Declaring current debts

Jazzking

Hi,

This might just be me being daft, but how do you officially declare the debts you have when you are applying for a mortgage? You might have a £7k loan, but pay only £50/month or you might pay £150 a month. Similarly, what if you've got a stooze pot where you have the cards maxed out, but are only paying the minimum each month, but your actual "debt" is quite high?

Do the lenders just take your word for it, or they base it only on what's turned up from the credit report? When you apply, do you need to bring in statements for all debts to show what your outgoings and outstanding amounts are?

[confused] Alex

herbiesjp

You have to put the total oustanding debt for each liability. The lender will see what is on the credit file and based any lending on those figures

Joe_Bloggs

Most lenders do not understand stoozing. They cannot keep track of your savings situation via the credit reference companies.
J_B. (Debt is not credit, it is debt !)

draconian_2

Jazz
Which lender are you going to - some are different from others.
I got a mortgage with my gf recently and there was no credit check.
We had to show bank statements, payslips and last P60. I have checked my online reports from equifax and experian and no search.
I did tell them what debts I had as well though, but even my mortgage broker was amazed!

Cheers
D

Jazzking

Hi drac, (and others),

I was looking at Standard Life and Nationwide... I would have thought it would be very unusual to be approved a mortage without a credit check though. You dind't have to give your bank details and previous 3 years addresses or anything?

Standard Life seem slightly more generous with their amounts they lend, but Nationwide have better rates and a cheaper arrangement fee...

Not to worry anyway, we've still not had an offer accepted on a house we like yet!

Thanks for the advice though
~Alex~