Mortgage application during pregnancy problem

[Buckety7854]

Hello,

I'm hoping someone can give me some advice. I recently applied for a sole mortgage with my bank NatWest, and didn't declare I was in first half of my pregnancy. I didn't do this out of trying to hide it, but didn't declare that I was expecting any significant life changes or whatever they asked, since my financial situation is not going to change. I will get 6 months full pay, then with my leave added on, I intend to return to work after full time. My partner intends to manage childcare etc then.

After doing some research, I learnt one of the things they look for on bank statements is suggestive payments, and I have a couple, that suggest I'm pregnant.

My application is in but has not yet been assessed. This will surely be flagged on my statement. Whilst I can prove there will be no change in my financial circumstances via letter from my employer, I'm really worried that I will be declined purely for not disclosing that I was pregnant in the first place. What should I do in this situation? Contact NatWest before they assess my paperwork? Or just wait and see if it's flagged? I don't want to end up in a situation where I'm automatically declined and it's just really stressing me out. I want to make things as smooth as possible!

Thanks for any advice or similar experiences anyone has!

Is it a payment for a scan such as window to the womb etc? That could be a gift for someone else such as a friend or sister, if they ask?

I'd be inclined to say it was a gift for someone too.

I don't want to actively lie to be honest, doesn't feel good and worry about problems down the line!

I'd keep quiet and wait for them to say it's a problem, rather than assume.

Not the same but I applied for a mortgage knowing I was going to quit my job the day I exchanged. Which I did. I kept quiet about that and several years later have paid consistently, even with a break without work.

Also should say it's not just a scan payment, I have a BusyLizzy membership I just started for mums. I feel like I've got myself in a right pickle!

I know lots of people don't declare and are fine but I suspect this will be flagged. I would have declared should I thought it would have been a problem/was the wrong thing to do, and will be quite honest if asked. It would be dreadful to think I was declined for not disclosing rather than the fact I'm pregnant (which I don't think would actually have any impact at all!).

Thanks for the replies so far 😊

Just wait and see op, hopefully won't be a problem 🤞

We moved house and got a new mortgage when I was pregnant. Our mortgage advisor said it wouldn't be an issue and lenders generally weren't bothered about children that didn't yet exist. So I'd try not to worry about it too much and wait and see if it is flagged by them.

I didn't say because like you, it didn't affect my finances at all. It wasn't a lie because that is what they asked about. Never had a problem during the process or after buying the house. However I wasn't applying for the max I could afford, I knew they would approve me on the reduced salary I got for a few weeks toward the end of maternity and I was definitely returning to work with the same hours and salary as before. I think it's only an issue if known life changes affect your finances such that you may not be able to afford your mortgage, such as redundancy, or only getting statutory maternity pay for months. I imagine if you say you're pregnant you may be declined, have to prove you can afford it, or have less favourable terms as they've no way of knowing you'll definitely return to work.
Only tell them the info they ask for (so read the question carefully), but don't outright lie.

I don't know what busy Lizzie is so I don't think it would set off any red alarms. I used to underwrite mortgages and if I knew that someone was pregnant it might need a few extra bits of paperwork but wouldn't be a deal breaker if everything else was ok.

I'd wait to see if they ask?

They do ask the most intrusive random questions when you have the telephone assessment - I was asked about my cleaner! I was also asked if I planned anymore children at which point I said I was infertile having had several miscarriages and ectopics and the woman was very apologetic but they just ask what the computer flags up - there is no personality behind it

No one can say for certain if they will have a life changing event or not. A baby could be considered not financially life changing if you are going from full time maternity pay back into full time work

Pregnancy is a protected characteristic you cannot be discriminated against because if it,

No idea what Busy Lizzie is. I’d wait and see and then if they flag it say you didn’t declare it as you didn’t know it was relevant given your finances are staying the same. Don’t worry about it

@Soontobe60

Pregnancy is a protected characteristic you cannot be discriminated against because if it,

This is true which is why mortgage companies get around this by refusing on grounds of affordability. If you are already on maternity leave and your salary shows a drop then they can refuse. And why they ask about the "life changing event" scenario as most people will experience a significant drop in income over maternity leave.

And to a degree I can understand. Our full time childcare costs at one point was more than the cost of mortgage

I was thinking the ultrasound payment Window to the Womb might set some alarms off though ... It stands out like a sore thumb! Think I've just been more worried that I didn't disclose and read on a couple of articles that people have been declined when the underwriter spotted a payment like mamas and papas. I guess I'll just have to wait and see if they ask about it, but have also read you can't be asked if you're pregnant. So seems like a very confusing, unclear area to me. Even the lending criteria doesn't refer anywhere to pregnancy, only for an applicant on maternity leave.

@Buckety7854

I think they can ask but you certainly don't have to confirm - for all they know you could have lost a baby? And lots of people shop for gifts at mamas and papas. You just have to be clever and prepared ahead for any questions like these . Just don't volunteer any information

@killerofmen did you ever discover in the underwriting process that someone was pregnant, and could you then decline it based on that - Where they hadn't volunteered that info in the beginning? Guess that's what I'm really asking so I can prepare!

I don't think so - that's not really what we're looking for with bank statements. They are to establish your general account conduct. Going into your overdraft, regular payments that aren't accounted for in your outgoings, gambling etc. As pp says you can't be declined for being pregnant and it's not an issue that you haven't declared it. It would just be looked at on an affordability basis. As I said if the rest of the application is sound, you taking maternity leave wouldn't be an issue.

Thanks for your response @killerofmen that's reassuring :)