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    • CMB93
    • By CMB93 14th Feb 18, 11:54 AM
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    CMB93
    Mortgage special conditions - credit cards
    • #1
    • 14th Feb 18, 11:54 AM
    Mortgage special conditions - credit cards 14th Feb 18 at 11:54 AM
    Hi, my boyfriend and I got our mortgage offer through on Monday 12/02, one of the special conditions is that we each pay off credit cards so balance is zero.

    One card of mine, and one of his. Neither are huge amounts and although we could do without having another expense, well both be able to pay.

    My question is when do the bank (Halifax) check that weve paid? On exchange of contracts? Completion? Do we send them statement confirmation? Obviously it wont have updated on our credit files before moving date (22nd March).

    Any help or guidance would be greatly appreciated! First time buying a house and I cant believe the stress and ambiguity of it all!

    Thanks
Page 1
    • kingstreet
    • By kingstreet 14th Feb 18, 12:27 PM
    • 33,342 Posts
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    kingstreet
    • #2
    • 14th Feb 18, 12:27 PM
    • #2
    • 14th Feb 18, 12:27 PM
    Lender won't check.

    Solicitor might, just ahead of completion.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
    • davidmcn
    • By davidmcn 14th Feb 18, 12:30 PM
    • 7,628 Posts
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    davidmcn
    • #3
    • 14th Feb 18, 12:30 PM
    • #3
    • 14th Feb 18, 12:30 PM
    Solicitor might, just ahead of completion.
    Originally posted by kingstreet
    The solicitors isn't instructed to check, so they'd just be creating unnecessary work for themselves.
    • kingstreet
    • By kingstreet 14th Feb 18, 12:32 PM
    • 33,342 Posts
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    kingstreet
    • #4
    • 14th Feb 18, 12:32 PM
    • #4
    • 14th Feb 18, 12:32 PM
    Cheers.

    Wasn't sure if there was anything in the instructions to do so.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
    • CMB93
    • By CMB93 14th Feb 18, 12:44 PM
    • 3 Posts
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    CMB93
    • #5
    • 14th Feb 18, 12:44 PM
    • #5
    • 14th Feb 18, 12:44 PM
    So I won!!!8217;t need to send anything to the bank?

    If the solicitor was to check, how would they do this?
    • csgohan4
    • By csgohan4 14th Feb 18, 12:53 PM
    • 4,426 Posts
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    csgohan4
    • #6
    • 14th Feb 18, 12:53 PM
    • #6
    • 14th Feb 18, 12:53 PM
    I wouldn't risk the lender withdrawing the offer, pay it off as per the mortgage offer terms.
    "It is prudent when shopping for something important, not to limit yourself to Pound land"
    • mcpitman
    • By mcpitman 14th Feb 18, 1:09 PM
    • 538 Posts
    • 367 Thanks
    mcpitman
    • #7
    • 14th Feb 18, 1:09 PM
    • #7
    • 14th Feb 18, 1:09 PM
    Why don't you ask Halifax?


    I thought they did a final credit check on completion day.
    Life isn't about the number of breaths we take, but the moments that take our breath away. Like choking....
    • chanz4
    • By chanz4 14th Feb 18, 1:10 PM
    • 9,923 Posts
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    chanz4
    • #8
    • 14th Feb 18, 1:10 PM
    • #8
    • 14th Feb 18, 1:10 PM
    Halifax never checked myn, and that was also my condition.
    Don't put your trust into an Experian score - it is not a number any bank will ever use & it is generally a waste of money to purchase it. They are also selling you insurance you dont need.
    • csgohan4
    • By csgohan4 14th Feb 18, 1:46 PM
    • 4,426 Posts
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    csgohan4
    • #9
    • 14th Feb 18, 1:46 PM
    • #9
    • 14th Feb 18, 1:46 PM
    Halifax never checked myn, and that was also my condition.
    Originally posted by chanz4
    Doesn't mean one should risk not paying off the CC. If you have been told to do something when applying for your largest commitment of your life and you choose to ignore it, you have no come back when they do check.

    Lenders do and will check, you don't want to be the unlucky people who were checked and offer withdrawn, remember if you have exchanged, you are financially liable for costs if you withdraw at that point, deposit paid included.

    Like I said, is it worth the risk and gamble to see if they will check? or do something you have control over of.
    "It is prudent when shopping for something important, not to limit yourself to Pound land"
    • davidmcn
    • By davidmcn 14th Feb 18, 1:56 PM
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    davidmcn
    Unless they've changed it, the condition is (typically) that you pay off the cards on completion (i.e. immediately following), not before. In which case the lender can't check that you've done it before you complete.
    • Oakdene
    • By Oakdene 14th Feb 18, 1:59 PM
    • 1,926 Posts
    • 7,075 Thanks
    Oakdene
    I had to produce a statement to Natwest showing the balance was clear before they would issue the mortgage.
    Hiraeth
    • csgohan4
    • By csgohan4 14th Feb 18, 2:07 PM
    • 4,426 Posts
    • 2,774 Thanks
    csgohan4
    Unless they've changed it, the condition is (typically) that you pay off the cards on completion (i.e. immediately following), not before. In which case the lender can't check that you've done it before you complete.
    Originally posted by davidmcn

    isn't that worse?, they could recall the whole mortgage rather the offer for failure to comply
    "It is prudent when shopping for something important, not to limit yourself to Pound land"
    • davidmcn
    • By davidmcn 14th Feb 18, 2:21 PM
    • 7,628 Posts
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    davidmcn
    isn't that worse?, they could recall the whole mortgage rather the offer for failure to comply
    Originally posted by csgohan4
    No, they can't realistically recall a mortgage just for breaching some minor condition. And they don't check anyway. Not that I'd advocate breaching it.
    • CMB93
    • By CMB93 14th Feb 18, 2:29 PM
    • 3 Posts
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    CMB93
    I was always going to pay it, was just worried on how they would check because credit report wont be updated in time.

    Will just send a credit card statement to my lawyer around contract exchange to show its been paid, incase hes asked for it.
    • csgohan4
    • By csgohan4 14th Feb 18, 2:30 PM
    • 4,426 Posts
    • 2,774 Thanks
    csgohan4
    No, they can't realistically recall a mortgage just for breaching some minor condition. And they don't check anyway. Not that I'd advocate breaching it.
    Originally posted by davidmcn
    Well I guess it's the OP's choice to do so, but it would be bad form not to follow the conditions. However as another had said earlier they were asked for proof before drawing of the mortgage
    "It is prudent when shopping for something important, not to limit yourself to Pound land"
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