Thursday, December 13, 2007

Step 2: Documents, Documents, Documents

Having started on the saving street we found ourselves broke with nothing to do and had to pass the time while spending no cash. We decided to get ahead of schedule with the documents for our mortgage application. It is surprising what you need so I thought I'd list some of what we had to provide:

12 months bank statements.
That's worth keeping in mind when you start saving, or even beforehand. If you do not have the statements from 12 months previous, you will be a little peeved when you find out how much the banks charge you for replacements. I was hit with a €6.80 charge from Bank of Ireland for a single statement copy. I was furious and wrote a letter of complaint but have not heard anything back other than a standard issue letter telling me someone was looking into it.

6 months salary slips.
Another one people will tend not to hold onto. And for me it was a pain as ours are sent electronically. Point to note: there was no issue that they were printouts by me and not the company - as in, they were black and white. Remember that your salary will need to match what your salary cert says so don't make any plans to spoof your earnings!

Something you should have kept safe anyhow. Be sure to hold onto this and not leave it with the local video store as proof of address.

A salary certificate.
We are using a mortgage broker (more about that in another post) and they gave us a template one which we both had to get our employers to fill out. Worth taking this into consideration when estimating times. If your HR are very slow to get things done this can be an unforeseen delay to getting your mortgage application in.

Proof of savings.
As you will remember from my last post we used rabo direct for our savings, so were able to generate and print offaccount statements from there for free. However, you may nto save this way so remember to hold onto any statements from your savings accounts as you will need at least the latest one to show you have savings. Generally speaking, the more info you can provide the quicker a bank/building society will approve you.

Proof of Identity
This can be a photocopy of a driving license or passport. Not usually a hard thing to come by, but if you have neither you may want to check early on with a mortgage adviser for what alternatives are acceptable.

Other stuff -
You will also need to fill out a pretty long form, and provide details of any loans being paid off by the mortgage, as well as documents relating to any previous mortgage you have.

I know it was early on for us to be getting all our documents together, but it was well worth it. We had them all in a 'house' file and so when we came to apply we didn't have the headache of running around searching for the standard hard to find document. In my case that was the very expensive re-print of a bank statement (I mean - what the hell??? Was it printed by hand in gold leaf?).

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