Mortgage approval on Maternity leave

R

Realta

Registered User
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We Just got mortgage approval and sale agreed on a property.

However my maternity leave has just ended and the mortgage approval is subject to providing evidence to confirm that there will be no changes to my employment since the salary certificate provided was completed.

I am going back part time,is this not discrimatory looking for such details.

Will we lose our mortgage approval because I'm going to work part time.
 
I'm afraid you have a problem here...your application will be reassessed based on the reduced part-time income.

It's not discriminatory in any way; it's a surprising level of common sense from the bank.
 
Thanks for reply.I am only going part time for a few months as my baby is very young,so We have no childcare costs as I have my mum temporarily looking after baby.However when I go back to work in a few months time full time,we will have child care costs.I hope this won't have an impact on the mortgage approval.
 
As above, mortgage is assessed on income so confirming there are no changes before drawdown is normal. Would be the same situation if you or your partner had changed jobs entirely and were on a lower salary or higher as the case may be. Nothing to do with discrimination and all about affordability.

You're not going to lose your mortgage approval as such, the lender will just check that the mortgage amount still fits within the lending criteria based on your altered joint income
 
Assuming you can actually afford your proposed repayments but may fail one of the bank's ridiculous tests, there are ways and means of gaming the system.

e.g. get your parents to pay your creche fees and just withdraw the cash to square them off periodically. Then tell the bank your parents mind the kids.

It's also worth remembering that you can transfer an amount into your current account with any narrative that you like. I remember a bank wanted me to increase my tenant's rent; I just got the tenant to pay the rent into an old student account I had and then transferred a higher amount across into my real current account.
 
It's worth bearing in mind that obtaining a loan by deception is a criminal offence.
 
Sarenco said:
It's worth bearing in mind that obtaining a loan by deception is a criminal offence.
Click to expand...

An oft quoted line which actually relates to extreme scenarios (for example) where I pretend to be Sarenco or commit some other kind of heinous fraud.

By that rationale, applying for a mortgage when you know your wife is 2 months pregnant is a criminal offence!
 
Hi realta,I was in the same position. So I went back fulltime for 3 months and used my annual leave to help me with being away from my baby. When we went to draw down with ebs I was surprised that they didnt go looking for proof i was still doing same hours. I wouldnt worry too much,by the time you have found a house you might be back full time anyway.
 
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Gordon Gekko said:
An oft quoted line which actually relates to extreme scenarios (for example) where I pretend to be Sarenco or commit some other kind of heinous fraud.
Click to expand...
No, the legislation does not require the deception to be heinous or even material.
Gordon Gekko said:
By that rationale, applying for a mortgage when you know your wife is 2 months pregnant is a criminal offence!
Click to expand...
Why would that be an offence?
 
Sarenco said:
No, the legislation does not require the deception to be heinous or even material.

Why would that be an offence?
Click to expand...

Sarenco, I am not disappearing down another rabbit hole with you. The legislation is there to deal with proper fraud, not mundane ducking and diving.
 
I'm simply noting what the law actually says and doesn't say.

"Mundane ducking and diving'" is not a recognised defence.
 
Sarenco said:
I'm simply noting what the law actually says and doesn't say.

"Mundane ducking and diving'" is not a recognised defence.
Click to expand...

Are you a solicitor?

If so, you might point me in the direction of a few cases where people have been had up for overstating rental income or spoofing about a bonus.

Because all I can see are people being done for pretending to be someone else, using dead relatives as joint applicants, or bribing bank staff to doctor loan documentation.

Not a single person who lied about having Sky Sports in sight!
 
Again Gordon, I was simply pointing out what the law actually says - nothing more.
 
Hi Realta,
I had mortgage approval in principal earlier this year, when I was on maternity leave. It was subject to me returning to work and providing a payslip with my full pay again (the holiday pay at the start of my return to work didnt count). I think it is normal for the bank to want to validate your salary after maternity leave, I guess in case you don't go back or go back with less wages than before. Hope this helps.
 
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