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S10 GTA
Original Poster
2,521 posts
36 months
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Need a little advice.
I currently own my own property, and have about 8 months left on my current mortgage (69k)
I am looking at selling it and purchasing one with my partner.
We are only looking at borrowing another 40k to take us up to 110k mortgage.
I really need to stay with my current lender else I will have to pay a fee to get out of my mortgage.
My partner earns around 18/20k per annum, so borrowing the extra in theory shouldn't be tricky...
The problem is, she had a dispute with Vodafone over a dongle that didn't work, and refused to pay. This was then sent to a debt collection agency and eventually she relented and paid it at £20 per month. It has been cleared for a year.
The mortgage company are refusing to lend the extra money so we can buy a house together. They won't even go down the application process.
Is this standard, and what, if anything can I do about it?!
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Odie
3,675 posts
51 months
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surely the standard PH reply is:-
Put the house in your name, give her a rent book.
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jdw1234
4,301 posts
84 months
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Your monthy mortgage payment is £8,625!!!
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S10 GTA
Original Poster
2,521 posts
36 months
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Odie said: surely the standard PH reply is:-
Put the house in your name, give her a rent book. If it was possible I would do this, no issue. However, I don't earn very much, so borrowing 70k was just about my limit according to the Mortgage provider initially. My deposit will be 50k if I sell my current house. Would they lend me more if I said I was going to rent a room out? I'm looking at a total purchase price of 160k jdw1234 said: Your monthy mortgage payment is £8,625!!! I should have said 8 months to go until the end of my current deal
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Soovy
32,020 posts
140 months
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S10 GTA said: Need a little advice.
I currently own my own property, and have about 8 months left on my current mortgage (69k)
I am looking at selling it and purchasing one with my partner.
We are only looking at borrowing another 40k to take us up to 110k mortgage.
I really need to stay with my current lender else I will have to pay a fee to get out of my mortgage.
My partner earns around 18/20k per annum, so borrowing the extra in theory shouldn't be tricky...
The problem is, she had a dispute with Vodafone over a dongle that didn't work, and refused to pay. This was then sent to a debt collection agency and eventually she relented and paid it at £20 per month. It has been cleared for a year.
The mortgage company are refusing to lend the extra money so we can buy a house together. They won't even go down the application process.
Is this standard, and what, if anything can I do about it?! Yeah, she deliberately didn't pay a debt. Sadly she is about to learn that actions have consequences.
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S10 GTA
Original Poster
2,521 posts
36 months
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Soovy said: Yeah, she deliberately didn't pay a debt.
Sadly she is about to learn that actions have consequences. Fair point. Since I have owned my house, I received a final bill from Vodafone (unrelated) whilst out the country for a month. It was passed to a debt collection agency, and I paid it upon my return (the original amount, not their fees) Is this likely to cause me a problem too?!
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Sarnie
1,872 posts
78 months
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S10 GTA said: Fair point.
Since I have owned my house, I received a final bill from Vodafone (unrelated) whilst out the country for a month. It was passed to a debt collection agency, and I paid it upon my return (the original amount, not their fees)
Is this likely to cause me a problem too?! Potentially yes. It will depend on how the issue is reported on both of your credit files. You will then need a lender who is accepting of that status or will disregard it totally. The bottom line is you are going to have to move away from your lender. Either now and pay the ERC or wait until the ERC expires in 8 months. It sounds like your with a particularly strict lender, perhaps Natwest or HSBC maybe as they are particularly stringent with their underwriting. If you have a buyer for your home and have found another property, and keeping the mortgage in your name with your current lender isn't viable, and you REALLY want/need to move now; then your going to have to move to another lender. If you can wait until the 8 months have expired then do so and wave goodbye to that mortgage company.
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Soovy
32,020 posts
140 months
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S10 GTA said: Soovy said: Yeah, she deliberately didn't pay a debt.
Sadly she is about to learn that actions have consequences. Fair point. Since I have owned my house, I received a final bill from Vodafone (unrelated) whilst out the country for a month. It was passed to a debt collection agency, and I paid it upon my return (the original amount, not their fees) Is this likely to cause me a problem too?! Dunno - depends how long it went I suppose.
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S10 GTA
Original Poster
2,521 posts
36 months
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Thanks for the advice so far.
I have called and sent an email to Vodafone to try and get it removed. It looks promising.
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Sarnie
1,872 posts
78 months
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S10 GTA said: Thanks for the advice so far.
I have called and sent an email to Vodafone to try and get it removed. It looks promising. What is 'it'? What exactly are you trying to get removed?? A CCJ? A Default? Unless they were given to you in error they won't remove anything from your credit file, the best you can hope for is for them to change the status to 'satisfied' which they should already have done if you have paid them. What ever they have registered against you on your credit file can only be removed if it was a mistake. If you recieved a bill that you paid late then this will be reflected on your credit file for six years.
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S10 GTA
Original Poster
2,521 posts
36 months
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I'm trying to get anything removed that is going to have a negative impact on my credit rating. I was out the country when the bill was issued, and when I returned it had been passed to a debt collection agency. Pretty unreasonable I feel.
The mortgage company shares its name with a place in Spain.
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Sarnie
1,872 posts
78 months
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S10 GTA said: I'm trying to get anything removed that is going to have a negative impact on my credit rating. I was out the country when the bill was issued, and when I returned it had been passed to a debt collection agency. Pretty unreasonable I feel.
The mortgage company shares its name with a place in Spain. I know it won't be what you want to hear but unless they admit, in writing, that it was a mistake they are unlikely to change anything. Even if they did, it's a long arduous road to get them to get Experian, Equifax and Call Credit to update the credit files that they hold about you. The black & white of it seems to be that they sent you a bill, you didn't pay (it's not their fault you were out of the country  ) and then you paid it late and want anything detrimental removed from your credit file. Is there something missing, such as the bill they sent you was not expected etc? Also, even if they removed it from your credit file, you need them to accept your partner as well so you can stay with the same company but they have already rejected her.......
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S10 GTA
Original Poster
2,521 posts
36 months
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I'm forgetting the partner bit at the moment. I have just done a credit search, and got this back. Its the only negative thing on my report. Is it going to cause me an issue? 
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Sarnie
1,872 posts
78 months
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The short answer is; with some lenders yes, with some lenders no.
Lenders look at things in a black and white format. They will have certain criteria such as;
For example, late payments allowable in the last;
0-12 month: 0
12-24 months: 0
24-36 months:1
If your lender has criteria like the above then you would be declined as you have 1 late payment in the last 12 months. This is what will be happening right now with your current lender.
But as per the previous message, even if you were to get this cleared, your income is not enough for you to be able stay with your current lender and borrow enough to purchase your new house.
Do you have a buyer for your house? Have you found and had an offer accepted on a property you want to buy?
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S10 GTA
Original Poster
2,521 posts
36 months
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Sarnie said: But as per the previous message, even if you were to get this cleared, your income is not enough for you to be able stay with your current lender and borrow enough to purchase your new house.
Do you have a buyer for your house? Have you found and had an offer accepted on a property you want to buy? No, not yet, it's all supposition. I'm just worried about my own rating currently, and what would happen if I wanted to renew my mortgage.
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Sarnie
1,872 posts
78 months
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Ah ok then, less panic!
You should have no problems renewing with your current lender as generally they would only re-credit score you if you were trying to borrow more, rather than just a rate change.
But still, moving forward, to buy with your partner, your going to have to move lenders it seems.
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OracIe
149 posts
12 months
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You need to talk to your lender to see what their underwriters say. When I bought my house myself I got scored and orange had put something on my record saying I had a late payment, the underwriters wanted to know why.
I genuinely had no idea as it was news to me and I pay by DD. I said I would investigate. Turns out when I started my contract with them they added a second mobile to my account under an identical plan but hadn't told me!! I told my underwriters via my lender this and they said I needed to get a letter from Orange saying they were at fault and tell Orange to remove the mark from my record, which to be fair, they did.
Underwriters were then happy.
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Grandad Gaz
3,730 posts
115 months
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So, the moral of this story is:
If you are wrongly billed for anything, just pay up and don't argue?
Can't help with any advice OP, but I hope it turns out ok.
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S10 GTA
Original Poster
2,521 posts
36 months
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It seems some lenders are much more fussy than others. I find it strange that they are willing to let me leave rather than offer another 40k with an extra18k per annum salary.
I have been onto Vodafone regarding the marker on my credit report, and hopefully it can be settled as it should have been originally
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Bluequay
1,135 posts
87 months
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Isn't the credit report stating that last months bill of £11 is late? Have you paid it yet?
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