a broker, make sure you tell them about the Nationwide decline (don't mention the appeal), the reasons mentioned and a copy of your credit report.

🤞 you get a positive result!

blue_top_red_trainers said:

Hello all, just need some advice. We are FTB, looking LTV £266,000 with £20,000 deposit. Our credit report is good. Our total income is £61,000 we have no loans, credit card or other debts.

We applied directly to Nationwide and just been told they have declined due to the following; I have put my answer underneath each one FYI.

1. Did not declare a payment of £50pm to Link Financial (debt management) 
- this was an old debt sold from the CoOp bank to Link in 2018 and was told to the MA and was part of our financial commitments during the initial app. 

2. Did not tick the ‘’ have you been bankrupt or in an IVA in the last 6 years ‘’.
- I was in IVA in 2015 to June 2016, which is over 7 years ago, so this question is irrelevant.

3. I had a miss Virgin Media payment in Dec 2021.
- I did not renew with VM and went to Talk Talk, cancelled the DD, however VM tired to take the last payment, this shows as 1 month miss payment. At the time I called VM and paid it off. 

I have supplied the above to NW and been told they will take into consideration and review.

can anyone share some thoughts or recommend what we could be doing next. Ie. Another bank or go to broker. TIA

ACG

If I am being really honest, I think you are going to struggle. 
2015-16 - bad credit.
2018 - bad credit. 
2021 - bad credit (albeit very minor). 

At 95% LTV and probably top end of affordability, that is taking a risk on 3 fronts. 
If your deposit is saved, that might go in your favour. If it is gifted I think it will be too much personally. 

Thats not to say you cant get a mortgage, but I think it is wise to get a broker. Maybe just google to look for some with experience in bad credit. 

blue_top_red_trainers

Thanks guys for your honest opinions. Just going to have to wait and see, been told we should have a decision by end of play Friday. 

blue_top_red_trainers

Hello all, to update you, Nationwide have done a subjective decline.Gutted, but onto the next one, going to try one more time and have break for now, as the interest keeps going up.

However after speaking to Virgin Media they have revoked the missed payment and is no longer on credit reports, they apologised, took less than a week to get a reply.

also my account with Link Financial was a debt repayment plan not a debt management plan, I believe there was a difference. Any that’s all paid off.

any tips or advice for moving forward with the broker (fyi, I did not use a broker the last time)

ACG

Big difference in paying off a debt collection company and a DMP so thats good. 

Fingers crossed! Hopefully this time you will get a positive outcome. 

housebuyer143

Glad you are sorting it.  FYI Virgin are the worst. When I left them they took the DD and then still gave me a late payment on my credit file. I called them and explained if it were late then it's their fault as they took it.

I think they just like the punish people who leave them.

summerb64

The link financial £50 monthly payment, when was the last payment? As you say it’s now zero balance. I would wait a few months for it not to be showing on your statement and then apply 

blue_top_red_trainers

Just an update. Went to broker on the same day of decline. They put us to HSBC.  App submitted on the 7/08/23
desktop valuation on the 9/08/2023 more docs on the 10/08/2023 been told today (14/08/2023) the app has been approved.

offer is being prepared, so should get something official soon. I found my personal experience with Nationwide poor, and very long and stressful. 4 weeks to get answer, and I did all the chasing and follow ups, no emails, or text.

We did increase our deposit to 10% and we are debt free, when submitting. We were very clear with the broker about our circumstances and to share this with the lenders first. Broker said HSBC, LEEDS BS and Halifax would all give us a chance.

So yeah guys, all made up and onto the property ladder finally.