Lying on mortgage application!

Bingbong31

Hi everyone, hoping I could get some help or insight, we are in a bit of an awkward situation, we are due to get married in February, however we need to buy home in my boyfriends name only due to my poor credit history, he will not be in a position to buy untill April, my question is how do the bank know he is married as I am sure this will affect his borrowing capabilities so would prefer to pretend he's single!

foxy06

Bingbong31 wrote: »

Hi everyone, hoping I could get some help or insight, we are in a bit of an awkward situation, we are due to get married in February, however we need to buy home in my boyfriends name only due to my poor credit history, he will not be in a position to buy untill April, my question is how do the bank know he is married as I am sure this will affect his borrowing capabilities so would prefer to pretend he's single!

U really should put the wedding off until April. Doesn't matter HOW he gets caught but if he does its fraud and not worth the hassle. If he wants to buy in April get married when he has closed the sale and keys are in hand

Dan133269

Bingbong31 wrote: »

however we need to buy home

Why do you need to buy a home? This kind of attitude severely contributed to the crash.

JimiTime

Dan133269 wrote: »

Why do you need to buy a home? This kind of attitude severely contributed to the crash.

While I know what you are getting at, that is MUCH too simplistic a view. It is also a much too common misconception. Most people do not qualify for a council\corporation tenancy, which means one has to go into the private sector to rent. In Ireland, we don't really have any security in the private rental sector. In turn, if someone is planning on marrying, starting a family etc, they need to consider schools, facilities in the area etc. In private rented accommodation, you can be turfed out with a months notice. I have a friend that has a special needs child who has had to move house 3 times in two years due to owners selling up, or moving in themselves etc. So, in order to feel secure in ones home, buying is the only game in town unfortunately. So rather than it being the attitude of the buyer, its the system thats the issue. Some people just want a home they can feel secure in. I think its very unfortunate that people are still trotting out the blame on people who just wanted a home. Speculators are a different story, but someone wanting a secure home, well unfortunately they are entering a system of virtually no choices. If you think this system needs to change, and I certainly do, you should lobby your local TD.

Marcusm

JimiTime wrote: »

While I know what you are getting at, that is MUCH too simplistic a view. It is also a much too common misconception. Most people do not qualify for a council\corporation tenancy, which means one has to go into the private sector to rent. In Ireland, we don't really have any security in the private rental sector. In turn, if someone is planning on marrying, starting a family etc, they need to consider schools, facilities in the area etc. In private rented accommodation, you can be turfed out with a months notice. I have a friend that has a special needs child who has had to move house 3 times in two years due to owners selling up, or moving in themselves etc. So, in order to feel secure in ones home, buying is the only game in town unfortunately. So rather than it being the attitude of the buyer, its the system thats the issue. Some people just want a home they can feel secure in. I think its very unfortunate that people are still trotting out the blame on people who just wanted a home. Speculators are a different story, but someone wanting a secure home, well unfortunately they are entering a system of virtually no choices. If you think this system needs to change, and I certainly do, you should lobby your local TD.

Just thought I'd highlight this part to show common misconceptions; in Ireland once you've been renting for 6 months you obtain the right to stay for a further 3 1/2 years. That's significantly stronger tenant's rights than in. The UK, for example.

Zamboni

Marcusm wrote: »

Just thought I'd highlight this part to show common misconceptions; in Ireland once you've been renting for 6 months you obtain the right to stay for a further 3 1/2 years. That's significantly stronger tenant's rights than in. The UK, for example.

And a slightly more flippant but realistic view, once you rent a property you can pretty much stay there for as long as you like as it can take years for a landlord to evict you legally.

Seve OB

Bingbong31 wrote: »

Hi everyone, hoping I could get some help or insight, we are in a bit of an awkward situation, we are due to get married in February, ...........so would prefer to pretend he's single!

Sorry, I just had to

the groutch

Bingbong31 wrote: »

Hi everyone, hoping I could get some help or insight, we are in a bit of an awkward situation, we are due to get married in February, however we need to buy home in my boyfriends name only due to my poor credit history, he will not be in a position to buy untill April, my question is how do the bank know he is married as I am sure this will affect his borrowing capabilities so would prefer to pretend he's single!

bad bad idea
not sure exactly what the bank would do, but assuming he plans to claim mortgage interest relief, if he got caught the revenue would throw the book at him for tax fraud.

StillWaters

the groutch wrote: »

bad bad idea
not sure exactly what the bank would do, but assuming he plans to claim mortgage interest relief, if he got caught the revenue would throw the book at him for tax fraud.

How would he be defrauding the revenue?
Once married the only difference tax wise is you can choose, or not, to transfer some of your tax credits. Nothing to do with mortgage TRS.

the groutch

if he's lying to get a bigger mortgage than he would be if jointly assessed, then he's claiming more TRS than he should be too.

phormium

The issue is not really with the bank knowing or not, it will come to light in the legal work with the solicitor to complete the transaction. Unless he is intending to lie to solicitor as well and sign the declarations fraudulently.

strandroad

So do two months (between the wedding and the purchase) of not owning house make such a difference as to validate submitting incorrect information, i.e. fraud?

Take a step back and a deep breath and assess the situation. You can delay the wedding for two months or you can wait them out after the wedding. Surely you live somewhere today, and if you can't continue living there find a short term rental. You seem a bit obsessive about getting a house immediately; if your credit history is marked, you need to take the consequences, not to risk more by engaging in something fraudulent. It's only a couple of weeks.

phormium

It isn't the two months that matter as such, it's the fact that once he is married he cannot really apply in his own name only for a family home, the two months are coming into it I presume due to something like him not being in the job long enough or something to apply for a mortgage before April. Were he able to apply right now there would not be an issue but if he has to wait to April to apply then it will be as a couple and the bad credit history of partner will affect the application. So it's a bit of a catch 22, can't apply in own name before married and credit history affecting joint application after marriage.

JimiTime

Marcusm wrote: »

Just thought I'd highlight this part to show common misconceptions; in Ireland once you've been renting for 6 months you obtain the right to stay for a further 3 1/2 years. That's significantly stronger tenant's rights than in. The UK, for example.

Unfortunately, this is not the case if the landlord is selling, moving in, has a family member moving in or is refurbishing. In fact, its pretty worthless when you look at the exceptions.

Zamboni wrote: »

And a slightly more flippant but realistic view, once you rent a property you can pretty much stay there for as long as you like as it can take years for a landlord to evict you legally.

Again though, this isn't exactly secure now is it? Certainly not what someone looking to start a family is going to look to consider.

Ms Tootsie

Bit of a glaring question here - why can he not buy a home until April? What could be happening in the next 6 months that would change his ability to buy a house?

phormium

I would imagine waiting until a probationary time is over at work or has recently started job etc etc, banks have minimum requirements for the length of time you must be in your present job, that's my guess anyway!

Ms Tootsie

phormium wrote: »

I would imagine waiting until a probationary time is over at work or has recently started job etc etc, banks have minimum requirements for the length of time you must be in your present job, that's my guess anyway!

I dont know, when we got our mortgage just under a year ago I had just started a new job, the bank wanted to see the contract and they were happy enough with it even though I was techically on probabtion for another 4 months. Mind you I had a job for 4 years before that so maybe they judged that I wasnt exactly a flighty character :rolleyes:

Either way I would never reccomend lying on a mortgage form, they do so many checks and I am pretty sure they can check if you have been married before / are currently married. We went with AIB and the amount of forms we had to complete, I am pretty sure they didnt just take our word for it that all the information was correct. At the end of the day it will count as fraud no matter what the original motives behind your actions OP.

phormium

This was unusual, even back in the good! old days a probationery period usually had to be over or at least over before draw down of mortgage. Lying is not an option, it will come up at the legals stage.

Ms Tootsie

phormium wrote: »

This was unusual, even back in the good! old days a probationery period usually had to be over or at least over before draw down of mortgage.

We both had good credit history and wouldnt have cleared out our savings on the deposit which I am guessing also swayed things in our favour.

Wish I could say the same now when it comes to paying for our wedding... :eek:

Totally agree though, it will come up in the legal stage. Not worth the risk. Once you are caught out as well that will be you blacklisted in terms of mortgages, loans, anything like that.

Why not rent for a few years OP and work on improving your credit history - it will dramatically improve if you show that as a couple you can pay rent and still save a portion of your salary each month.

strandroad

phormium wrote: »

It isn't the two months that matter as such, it's the fact that once he is married he cannot really apply in his own name only for a family home, the two months are coming into it I presume due to something like him not being in the job long enough or something to apply for a mortgage before April. Were he able to apply right now there would not be an issue but if he has to wait to April to apply then it will be as a couple and the bad credit history of partner will affect the application. So it's a bit of a catch 22, can't apply in own name before married and credit history affecting joint application after marriage.

Well delay the wedding for a couple of months then... It's not the end of the world, you can't have everything in life exactly when and how you want it, especially if you've fouled your credit yourself.

Duiske

Bingbong31 wrote: »

we need to buy home

Dan133269 wrote: »

Why do you need to buy a home? This kind of attitude severely contributed to the crash.

Here's what she actually said in the op.

we need to buy home in my boyfriends name only due to my poor credit history

When you read the entire sentence, it reads entirely differently to the selective and out of context way you quoted it.

Dan133269

Duiske wrote: »

Here's what she actually said in the op.



When you read the entire sentence, it reads entirely differently to the selective and out of context way you quoted it.

Doesn't read any differently to me.

If she would have said, "we would need to apply on boyfriend's name alone if we were to buy", then that would be different. She didn't say that however. She said - "we need to buy home in my boyfriends name only due to my poor credit history". This reads the same as the bit I quoted, the only difference is that the method of buying the house is left out of the quote. How would you interpret it?

djimi

If youre rushing the buying of a house or having to lie on the application then you are not in a position to buy; that is the absolute bottom line. Why on earth would put yourself in that position; why not just rent for a year, or until you are in a position to buy together?

The attitude that people need to buy a house now or at any time is pure lunacy; its the biggest financial decision you will ever make and there is absolutely no need to rush it. There is no shortage of rental properties out there so you wont exactly find yourself living on the streets.

Bingbong31

Hi, thanks for the constructive feedback from some people, I don't know why some people feel the need to have so many digs at our situation. The last thing we want to do is lie on the application but our options were limited. The reason for the April date was probationary period and all we were trying to do was buy a family home,

djimi

Why the rush though? There is no immediate need to buy a house this very moment, especially if it involves lying on the application form to do so, so why even view it as an option right now? Rent for a while and re-evaluate your options this time next year, or in two years, or whenever youre in a better financial position. Its a huge commitment to make; dont enter into it unless you are completely certain that everything is 100%.

Pkiernan

the groutch wrote: »

bad bad idea
not sure exactly what the bank would do, but assuming he plans to claim mortgage interest relief, if he got caught the revenue would throw the book at him for tax fraud.

OMFG. So much wrong this this post :eek:

phormium

It's actually the reverse, he would be saving Revenue money, would be claiming as a single person even though actually married and could have availed of higher TRS.

Zamboni

Bingbong31 wrote: »

Hi, thanks for the constructive feedback from some people, I don't know why some people feel the need to have so many digs at our situation. The last thing we want to do is lie on the application but our options were limited. The reason for the April date was probationary period and all we were trying to do was buy a family home,

Ok honestly what I would do in your situation, is get a copy of your credit report and wait five years from the last 'bad' record.
During that five years I would rent in the area that you wish to live in and build up a greater deposit to reduce financing requirements.
Then when your record is clean apply for a mortgage with an institution that you do not have any previous history and buy a house with your husband and live happily ever after.

StillWaters

Pkiernan wrote: »

the groutch wrote: »

bad bad idea
not sure exactly what the bank would do, but assuming he plans to claim mortgage interest relief, if he got caught the revenue would throw the book at him for tax fraud.

OMFG. So much wrong this this post :eek:

I know, but academic in any case as TRS will be abolished when OP buys.

listermint

Zamboni wrote: »

Ok honestly what I would do in your situation, is get a copy of your credit report and wait five years from the last 'bad' record.
During that five years I would rent in the area that you wish to live in and build up a greater deposit to reduce financing requirements.
Then when your record is clean apply for a mortgage with an institution that you do not have any previous history and buy a house with your husband and live happily ever after.

This all day long

Seve OB

Read all the posts here and you all seem to be quite condescending as to why they "have to buy" and you would be better off waiting to save deposits and tax fraud and lying on mortgage application crap.

The fact of the matter is, they want to buy a house, and they have not indicated they want to lie or decieve anyone. They might not want to rent, or wait years more to buy. Maybe it is a family home that they would like to buy instead of letting it go to someone else? We don't know the circumstances, so why do people speculate so much!!!

They have indicated they would want to buy it in the fellas name due to girl having bad credit history. Then presumably the lad will be on a decent enough wage to be given mortgage approval in his own name. they might already have a nice wedge saved for a deposit.

It strikes me, that if thy weren't getting married, they wouldn't have an issue because, the lad could just buy the house and fill everything in legal and above board.

The problem is if they are married, then the girl becomes involved and the question of bad credit rateing arrises, and thay are aware of that and they want to fnd a solution to their predicament without breaking any laws.

Solution is to delay the wedding until after the house purchase. As it is only September now, there should not be to much difficulty in delaying the wedding for a couple of months.