Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • Former MSE Helen
    • By Former MSE Helen 4th Nov 13, 8:17 AM
    • 2,324Posts
    • 971Thanks
    Former MSE Helen
    MSE News: Women face missing out on mortgages over child support rules
    • #1
    • 4th Nov 13, 8:17 AM
    MSE News: Women face missing out on mortgages over child support rules 4th Nov 13 at 8:17 AM
    "Lenders' rules on child support mean many women risk missing out on getting mortgages..."

    Read the full story:

    Women face missing out on mortgages over child support rules




    Click reply below to discuss. If you haven’t already, join the forum to reply. If you aren’t sure how it all works, read our New to Forum? Intro Guide.

Page 1
    • electric_comperella
    • By electric_comperella 4th Nov 13, 5:03 PM
    • 356 Posts
    • 1,472 Thanks
    electric_comperella
    • #2
    • 4th Nov 13, 5:03 PM
    • #2
    • 4th Nov 13, 5:03 PM
    I definitely think this is a cause which Martin should begin a campaign regards, similar to the one he mounted against PPI and Lloyds etc.

    This problem affects not only mothers but also fathers with care and has a knock on effect on the children in our society - surely a stable home life for our children should be one of paramount concern especially during relationship breakdowns, I think as a child when losing a parent from your life the last thing you'd also need is to have to move schools and home etc.

    • chirpchirp
    • By chirpchirp 11th Nov 13, 12:16 PM
    • 1,937 Posts
    • 3,822 Thanks
    chirpchirp
    • #3
    • 11th Nov 13, 12:16 PM
    • #3
    • 11th Nov 13, 12:16 PM
    I found this an issue. I had a court order and even with that I found mortgage companies refused to accept it. I was on a great deal but couldn't and haven't managed to get my ex's name off the mortgage despite owning the whole property. The court order was overturned after a year and a day but there is still another court order in place which isn't recognised.

    When I wrote about it on here at the time I was informed by one kind poster that we don't have a right to have a mortgage! I totally agree with electric-comperella that we need to protect a child's right to a stable home life.
    • Thrugelmir
    • By Thrugelmir 11th Nov 13, 12:34 PM
    • 63,241 Posts
    • 56,107 Thanks
    Thrugelmir
    • #4
    • 11th Nov 13, 12:34 PM
    • #4
    • 11th Nov 13, 12:34 PM
    Maintenance income ceases when the child becomes an adult. So basing a 25 year mortgage on income which is time limited is a risky policy. Maybe circumstances where it is appropriate but one can envisage may where it isn't.
    “The stock market is a device for transferring money from the impatient to the patient.” – Warren Buffett
    • Conrad
    • By Conrad 11th Nov 13, 1:03 PM
    • 31,494 Posts
    • 55,821 Thanks
    Conrad
    • #5
    • 11th Nov 13, 1:03 PM
    • #5
    • 11th Nov 13, 1:03 PM
    Maintenance even under court order is statistically highly volatile and difficult to rely upon.

    Lets remind ourselves of the key principle at the heart of FCA regulation;

    'Lenders must place RESPONSIBLE LENDING AT THE CORE OF EVERYTHING THEY DO'.



    Imagine a future MSE campaign as follows;

    'Have you been mis-sold a mortgage based on maintenance income that you no longer receive as your partner stopped paying'?



    Lenders treat all forms of income differently. For example overtime is often ignore completely or in part for the same reason its not as secure as basic salary.
  • lixandra
    • #6
    • 11th Nov 13, 2:08 PM
    • #6
    • 11th Nov 13, 2:08 PM
    Maintenance income ceases when the child becomes an adult.
    Originally posted by Thrugelmir
    Yes -- however when the child becomes an adult, it is no longer considered a dependent and affordability improves.

    So if the lender reduces the amount of mortgage available to a woman (or man, if the case) because of her dependent children, then they should also consider the extra income associated with those children - child maintenance, child benefit, and child tax credits.
  • lixandra
    • #7
    • 11th Nov 13, 2:11 PM
    • #7
    • 11th Nov 13, 2:11 PM
    PS. In my case Halifax were decent -- no court/CSA enforcement, I have an informal verbal agreement with ex - but Halifax took into account 60% of the child maintenance amount based on 3 recent bank statements showing consistency of payments.
    Last edited by lixandra; 11-11-2013 at 2:15 PM.
    • Thrugelmir
    • By Thrugelmir 11th Nov 13, 5:37 PM
    • 63,241 Posts
    • 56,107 Thanks
    Thrugelmir
    • #8
    • 11th Nov 13, 5:37 PM
    • #8
    • 11th Nov 13, 5:37 PM
    Yes -- however when the child becomes an adult, it is no longer considered a dependent and affordability improves.

    So if the lender reduces the amount of mortgage available to a woman (or man, if the case) because of her dependent children, then they should also consider the extra income associated with those children - child maintenance, child benefit, and child tax credits.
    Originally posted by lixandra
    Much depends on the individual circumstances of each case. There no one size fits all solution. As Conrad has pointed out, lenders are responsible for taking a subjective view of affordability. Borrowers have always been over optimistic with regards to their ability to repay debt.
    “The stock market is a device for transferring money from the impatient to the patient.” – Warren Buffett
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

295Posts Today

1,319Users online

Martin's Twitter
  • Mini MSE is on half term next week, so I'm excited to be taking the week off to be daddy. As normal I'm signing of? https://t.co/G3366shWh1

  • I once blurted out on @gmb "Theresa May hasn't been given a poisoned chalice - she's been given a poisoned chalice? https://t.co/onfRbY3XVg

  • It'd be fascinating to know how history will judge Theresa May's premiership. Currently, it is hard to see it as a? https://t.co/eH77G0O9LA

  • Follow Martin