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Credit re-assessment underwriting criteria
debtuptoeyeballs
Posts: 14 Forumite
Hi there
I am about to apply for a further advance on my mortgage with Standard Life. Part of this is for debt consolidation of 28k. I am a bit worried about the underwriting process as far as existing credit card debt goes. I was told I would have to provide the details of amounts outstanding on each card and also the limits on each card. So my concern is the balance vs limit ratio. Does anyone know if there is a percentage above which I will be turned down? I have 7 credit cards with total available credit of 38.2k, and my balance across these is 28k. Can anyone tell me if it is each individual card's ratio or if the overall/combined ratio that is used? Also, I have heard a rumour that anything over 25k won't be accepted for debt consolidation. Does anyone know if that's true?
Sorry if this has been covered somewhere else - I couldn't find the exact scenario on here and this is my first post.
Thanks in advance for any guidance on this....
I am about to apply for a further advance on my mortgage with Standard Life. Part of this is for debt consolidation of 28k. I am a bit worried about the underwriting process as far as existing credit card debt goes. I was told I would have to provide the details of amounts outstanding on each card and also the limits on each card. So my concern is the balance vs limit ratio. Does anyone know if there is a percentage above which I will be turned down? I have 7 credit cards with total available credit of 38.2k, and my balance across these is 28k. Can anyone tell me if it is each individual card's ratio or if the overall/combined ratio that is used? Also, I have heard a rumour that anything over 25k won't be accepted for debt consolidation. Does anyone know if that's true?
Sorry if this has been covered somewhere else - I couldn't find the exact scenario on here and this is my first post.
Thanks in advance for any guidance on this....
0
Comments
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In case anyone else is applying for this, here is a quick update .... my further advance was approved subject to valuation so the moral of the story is ther is no 25k limit on debt consolidation, and the balance vs limit ration doesn't seem to matter either.
The loan was also subject to paying off credit cards within 30days so I'm happy with that.0
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