Mortgage Top Up Draw Down

F

FinCork

Registered User
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Hi,

I had a clarifying query on a mortgage topup loan. We secured planning in March 24 and I approcahed the bank regarding a topup loan based on our existing mortgage. Builders started in April and have progressed quite a bit now in Dec with the build sealed and roof on.

My issue is due to the slowness of my current bank processing a mortgage top up taking 7/8 months (which I believe to be incompetence, mistakes on their part as they let salary cert and auctioneers valuation both run out and had to be done twice) I drew down a persoanal loan of 75K in late October as stage payments were due to be paid to the builders.

My intention was to use the personal loan as a bridging loan for 1-2 months until the mortgage top up because I was in fear of a builder walking off site due to non payment. The top up loan is for 180K and my intention was to clear the personal loan with some of these funds.

Yesterday I recieved a phone call from the branch manager as I believe it came to his attention that a mortgage topup was taking 9 months to process which is way over expectation in my belief. The mortgage topup is approved in principle and they have asked for most recent payslip from us both as a married couple and bank statments from the last 2 months, theis will not show the credit of the personal loan of 75K.

I'm not trying to do anything untoward here and I was put in the situation by incompetence of the bank. The minute i draw down the topup the personal loan will be repaid but will the bank do a final credit check prior to me drawing the loan?

Thanks for any advice forthcoming.
 
FinCork said:
Yesterday I recieved a phone call from the branch manager as I believe it came to his attention that a mortgage topup was taking 9 months to process which is way over expectation in my belief.
Click to expand...

Was he apologetic?

I would think that the best thing to do is to tell them what you are doing.

But it's a very case specific question, so it's hard to know.
 
Brendan Burgess said:
Was he apologetic?

I would think that the best thing to do is to tell them what you are doing.

But it's a very case specific question, so it's hard to know.
Click to expand...
yes very apologetic, its a tough choice as I could be left with insufficent funds to finish the build.
 
just in case the example is of use to anyone else. I told the bank about the personal loan and they accepted the fact that I have used it as a bridging loan, waiting to hear back from the underwriters at this point.
 
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