Earn Cash Giving Advice
Will this effect out Mortgage Application ?
Me and my partner have been recentley been accepted for a Halifax Mortgage. We have been Credit checked on Experian and a full application has been recieved. They now require the usuall 3 Wage Slips and the last 3 months Bank Statements. I have contacted our Financial Advisor to ask him if being in our overdraft everymonth will this effect? He advises no as they are only looking at account conduct. i.e- If we have exceeded our overdraft and have recieved Bank charges etc.
I just wanted to know if spending all our wages etc everymonth will effect our application. My argument is that as we never had a Mortgage to pay before then of course we are going to spend our hard earned cash. Just abit worried now as we have set our heart on this house and the Mortgage deal we have is very affordable. Also they have recieved full application,Credit checked us,took our valuation fee and been accepted!
Thanks in advance for any advice given.
Mike
If you are based in the UK (which is sounds like you are)I wouldn’t worry about it to much. Our rules are slightly different to those in the USA. Your financial adviser is probably right. I was in a similar situation a few years ago and it didn’t go against me.
So long as you have conducted your account correctly and have not exceeded your overdraft and providing the rest of your credit file looks o.k. They will normally give you the benefit of the doubt.
What they figure, is just as you have suggested, that if you are good with managing your money (they gage this by you not going over you overdraft limit etc) and you have shown yourself to be this way over a period of time, that you would be able to adjust your finances accordingly to still cope.
This is proving that they have done all the other affordability checks etc on you. which it sounds like they have and it sounds like they didn’t flag up any problems. So my opinion is the same as your financial adviser in that you should be o.k.
Hope this helps, and good luck with the new house.
Cash Gifting takes the UK by Storm
