Applying for mortgage - wife Chinese on marriage visa. Help!

[Deckard79]

This situation is killing me....

My wife and I are looking to purchase our first property in Edinburgh. We contacted HSBC for a mortgage and this was accepted in principle. They then informed us we could go ahead and make offers, which we did (on a fixed price property).

Being a fixed price property, our solicitor's offer was immediately accepted. The survey has been completed. the ONLY thing we have been waiting on is HSBC.

Then, a week ago they just turned around and said we were being declined due to my wife's visa status!

She has been in the country since 2002. She obtained her Masters degree at Durham University in 2003. We met in 2003 and married in April 2005. Since May last year, she has been in the country on a marriage visa. Next year she applies for indefinite leave to remain and there are no grounds whatsoever on which this could be refused.

But HSBC refuse to accept our mortgage until they have a letter from the Home Office stating that she will be definitely be staying here for the next 5 years, which of course they would never do! Particularly ironic coming from the HONG KONG SHANGHAI Bank!

I have complained to their managers all of whom seem to agree with me, but they have yet to change their minds. I have even been round the nearest branch complaining and we were assured something would be sorted out, but it hasn't.

I simply can't believe this sort of decision could be made. This absolutely stinks of facial discrimination. Has anyone else had the same sort of experience as this?

Does anyone know what we can do? Can you recommend a mortgage provider who might be a little less ridiculous?

[bbdivo]

This situation is killing me....

My wife and I are looking to purchase our first property in Edinburgh. We contacted HSBC for a mortgage and this was accepted in principle. They then informed us we could go ahead and make offers, which we did (on a fixed price property).

Being a fixed price property, our solicitor's offer was immediately accepted. The survey has been completed. the ONLY thing we have been waiting on is HSBC.

Then, a week ago they just turned around and said we were being declined due to my wife's visa status!

She has been in the country since 2002. She obtained her Masters degree at Durham University in 2003. We met in 2003 and married in April 2005. Since May last year, she has been in the country on a marriage visa. Next year she applies for indefinite leave to remain and there are no grounds whatsoever on which this could be refused.

But HSBC refuse to accept our mortgage until they have a letter from the Home Office stating that she will be definitely be staying here for the next 5 years, which of course they would never do! Particularly ironic coming from the HONG KONG SHANGHAI Bank!

I have complained to their managers all of whom seem to agree with me, but they have yet to change their minds. I have even been round the nearest branch complaining and we were assured something would be sorted out, but it hasn't.

I simply can't believe this sort of decision could be made. This absolutely stinks of facial discrimination. Has anyone else had the same sort of experience as this?

Does anyone know what we can do? Can you recommend a mortgage provider who might be a little less ridiculous?

I don't have a name to give you, but just go somewhere else! Anywhere else! There was a thread previously asking about a similar situation with an individual on a WP. If it is possible for a WP holder to get a mortgage you will not have a problem either. I know of two people on WP's who have got mortgages recently, one of them is very far off from his ILR (like 4 years to go for him) So don't loose heart.

Just one question, you don't mention your status, just your wife's?

[Deckard79]

Thanks for the help - the only problem we have now is that the property is basically now ours, and our move-in date is now supposed to be less than one month away. I'm not even sure we have time to apply somewhere else from scratch given the time it takes.... but we'll try.

I am British, so my own status isn't really applicable here. They just seem to be picking on my wife, which seems pretty shocking.

[bbdivo]

Thanks for the help - the only problem we have now is that the property is basically now ours, and our move-in date is now supposed to be less than one month away. I'm not even sure we have time to apply somewhere else from scratch given the time it takes.... but we'll try.

I am British, so my own status isn't really applicable here. They just seem to be picking on my wife, which seems pretty shocking.

That is just unbelievable, if that is the case you will have no problems at another lender, they should be able to move very quickly. HSBC must have a central complaints line, I suggest you call them, even if you don't take a mortgage with them.

[Thandia]

Thanks for the help - the only problem we have now is that the property is basically now ours, and our move-in date is now supposed to be less than one month away. I'm not even sure we have time to apply somewhere else from scratch given the time it takes.... but we'll try.

I am British, so my own status isn't really applicable here. They just seem to be picking on my wife, which seems pretty shocking.

That is just unbelievable, if that is the case you will have no problems at another lender, they should be able to move very quickly. HSBC must have a central complaints line, I suggest you call them, even if you don't take a mortgage with them.

Being a foreigner who faced this predicament last year, I sympathise greatly with u.

It's well worth trying to complain to HSBC about it but I doubt it will make a difference. According to the FSA, foreigners cannot obtain mortgages unless they have ILR or unless they're EU citizens. It is up to individual institutions to practice some discretion in this.

HSBC are a very strict bank, when I opened an account with them, they wouldn't open my account until the Home Office "cleared" me by giving them my status, despite the fact my passport had all the info!!!

Try elsewhere (what I ended up doing & obtaing one) & hopefully u'll eventually get to the end of this tedious battle. All the best.

[Deckard79]

We have spoken to a few providers, who informed us that they would be happy to accept my wife on her current visa status. However, the times they are quoting to complete an application are simply far too long - the smallest was 3 weeks and the biggest was 6 weeks. So the sad truth could be that we are stuck with attempting to talk sense into a bank which gives a strong indication of being institutionally dearly beloved.

The worst case scenario could be that we are legally tied to this property and therefore may be forced into paying for it - Scots law is very different from English law, and with this having been fixed price, everything else is basically signed and sealed. All after HSBC informed us we had been accepted in principle and could go ahead and make offers!

I am going down to the branch this morning and demanding to speak to the branch manager. For better or for worse, I think things may reach a conclusion today....

[L_E_O]

So the sad truth could be that we are stuck with attempting to talk sense into a bank which gives a strong indication of being institutionally dearly beloved.

Give over. It's not beloved, it's the bank's policy. I'm a white female on the same visa as your wife and my financial advisor told me straightaway that my husband and I would not be able to get a mortgage through a high street bank. Full stop. There's no point in complaining as all high street banks are the same.

Basically, you have to leave your wife off the mortgage. If your income alone isn't enough to get a mortgage then you'll have to sort out a self-cert mortgage.

[bbdivo]

I'm a white female on the same visa as your wife and my financial advisor told me straightaway that my husband and I would not be able to get a mortgage through a high street bank. Full stop. There's no point in complaining as all high street banks are the same.

That sounds like slightly 'dodgy' advice from your financial advisor, I guess he's in it for a commission therefore is discouraging you from going to a high street bank yourself.

[L_E_O]

I'm a white female on the same visa as your wife and my financial advisor told me straightaway that my husband and I would not be able to get a mortgage through a high street bank. Full stop. There's no point in complaining as all high street banks are the same.

That sounds like slightly 'dodgy' advice from your financial advisor, I guess he's in it for a commission therefore is discouraging you from going to a high street bank yourself.

We did go to high street banks - in fact, at that time I worked for a high street bank and I now work for a mortgage company. My husband and I went to him because we'd been turned away from high street banks.

[bbdivo]

I'm a white female on the same visa as your wife and my financial advisor told me straightaway that my husband and I would not be able to get a mortgage through a high street bank. Full stop. There's no point in complaining as all high street banks are the same.

That sounds like slightly 'dodgy' advice from your financial advisor, I guess he's in it for a commission therefore is discouraging you from going to a high street bank yourself.

We did go to high street banks - in fact, at that time I worked for a high street bank and I now work for a mortgage company. My husband and I went to him because we'd been turned away from high street banks.

Surely as an employee of a high street bank it makes it a bit easier to get a mortgage?! I thought that was one of the 'perks' of working for a bank!

[hellothere]

Hi,

I am surprised at HSBC's decision.

Myself and my wife who have been in the country for less than two years on WP, have successfully applied for Mortgage very recently.....
Through Abbey though....

But my colleague who have been in the country for only a year was agreed a mortgage by HSBC !!! Neither he nor his wife was british !!!

I am not sure whether this is something to do with bank policies in England & Scotland ....... Difficult to think so....

I have heard that banks sometimes have to limit the number of mortgages they agree on ....... and could come up with any ridiculous excuses......

All the best ......

AV

[L_E_O]

I'm a white female on the same visa as your wife and my financial advisor told me straightaway that my husband and I would not be able to get a mortgage through a high street bank. Full stop. There's no point in complaining as all high street banks are the same.

That sounds like slightly 'dodgy' advice from your financial advisor, I guess he's in it for a commission therefore is discouraging you from going to a high street bank yourself.

We did go to high street banks - in fact, at that time I worked for a high street bank and I now work for a mortgage company. My husband and I went to him because we'd been turned away from high street banks.

Surely as an employee of a high street bank it makes it a bit easier to get a mortgage?! I thought that was one of the 'perks' of working for a bank!

Unfortunately not, we would still have had to do all the qualifying and actually get the mortgage. The benefits kick in when one begins repaying the mortgage.

hellothere - The difference in length of validity of a spousal visa and a work permit has everything do do with getting or not getting a mortgage. As a work permit (after the first year) is valid for longer than a spousal visa banks are less hesitant to take on a mortgage from a work permit holder. The irony is, of course, that spouses of British citizens can become citizens themselves in as little as two years while it would take a work permit holder six years.

[nonothing]

imo,

1. HSBC is rubbish. don't count on their name ""hongkong shanghai...". they're most dearly beloved bank in the uk. they never metioned their chinese background outside china. and also HSBC in scotland is just a nobody lander.

2. given the tight time scale, don't complaint to HSBC just yet. it's a waste of time. but do complaint them in the future.

3. before you secure your mortgage, nothing is indeed signed and sealed. i don't think the property is yours now. so don't worry about the move-in date too much. just inform your lawyer your circumstances and see what he/she can do. i believe they can set another move-in date.

4. lots of banks would be crying to lend you money. i got my mortgage from RBS (in their high street branch) when i was in the 2nd year on my WP. i also got agreements from HBOS and several other banks. i haven't even got my ILR by now thanks to HO's new changes. in my own experience, a month is long enough to sort everything out.

5. btw, a lesson for you and all of us, when you talk to a bank about mortgage, you'd better let them know your immigration condition in the first place.

good luck.

[Deckard79]

To keep you updated....

Demanded to speak to the branch manager this morning - after waiting 20 minutes again endured an avalanche of apologies and comments such as "i understand this must be terribly upsetting for you and your wife" and "thank you, so much for letting me know what has happened to you". He promised to get to the bottom of this....

(as a little piece of side info - my parents agreed to act as guatantors for the period until my wife gains permanent residency. They must surely accept this as a compromise, i thought. However according to HSBC, they will "only accept your parents as guarantors if they are HSBC account holders!")

...round about lunch time, i received a call from London. We were told our application had been reconsidered, but we were being turned down for the precise same reason unless we can obtain a letter from the Home Office.

So I'd given up. Except an hour after that I received another call, this time from the branch, informing me that they wish to retract their earlier decision and we were still being considered!

I get the impression there is a war ensuing between London and our Edinburgh branch (after all, our laws are foreign to the english)...

I have spoken to my solicitor and he informs me that we need a final decision on the mortgage in the next couple of days, or the property will be going back on the market. So this does not leave us time to apply elsewhere and hold on to the flat should our HSBC application finally fail.

Crazy, isn't it?

[ilm]

No consolation but Nationwide did the same to us. Gave us an OK in principle then said they couldn't take my wifes salary into consideration as she only had a spouses visa, but did offer an amount based on just my salary.

Crazy thing is the reasons given were that she was on a spouse visa and that we had only recently been married so we ought to wait and see if the marriage works (Their words not mine!). Tried to point out that we have been living together for 7 years, and she has been living and working in the UK for 13 years but, even though the advisor was symapthetic, said it wasn't her decision.

I really wanted to complain but decided I didn't want to do business with Nationwide anyway so didn't bother. They didn't really seem that bothered and they let me walk away.

Ironically I didn't need my wifes salary to be taken into account for the amount we wanted to borrow so I have now taken out a mortgage with another lender in just my name. Nationwide accounts all duly closed!

I actually get the impression it harder to get a mortgage with a spouses visa that with any other type of temporary visa even though, surely, it is the visa most likely to result in successful ILR?

[L_E_O]

I actually get the impression it harder to get a mortgage with a spouses visa that with any other type of temporary visa even though, surely, it is the visa most likely to result in successful ILR?

Exactly. See my post above.

[neilroy]

Just to understand are you applying for a joint mortage with ur wife? As I as holding WP i manage to get 100% mortgage on the first flat i bought from RBS and then 95% when i move to bigger house all the time iwas holding WP and i was no questions asked about my wife status....