EBS mortgage conditions - madness?

[PWR]

EBS has requested an auditors letter confirming an option to acquire a shareholding in a business as part of their mortgage conditions, on a loan which is 38% LTV. This is in addition to salary certs and a letter from the company secretary, sealed with company stamp, confirming salary. Is this pure madness or what? Auditors say they have never been asked for such a thing before. Evidence of a desire not to complete the loan, putting up barriers that cannot be complied with? Opinions from anyone, ever hear of such a condition before?

Thanks,

PWR

 

[moneygrower]

I have no idea, but have you tried to get loans from any other bank?
Is the loan for your business? Maybe they are nervous about the market for your industry?

 

[ontour]

Is the purpose of the loan to purchase the share in the company? If not, how did an option to purchase a share of a business arise in a mortgage / remortgage application?

 

[PWR]

Loan is for (2nd) house purchase, and the share option came up because they did a search through the Companies Office and asked me for current and previous Directorships, and shareholdings, as part of the mortgage conditions. I found that bizarre, woulddn't have thought they would do that level of investigation. As I said, the LTV ratio is 38%, not a big number on a second house.

PWR

 

[ubiquitous]

Auditors say they have never been asked for such a thing before. Evidence of a desire not to complete the loan, putting up barriers that cannot be complied with?

Both, imho. No other rational explanation I can think of.

 

[elefantfresh]

I had an absolutle nightmare with EBS when setting up my mortgage - ended up going to AIB - EBS wanted crazy info.