Re-Mortgage application

steve-d-h

Hi this is my first post hope someone can help me

me and my wife are currently going through out first re-mortgage and have supplied the following information

passports, utility bills, 3 months wage slips, P60's etc

but now the bank is asking for 3 months bank statements, what can they want these for? if we send them are we within our rights to blank out all personal spending information?

I don't see how the bank statments will show them any more information to what we have already provided

thanks in advance for any help given

laineyc_2

We recently remortgaged with HSBS and they asked for 3 months statements. I believe it was to ensure we were able to pay all our committments.

I am no expert though, and I am sure someone else can explain the rationale.

beecher

why would you want to blank out the personal spending information? I thought it was standard for banks to ask for bank statements when deciding to give a mortgage - I had to do it last time I moved, even though I'd held a mortgage with the bank for 8 years. I presume they need to know that you can meet the repayments, and see what regular payments you already are committed to making.

static999

I remember someone telling me it was for them to confirm the salary that get paid in eventhough they already have the payslip. Not sure how true this is but agree with others on possibly confirming your other commitments.

I wouldn't blank out any info as it might suggest you have something to hide.

Conrad

Steve if you blank out the info they definitely wont lend. They want 3 months Bank stats in order to peruse them before making a lending decision.

Sometimes they are requested where a lender has some doubts.

Remember lenders have signed up to the 'responsible lending' code, which is exactly what irrate bad debtors scream for on Radio phone in shows - "if they had checked me out properly they shouldnt have leant me all this money and its thier fault Im getting repossessed"

Classic case of lenders cant win which ever way they cut it!

sarah_elton

I had to send three months bank statements when applying for my mortgage, even though it was an HSBC mortgage and I have an HSBC current account. Assumed it was a standard thing.

Don't worry - the pleb who reviews it isn't going to care about what you've been spending in Ann Summers, they'll have seen it all before.

Leon_W

I had a client who passed every credit check going. On paper the affordability stacked up no problem.

He found a house and I submitted an application for which the lender wanted 3 months bank statements so I asked my client to send them to me.

Now, mortgage brokers have a sixth sense when people are hiding something, and I instantly got that feeling as my client blustered and went on the defensive asking lots of questions "Why do they want those" etc etc etc

Anyway, he sent them up and it soon became obvious why he didn't want anyone to see them, every day there were entries for Ladbrokes.com ! totalling about half his income ! Needless to say Abbey were not impressed and refused the application.

Seeing the error of his ways he did purchase 3 months later once his bank statements were "clean".

He was a first time buyer with a small deposit so it wasn't unrealistic for a lender to want to have a squint at statements before agreeing to lend.

Regards

silvercar

Being that it is apparently easy to buy false payslips, its not surprising that a lender will want to see that the money has gone into your account.

_Andy_

sarah_elton wrote: »

I had to send three months bank statements when applying for my mortgage, even though it was an HSBC mortgage and I have an HSBC current account. Assumed it was a standard thing.

Don't worry - the pleb who reviews it isn't going to care about what you've been spending in Ann Summers, they'll have seen it all before.

Out of interest, why are mortgage underwriters 'plebs'?

Daz1

Income is one thing, expenditure is another. Your payslips may indicate how much you get paid but will not indicate how much you already spend on eg servicing debt, essentials etc. All this must be considered to assess the affordability of the mortgage. Payslips may indicate you CAN afford it but your bank statements may indicate that you can't. Call it responsible lending

amz84uk

I've recently applied for a HSBC Mortgage, and was told it will take 4-6weeks for the full process from once I return the signed documents. It has been 2 weeks since I handed the documents, and the application has been waiting to be reviewed by a HSBC Underwriter.

My salary goes directly into my HSBC Account, and I have been banking with them for several years, so I didn't have to show them bank statements, passport, pay slips, etc.

HSBC have been extremely incompetent with my application and I've experienced that the advisors are clueless on what happens once it goes into the black hole (reviewing with the Underwriter). Currently, they cannot give me a timeframe on how long it will take, and at this rate, the vendor is planning on putting the house back on the market, so I'm set to lose alot.

My advice would be to stay away from HSBC. Am currently looking for another lender with competitive rates, as I shouldn't have any problems obtaining a mortgage (have a 20% deposit, excellent credit history, sufficient income for repayments).