Put on Wage Subsidy Scheme - Will this affect mortgage application?

Dubs1990

brisan wrote: »

Which lender are you with ??

Permanent tsb

GalwayyGirl

Dubs1990 wrote: »

Permanent tsb

I recently applied to Permanent TSB and they require a letter from the employer to confirm that they are not availing of the subsidy. They will not permit drawdown without this.

Dubs1990

GalwayyGirl wrote: »

I recently applied to Permanent TSB and they require a letter from the employer to confirm that they are not availing of the subsidy. They will not permit drawdown without this.

Its funny how people are told different things .

as of an hour ago as I have to get the house valuer sorted all off there policy is towards TWSS and not the EWSS scheme , there policy is a payslip clear from covid before loan offer and another before drawdown. I was also told that the employer was not going to be contacted or anything either.

I had a lengthy conversation about this EWSS scheme and as of now there is nothing updated with them regarding the EWSS scheme.

I stand to be corrected when this all goes belly up on me , but hopefully it doesn't go that way !

greengrass88

Dubs1990 wrote: »

Its funny how people are told different things .

as of an hour ago as I have to get the house valuer sorted all off there policy is towards TWSS and not the EWSS scheme , there policy is a payslip clear from covid before loan offer and another before drawdown. I was also told that the employer was not going to be contacted or anything either.

I had a lengthy conversation about this EWSS scheme and as of now there is nothing updated with them regarding the EWSS scheme.

I stand to be corrected when this all goes belly up on me , but hopefully it doesn't go that way !

Good luck and let us know how you get on

lomb

Not a hope of a drawdown on ewss. If a company is on this it's alikely on the brink it's much worse than being on twss

Hoboo

lomb wrote: »

Not a hope of a drawdown on ewss. If a company is on this it's alikely on the brink it's much worse than being on twss

Can you explain how? A business must experience a 30% drop in turnover/orders in comparison to 12 months ago to qualify (for companies started pre 12 months ago afaik). That's not "on the brink" unless you're dealing with extremely tight margins or on the brink pre covid.

I agree it's a higher risk for the bank, but it's not a reflection of the stability of the business.

Maybe I'm missing something.

lomb

Seeing as most business qualified for twss and few for ewss then I'd say it's much higher risk for banks so if they didn't allow twss then they sure as won't allow ewss.

cubatahavana

does anyone know for certain, though?

If all it takes os a letter from the employer, I suppose many small employers would just say that they are not on them to help the employee. That is out the employees control, so I suppose they would not be liable for fraud (the employee). As well, if the employee is back on full salary and full time with no difference, I cannot see why the banks would have a say. I understand that they need to be careful, but there are many other possible circumstances that could make a business go under, and they ask nothing from the employer in this cases

brisan

GalwayyGirl wrote: »

I recently applied to Permanent TSB and they require a letter from the employer to confirm that they are not availing of the subsidy. They will not permit drawdown without this.

As I suspected

brisan

cubatahavana wrote: »

does anyone know for certain, though?

If all it takes os a letter from the employer, I suppose many small employers would just say that they are not on them to help the employee. That is out the employees control, so I suppose they would not be liable for fraud (the employee). As well, if the employee is back on full salary and full time with no difference, I cannot see why the banks would have a say. I understand that they need to be careful, but there are many other possible circumstances that could make a business go under, and they ask nothing from the employer in this cases

The list of employers who received TWSS and EWSS will be published when the payments stop
The banks will be like Santa Claus


They will be making a list and checking it twice.
If the business folds and the employee cannot service their mortgage I can imagine the banks pursuing the employer through the courts
Plus much easier to repossess a house if the borrower fraudently acquired a mortgage and done so knowingly

cubatahavana

brisan wrote: »

The list of employers who received TWSS and EWSS will be published when the payments stop
The banks will be like Santa Claus


They will be making a list and checking it twice.
If the business folds and the employee cannot service their mortgage I can imagine the banks pursuing the employer through the courts
Plus much easier to repossess a house if the borrower fraudently acquired a mortgage and done so knowingly

You make a fair point there

Sonrisa

brisan wrote: »

The list of employers who received TWSS and EWSS will be published when the payments stop
The banks will be like Santa Claus


They will be making a list and checking it twice.
If the business folds and the employee cannot service their mortgage I can imagine the banks pursuing the employer through the courts
Plus much easier to repossess a house if the borrower fraudently acquired a mortgage and done so knowingly

There is no way a bank could pursue an employer through the courts. There's no legal relationship between them.

brisan

Sonrisa wrote: »

There is no way a bank could pursue an employer through the courts. There's no legal relationship between them.

Are you sure
If the employer issued a fraudulent document to enable a related party ( an employee ) to obtain money by deceit I’m sure the banks legal team would look at it
Maybe a solicitor on here could advise

cubatahavana

brisan wrote: »

Are you sure
If the employer issued a fraudulent document to enable a related party ( an employee ) to obtain money by deceit I’m sure the banks legal team would look at it
Maybe a solicitor on here could advise

But anyway it makes not much sense. What if you change jobs

brisan

cubatahavana wrote: »

But anyway it makes not much sense. What if you change jobs

Normally need 6 months in a new job to be off probation to be allowed drawdown
I’m not sure on that just what I have read on here

greengrass88

brisan wrote: »

Normally need 6 months in a new job to be off probation to be allowed drawdown
I’m not sure on that just what I have read on here

Seems to be the way in most cases but I have heard of people drawing down on probation

Wildly Boaring

greengrass88 wrote: »

Seems to be the way in most cases but I have heard of people drawing down on probation

AIB happy for me to draw down in 2017 while on probation.

brisan

Wildly Boaring wrote: »

AIB happy for me to draw down in 2017 while on probation.

Fair play
However some posters have been told they must be off probation and in a permanent position

cubatahavana

brisan wrote: »

Fair play
However some posters have been told they must be off probation and in a permanent position

I think being on probation is pretty risky for a bank now, more than any subsidy

brisan

https://www.boards.ie/vbulletin/showthread.php?t=2058113514

cubatahavana

cubatahavana wrote: »

I think being on probation is pretty risky for a bank now, more than any subsidy

Never got the big deal with probation, it’s a total formality I’m 99.9% of cases.

The_Conductor

cubatahavana wrote: »

I think being on probation is pretty risky for a bank now, more than any subsidy

Depends entirely on the employer- but if things are tough at all, the usual rule of thumb is last in, first out. All cards are off the table.

ted1

GalwayyGirl wrote: »

I recently applied to Permanent TSB and they require a letter from the employer to confirm that they are not availing of the subsidy. They will not permit drawdown without this.

Don’t PTSB have some of the highest rates ? Why not a bank with a lower rate ?

Renjit

greengrass88 wrote: »

Seems to be the way in most cases but I have heard of people drawing down on probation

You can talk to the employer about probation clause. As long as salary certificate doesn't have probation checkbox checked you should be fine.

My wife changed job and had probation clause removed from the contract. We applied for mortgage after 3 weeks in her new job.

Renjit

Londyn Hallowed Duet wrote: »

Never got the big deal with probation, it’s a total formality I’m 99.9% of cases.

It's easier to terminate employees on probation.

Dublin1210

Finally moved into our first (& final) house after been sale agreed since late January. We were able to drawdown from AIB with my partner being on the wage subsidy scheme. The bank requested our latest payslip & a letter from my partner’s employer (Childcare) stating she’ll return to full wages when the scheme ends.

Thought i’d give some hope to people who are looking to drawdown, while availing of the scheme through no fault of there own. Seems AIB are backing brave, best of luck everyone.

cubatahavana

Dublin1210 wrote: »

Finally moved into our first (& final) house after been sale agreed since late January. We were able to drawdown from AIB with my partner being on the wage subsidy scheme. The bank requested our latest payslip & a letter from my partner’s employer (Childcare) stating she’ll return to full wages when the scheme ends.

Thought i’d give some hope to people who are looking to drawdown, while availing of the scheme through no fault of there own. Seems AIB are backing brave, best of luck everyone.

Congrats!

Dubs1990

Dublin1210 wrote: »

Finally moved into our first (& final) house after been sale agreed since late January. We were able to drawdown from AIB with my partner being on the wage subsidy scheme. The bank requested our latest payslip & a letter from my partner’s employer (Childcare) stating she’ll return to full wages when the scheme ends.

Thought i’d give some hope to people who are looking to drawdown, while availing of the scheme through no fault of there own. Seems AIB are backing brave, best of luck everyone.

Super news ! Enjoy !

Sonrisa

Dublin1210 wrote: »

Finally moved into our first (& final) house after been sale agreed since late January. We were able to drawdown from AIB with my partner being on the wage subsidy scheme. The bank requested our latest payslip & a letter from my partner’s employer (Childcare) stating she’ll return to full wages when the scheme ends.

Thought i’d give some hope to people who are looking to drawdown, while availing of the scheme through no fault of there own. Seems AIB are backing brave, best of luck everyone.

so nice to hear some good news- congrats!

greengrass88

Anyone on the ewss have any further news re mortgage applications?

I'm going to be on the subsidy until it ends at the start of April, hoping we would be able to start talking to brokers before the end of this year so we can get things in order and then start looking at houses. Is it realistic to think we could drawdown in May 21 or an I being too optimistic?