Browse Forums Home Finance 1 Aug 31, 2011 2:49 pm I had recently applied to Bankwest for a home loan on 95% LVR but was rejected by Bankwest LMI . The reason was I had lot of credit enquiries on my credit file. After I analysed my credit file, I could point out each enquiries case by case basis and provided the same information to my mortgage agent. I have now applied to Suncorp and supplied them with all the information on my credit entries when it happened, why it happened and the end result. I would like to know what are my chances of getting an unconditional approval from Suncorp. Re: Home Loan Got Rejected Due To LMI 2Aug 31, 2011 6:06 pm I would contact a mortgage broker, they will be able to help before you add more and more credit enquiries. http://lindeman28.blogspot.com - Our building blog Re: Home Loan Got Rejected Due To LMI 3Sep 01, 2011 1:27 pm @ Trewman Thanks for the advice. Currently my application is being handled by my agent. Waiting for the answer to come to me from Suncorp by Friday...keeping my fingers crossed till then. One question does Suncorp use their own LMI division ? Re: Home Loan Got Rejected Due To LMI 4Sep 02, 2011 7:50 am Sorry to say but both Bankwest and Suncorp use QBE as their mortgage insurer and so you will most likely be declined again. Not sure what a "mortgage agent" is but looks like they do not know what they are doing. Do they hold and Australian Credit Licence or at least a licenced representative? As Trewman says you really should speak with an experienced mortgage broker. Re: Home Loan Got Rejected Due To LMI 5Sep 02, 2011 2:32 pm Thanks Mike By "Mortgage Agent", I actually meant my broker. My broker is quite experianced in his line of work (as he says so...), he says that he has provided notes for every enqueries on my credit file and had it verified by number of people within Suncorp and elsewhere. I am just keeping my fingers crossed. I had my case verified by Westpac Home Loan Manager and he says that it all depends on type of agreement financial institutions has with the LMI providers. The stronger and more detailed agreements are with the major banks only but not with smaller banks. The smaller banks are at the mercy of the LMI providers. Lets see where I move to from here... Re: Home Loan Got Rejected Due To LMI 6Sep 02, 2011 2:43 pm From what I have understood, your application has been rejected due to number of credit enquiries ? I believe a credit enquiry is usually done by any financial agency before they offer you a loan - quite naturally they would like to have the confidance that you can and more importantly, will pay it back. What I dont understand however, is how the number of credit enquireies could affect the outcome of the loan - am I missing something ? Suburbia is where the developer bulldozes out the trees, then names the streets after them. Re: Home Loan Got Rejected Due To LMI 7Sep 02, 2011 4:16 pm @Xanthrope Yeah my application was rejected by Bankwest LMI provider due to multiple credit enqueries in my credit file. As far as my servicibility goes its 128% as per the calculators in QBE and Genworth sites. As far as the location of my potential property is no problem. The only part that is bugging me is the rejection due to multiple credit enqueries. So I have the same query as your self "how the number of credit enquireies could affect the outcome of the loan" Home Loan Got Rejected Due To LMI 8Sep 02, 2011 10:03 pm I recently just received formal approval for a loan from bankwest, but i also had trouble with them due to a couple of past credit esquires which were only online pre approvals that I had to explain. I thought this was strange.. Re: Home Loan Got Rejected Due To LMI 10Sep 05, 2011 1:17 pm @sra88 Bankwest had given me pre approval, the property had the valuation done, the bank approved the loan but LMI provider for Bankwest did not approve it. @wateman You are lucky, could be my mortgage broker did not push my application robustly... Now my application is with Suncorp and till now they are telling that it all looks good and will let me me today. I am just keeping my fingers crossed... Re: Home Loan Got Rejected Due To LMI 11Sep 08, 2011 3:32 pm Hi All, I did the other way around. I went to Westpac directly, discussed my case with the Home Loan Manager, gave him all my documents and told him that my case with Suncorp was pending and they were taking a lot of time even to arrange for property valuation. Westpac yesterday gave me full and final approval and I am very much thankful to Westpac. The application with Suncorp was cancelled by me and they asked me the reason and I told them how it worked. Now I am waiting for the settlement date and enter our new home. The thread is thus closed. Thanks everyone for your advice... Re: Home Loan Got Rejected Due To LMI 12Sep 08, 2011 3:44 pm Hi there, Exact same thing happened to us when we first applied for our loan back in 2008. It was myself and my partner applying through Bankwest (via our broker) and we were rejected because I had too many enquires on file. Originally it was a flat out NO, but after a bit of going back and forth between bank & broker and us, we ended up finding out these enquires (can be as small as a new mobile phone) and we just had to explain what they were all about and the fact that some of them were enquires that were never acted apon...so credit cards or what not that we never ended up going ahead with. We ended up gaining approval and all was good, it was just a very long and drawn out process, I'm sorry! I would go with what someone else suggested and use a broker, ours was free of charge as they gain commision from the banks - but they generally don't push you towards a particular bank so don't be too concerened about that (thats our findings anyway). The broker tends to be able to have a bit more power through the bank as they know the lingo/talk etc... We wanted to remain with bankwest for our loan as we have all our accounts through them and they were one of the only ones that offered us the 95% loan! PM me if you would like more info The road to success is always under construction House completed April 2011 - slowly making it a home... Re: Home Loan Got Rejected Due To LMI 13Sep 11, 2011 2:58 pm HI, Good work on getting unconditional with Westpac, i would have done the same and either gone with Westpac or ANZ. Just to answer a few questions in case someone else is in the same situation. Mike F is right, suncorp and Bankwest uses the same LMI provide- so that be a big no no. 1. Generally speaking the 2 main LMI providers are - Genworth and QBE 2. SOme banks have their own LMI department - ANZ, Westpac, ING(ref), Widebay.... ( sometimes you have to ask for them to use their own ) Regards Michael Michael Chan | Australia wide Mortgage Broker Michael@ShapeHomeLoans.com.au | 1300 74 5626 | Fax: 02 8212 8909 http://www.ShapeHomeLoans.com.au Re: Home Loan Got Rejected Due To LMI 14Sep 12, 2011 2:30 pm Hi @shape: Thanks for the information. Some things I have learnt from this process of applying for home loan and getting it approved. 1. Before applying get your credit file from Veda and check all the entries. Have all the entries proper justification why and how it happened and what was the end result of the enquiry. 2. The big 4 banks have more clout with the 2 LMI providers in Australia than any other banks. I mean to say the big 4 banks have more robust underwriting with the LMI providers. 3. If you have the time to spare and understand the process, approach the banks directly. Explain your situation and current position to the Bank Home Loan Manager and get the ball rolling. If unsure turn to a liscensed and experianced broker who can get all the things done with you sitting in living room. I am happy to provide advice if someone is in the same situation as I was. Ritwick Re: Home Loan Got Rejected Due To LMI 15Sep 12, 2011 8:16 pm ritwick Hi I am happy to provide advice if someone is in the same situation as I was. Ritwick I'd be careful about the give "advice" bit as some general & specific advice could potentially put you in breach of the NCCP Act. Re: Home Loan Got Rejected Due To LMI 16Sep 13, 2011 3:53 pm Hi, @MarkF Thanks for the advice I am aware of the NCCP Act and it will not be any advice but is only on how we overcome difficulties. It will never be on what product to choose or the provider. Its best left to the applicants and the lenders & mortgage brokers holding a credit license or be registered as an authorised credit representative. Regards Ritwick brokers will also be in a position to get you a better rate than the advertised rate most times. 6 7566 The biggest challenge will be if you take out a loan and then run out of money - you'll have an incomplete security and lenders do not like this so you can get stuck.… 2 19096 Hi, you've probably already resolved this, however, Commbank will probably pay the funds to you after you send evidence the work is done regardless the change in the quotes. 1 35321 |