Notifications
Clear all
Topic starter
25/10/2013 1:21 am
Hi guys.
As I have mentioned previously on here, I may take early retirement next year some time after my td is finished in February.
I know by looking at previous answers to similar questions, that mortgage lenders will look more favourably on an application from an ex trust deeder,(sorry, couldnt think of another description !) when a large deposit is put down.
My intention is to collect my lump sum and use most of it for say, a fifty per cent deposit (subject to approval of course !), take the monthly pension that goes with it, but also continue working which would obviously generate an income in which to pay off the balance of the mortgage over the next 8 to 10 years (health permitting of course !), or hopefully sooner if finances allow.
Am I talking pie in the sky here or is all this a possibility ?
Forgive me if it is the former, but I am really getting quite excited at finally having closure in just 4 months time !
Also, and I know it is hypothetical, if it is a possibility, would my own bank look favourably on such plans given that I have been with them for over 20 years and not given them any cause for concern through out this time despite entering into a td almost 3 years ago ?
And yes I know the obvious answer is, "well you can only ask them !", but it would still be nice to have you guys put yourselves in their shoes when confronted with this question !
Ta much !
25/10/2013 8:40 am
Hi A.D.
A large deposit reduces the risk for a lender.
They'll also want to ensure that you'll be in a position to keep up with the repayments so secure work could help as well.
As for your own bank... they're not exactly known for reciprocating the loyalty of their customers are they? Having said that they're probably a good starting point because you never know.
A mortgage broker is probably more likely to be able to help.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
25/10/2013 8:47 am
Hi A.D.,
I finished my TD in 2009 and in 2011 tried to get a mortgage via a broker and although pre approved I was always knocked back at last hurdle, this was by 2 high street banks (this was a joint mortgage with a 25% deposit and over 25 years). We were staying with parents at the time, we rented privately and then in Sept 11 we were given the opportunity to purchase my partners parents house, this time we bypassed the broker and went straight to our curent account bank (we both banked with same lender) thinking we had nothing to lose. We were approved with a 25% deposit, the application did go to the underwriters and was ultimately approved. There was only 6 months between the timing of the applications but I still think had we approached our current bank from the off we may have secured a mortgage back in the March, but we will never know.
During TD I had a phone contract and straight after TD I had a credit card and catalogue (which I always paid off lol) and then in sept 2010 I managed to get a car from main dealer, I had to go brand new as I could not get finance for used car!
Hope this helps.
Rachel
Topic starter
25/10/2013 11:01 am
Thanks TDA and to you too Rachel.
Thats really encouraging to hear and gives me cause for optimism if I do go ahead with it early next year !
