I have a mortgage in principle which would enable me to use the first home find along with my 5% deposit to purchase a property that i really love. However I took out a salary finance loan 2 months ago at the time I was planning on waiting around a year to buy a house but I have seen a property that my partner and I would really like to buy. I used the salary finance loan to pay off part of the balance on a credit card that I used to purchase a bike to travel to work when public transport was changed due to the Lockdown. I already had a salary Finance loan in place but at a higher monthly payment. The new one cleared the old one and lowered the monthly payment which is deducted from my salary before tax each month. I know it seems strange to get a loan to pay some of my credit card but I got a discounted rate to pay off the ebike as it was an ebike to travel to work.
Sorry for the long winded into. Any advice would be appreciated.
Hi, thanks for getting in contact.
Have you obtained your mortgage in principle directly or via a broker?
In regards to the salary finance, so long as this is separate from your deposit funds that in itself doesn’t necessarily pose and issue it will just be a case of whether affordability is impacted or not.
Hi, Thanks for the speedy reply!
The mortgage in principle was obtained directly.
The salary finance is completely separate from the deposit amount.
If you have passed a credit score with the mortgage in principle and your affordability is suitable then you should be fine.
Of course there are other factors involved i.e the scheme you want to use, account conduct etc however without doing a full assessment I wouldn’t be able to comment on that.