BTL Application - Financial Association Query

stu2500

Good morning. Just a quick query about a future BTL mortgage search. My Wife is to soon remortgage her BTL mortgage deal to a new lender and I was wondering about how my credit file would affect the search as a financial associate? 

We both have great credit history, no missed payments CCJ's or defaults but we have some lending in my name which includes:

£16k left on bank loan for car - £385 per month
£3,300 left on kitchen loan - £105 per month
£15k loan for previous house renovation and credit card consolidation - £207 per month
£2k on interest free credit card

I earn 60k and she earns 32k, afforsbility checks out initially for BTL before any hard searches and it will be a sole application under her name but we were concerned at the level of debt we have in my name solely and if this would affect the application via association? I wasn't sure how thorough the association checks are or if they just look for defaults and missed payments etc. We would make it a joint application but it seems less hassle to keep it 'like-for-like' and in her name only. 

I should add - the BTL amount requested is £40k and the flat value is £65k with a long-standing tenant.

Any help much appreciated. 

retiredbanker1

Lending in your sole name should not affect her credit application but any joint lending will.

stu2500

retiredbanker1 said:

Lending in your sole name should not affect her credit application but any joint lending will.

Ah, thanks for your response. The current BTL mortgage is purely in her sole name and she wants to do a like-for-like swap to another lender as the current one is on SVR with no options to move to a different product.

I thought me being financially associated could potentially impact her results due to the current lending I have. We have historically put required lending in my name solely, no particular reason, but the car loan, kitchen loan, and renovation loans are all in my name, and having looked at it all it is a little high at the moment, although very manageable. I didn't know if the new lender would consider my circumstances as an assocoate and having a higher level of lending than normal would impact her results? 

Neither of us have any missed payments or defaults, and having checked our files, there are no issue with either, other than the level of lending.