FD mortgages - how long for approval?

allan673

jizadine wrote: »

Allan673 - I called FD on wednesday and they quoted the 10 day wait for a callback, did they stick to their word or did it take longer...? We are waiting to see if they will offer the maximum they will lend us before we put in an offer on a house we like....

Jizadine

they actually called me after 4 days, at around dinner time.i remember because i had been on nights and they woke me up.
keep phoning and ask for an advisor or try and book a call back time?

allan673

xSteve wrote: »

Maybe this is so that they can be seen to be passing on the 0.25 BoE cut thats expected in April.. ?:p


As a quick side subject, can anyone tell me what happens in this situation with an FD offset mortgage:
Say you have £100,000 mortgage, £50,000 in savings. So of course, you're only paying on the other £50,000.
Well, what happens to the monthly payments, do you still continue to pay them as though you were paying off the full £100,000 at full interest and the extra is seen as overpayment? Or do they give you the option to 'underpay'?

if youve got 50k savings and 100k mortgage - you only pay interest on 50k, therefore its offset by 50k.
im opting for full repayment style, the same as a traditional mortgage. some savings will also be offset but not much, plus you can make as many overpayments as you want.
i posted my legal docs yesterday, so it shouldnt be long untill completion, maybe late next week fingers crossed ???????????

TighterThanTwoCoatsOfPain

As this thread started to balloon i started to lose interest slightly (can never be bothered to catch up on 3 new pages!), however thought i'd update you all on my re-mortgage...

Went for the 5.15% 10 year in the end.. very simple re-mortgage c.55% LTV... £99 external valuation (which they dont take the money for, was another company on ther behalf)

I have been a FD Customer c.8 Years, other half has banked with HSBC for about the same time.

As they can see both systems we provided absolutlely no supporting paperwork at all, they just checked our accounts and asked what the large withdrawls were for in the last 6 months (just moved house and decorated/carpeted throughout) and through it went.

My redemption doesnt end until 30/06/2008, but from the point of application to the point at which they said "we can complete today if you like" was 6-7 weeks tops.

Thumbs up all round!

allan673

question
i sent the legal docs last week to f.d, and i think they will ask for a redemption figure this week.
when will f.d. contact me about a completion date? and about payments etc? as with other mortgages ive had the 1st payment you make is usually more expensive - anyone got this far yet with a remortgage?

dweeby

Hi all,

Just a quick update about myself and totally_confused, neither looks too good I'm afraid.

Our mortgage is fully approved, and waiting to be "spent", but our seller has a medical problem and we're in limbo at the moment. We should hear more this week.

Totally_confused? read this, oo-er!

InMyDreams

Aww Dweebs, what a stressful time for your poor seller to have a medical problem. As if buying/selling isn't stressful enough._pale_ Hope for all of you that things work out both medically and wrt the house sale. Obviously extremely stressful for you too.

And :eek: for totally_confused too.

allan673, keep pestering them about the redemption figure. I was told it would be asked for before the bank holiday, and had to ring back twice last week to keep being told that it 'would be done today'. But once requested FD had it showing on their system within 48 hours so full marks to the Abbey for responding quickly. We are now at the point where we are ready to complete. Except that the redemption is valid from tomorrow (a day earlier than I expected) due to being tied in to current deal. FD have told me that it will 'go in the queue' tomorrow but due to workload it may not actually happen for up to three days. Apparently I will get a text once it has completed. So we won't know the actual completion date until it has actually happened. I suppose they have to prioritise those actually buying and selling properties where the timing is more vital.

payments - I'm just waiting to see. As it happens I will end up taking a bit of a payment holiday anyway it seems. The redemption figure includes tomorrows payment so that will be added on to the new mortgage and I will get it refunded from the Abbey. So effectively I won't be paying my mortgage this month and my new mortgage will go up by this amount. Suits me. Hopefully I'll know more about payments by the end of the week.

Oh, and for mrsm, £99 valuation fee has still not been taken!

InMyDreams

TighterThanTwoCoatsOfPain wrote: »

I have been a FD Customer c.8 Years, other half has banked with HSBC for about the same time.

As they can see both systems we provided absolutlely no supporting paperwork at all, they just checked our accounts and asked what the large withdrawls were for in the last 6 months (just moved house and decorated/carpeted throughout) and through it went.

My redemption doesnt end until 30/06/2008, but from the point of application to the point at which they said "we can complete today if you like" was 6-7 weeks tops.

Thumbs up all round!

We had to send them our HSBC statements (which is where dh's salary goes). I have been a customer for 13 years and the account has been joint and had salaries going in for the last 10. I think it's only FD current accounts that count.

It has still only taken 6.5 weeks from posting first application though. Like you, just waiting for tie-in to finish now, so will be closer to 7/ 7.5 all in (I hope).

InMyDreams

mrsm wrote: »

We don't want to complete until after 31st as we have ERC until then. i spoke to my existing lender and FD can request the settlement figure now as at 1/4 but it won't include the payment i'll make on 31st which could take a few weeks to get back so i'm not sure which way to go now, try to switch for 1st april but risk having to find 2 mortgage payments out of one salary or wait until the March payment clears but have to pay horrid SVR for a while

Hi mrsm, what did you decide?

I can't see how you'd end up making two payments though. One will be your regular payment which should get refunded anyway and the other will just be added on to your mortgage. In effect a payment holiday. I'm in similar position. My settlement figure doesn't include the fact that a payment will be made tomorrow. The payment will go through, but Abbey will refund it as they will get the funds again from FD. Surely it will be at least a month (ie time to both get the refund and be paid again) before having to make the first payment to FD. At least that's what I'm expecting. So rather than have to find two payments out of one salary, the net effect will be a payment holiday of about a month. I think

Edit - sorry, just read it again. You have been quoted a few weeks to get back the extra payment. (I've been quoted 2, hence my assumption). So I suppose if FD do want their first payment less than a month after account opening, you might have a problem. But then the payment would not be a full month's payment, surely. I thought that's why first payments are often higher because they cover more than a month.

totally_confused_3

dweeby wrote: »

Hi all,

Just a quick update about myself and totally_confused, neither looks too good I'm afraid.

Our mortgage is fully approved, and waiting to be "spent", but our seller has a medical problem and we're in limbo at the moment. We should hear more this week.

Totally_confused? read this, oo-er!

Arhhhhh... didn't think anyone would really follow my posts.

Anyway, we have exchanged contracts last fri and set the completion date for 30th Apr and praying every night that the IF mortgage comes through in time. The welcome pack didn't arrive in the weekend so we are waiting for it to come in tomorrow but the valuation is booked already for tomorrow so hopefully we can hear something by end of the week. Wish me luck!!!

P/S: I think I can start a new timeline for IF soon...

dweeby

totally_confused wrote: »

Arhhhhh... didn't think anyone would really follow my posts.

You can run, but you can't hide!

I'm just following all the current mortgage posts quite closely, got a vested interest (or... I'm not really a stalker!).

Hope everybodies mortgages/re-mortgages/purchases go well! (including mine!).