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  • FIRST POST
    • North_London_Girl
    • By North_London_Girl 14th Oct 18, 4:01 PM
    • 14Posts
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    North_London_Girl
    FTB - HSBC mortgage stress
    • #1
    • 14th Oct 18, 4:01 PM
    FTB - HSBC mortgage stress 14th Oct 18 at 4:01 PM
    Hi there,

    We're FTB and have made a full joint application through HSBC after obtaining AIP for a property just over 300K.

    We have a 14% deposit, so falling into the 90% rates bracket. No outstanding debt, always paid credit card off in full every month. Combined salary of 94k.

    I stupidly forgot until yesterday that a while ago we had a few late payments with Virgin Media due to a direct debit not being set up. 2 of these fall into the last 12 months (October and November 2017). There were 5 late payments in total with the first being in November 2016. Obviously, I am now worried sick and take full responsibility for my own stupidity and any resulting negative impact this may have.

    Will this mean an automatic rejection by underwriters?

    I have tried to access Experian report but as I gave a wrong address (we have moved 3 times in last 3 years) I now have to email to go through additional ID checks to access the full report to see if these are appearing, so there will be a delay in accessing it.

    Equifax is only showing my Virgin Media account from 2015/16 which was all paid on time and settled - but no record of Virgin Media going forward. Do they still report to Equifax? Seems strange 2017/18 data isn't on there.

    If we are rejected by HSBC, do we have a chance with other high street banks?

    Thanks for any advice.
    Last edited by North_London_Girl; 14-10-2018 at 4:03 PM.
Page 1
    • csgohan4
    • By csgohan4 14th Oct 18, 6:46 PM
    • 5,156 Posts
    • 3,277 Thanks
    csgohan4
    • #2
    • 14th Oct 18, 6:46 PM
    • #2
    • 14th Oct 18, 6:46 PM
    When applying for a mortgage always look at your own credit files, all 3 of them. HSBC are one of the more stricter lenders out there. Hopefully you should be ok.
    "It is prudent when shopping for something important, not to limit yourself to Pound land/Estate Agents"
    • dunstonh
    • By dunstonh 14th Oct 18, 7:11 PM
    • 95,773 Posts
    • 63,468 Thanks
    dunstonh
    • #3
    • 14th Oct 18, 7:11 PM
    • #3
    • 14th Oct 18, 7:11 PM
    Will this mean an automatic rejection by underwriters?
    No.

    The whole scenario is looked at with negative things working against you and positive things working for you.

    Only potential issue is that HSBC do like to cherry pick lower risk cases. So, if you were going to get rejected by anyone, it would likely be them.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • AFF8879
    • By AFF8879 14th Oct 18, 11:58 PM
    • 390 Posts
    • 1,006 Thanks
    AFF8879
    • #4
    • 14th Oct 18, 11:58 PM
    • #4
    • 14th Oct 18, 11:58 PM
    Slightly off topic but if you are falling into 90% LTV anyway then you would be better off keeping that additional 4% aside for the inevitable expenses that crop up when owning a property as opposed to adding it to your deposit. I mortgage with HSBC and most products offer free overpayments up to10% of the outstanding balance so you could always change your mind if you really wanted to.
    • cjv
    • By cjv 15th Oct 18, 4:04 AM
    • 317 Posts
    • 154 Thanks
    cjv
    • #5
    • 15th Oct 18, 4:04 AM
    • #5
    • 15th Oct 18, 4:04 AM
    My Virgin Mobile account was only ever reported to Equifax, not Callcredit or Experian. Not sure if it is the same with their other services, but you might be ok.

    Check all 3 reports, good luck!
    • amnblog
    • By amnblog 15th Oct 18, 7:44 AM
    • 10,827 Posts
    • 4,312 Thanks
    amnblog
    • #6
    • 15th Oct 18, 7:44 AM
    • #6
    • 15th Oct 18, 7:44 AM
    HSBC only use Experian.
    I am a Mortgage Broker

    You should note that this site doesn't check my status as a Mortgage Broker, 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.
    • North_London_Girl
    • By North_London_Girl 15th Oct 18, 8:23 AM
    • 14 Posts
    • 4 Thanks
    North_London_Girl
    • #7
    • 15th Oct 18, 8:23 AM
    • #7
    • 15th Oct 18, 8:23 AM
    Thanks everyone for responses.

    The Virgin thing is weird, as I have used them continually since 2015 but only 2015 and 2016 show up via check my file report. Once I get the Experian report I’ll be able to double check.

    Will keep my fingers crossed. It’s been a truly awful yet much needed kick up the backside I think.
    • North_London_Girl
    • By North_London_Girl 15th Oct 18, 1:53 PM
    • 14 Posts
    • 4 Thanks
    North_London_Girl
    • #8
    • 15th Oct 18, 1:53 PM
    Valuation booked
    • #8
    • 15th Oct 18, 1:53 PM
    HSBC have now booked the valuation for tomorrow, is this a good sign?
    • somethingcorporate
    • By somethingcorporate 15th Oct 18, 2:57 PM
    • 8,973 Posts
    • 8,694 Thanks
    somethingcorporate
    • #9
    • 15th Oct 18, 2:57 PM
    • #9
    • 15th Oct 18, 2:57 PM
    HSBC have now booked the valuation for tomorrow, is this a good sign?
    Originally posted by North_London_Girl

    No, almost certainly on an unconnected timeline.


    Our valuation was completed before we sent in the documentation/they did a full credit search.
    Thinking critically since 1996....
    • dunstonh
    • By dunstonh 15th Oct 18, 3:41 PM
    • 95,773 Posts
    • 63,468 Thanks
    dunstonh
    HSBC have now booked the valuation for tomorrow, is this a good sign?
    Originally posted by North_London_Girl
    No. They will book the valuation before it goes to underwriting.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • North_London_Girl
    • By North_London_Girl 17th Oct 18, 9:18 PM
    • 14 Posts
    • 4 Thanks
    North_London_Girl
    Just wanted to update this post to say that we have now received a mortgage offer from HSBC. Feeling absolutely relieved and thankful.
    • Happyland000
    • By Happyland000 9th Nov 18, 10:38 PM
    • 4 Posts
    • 0 Thanks
    Happyland000
    Just wanted to update this post to say that we have now received a mortgage offer from HSBC. Feeling absolutely relieved and thankful.
    Originally posted by North_London_Girl
    Congrats, do you mind me asking what was your timeline from application to approval?
    Thanks!
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