Annuity is all they need to know. The term CB refers to the financial structure of how 'you' are using the annuity to increase dsr in the banks eyes.
Thanks for taking the time to explain this Rixter, please bear with me as I'm a little slow.
So the actual name of the income generating product is call an "annuity". And most banks accept annuity payments (principal + interest) as assessible income?
I have a few questions regarding implementing this strategy:
1. How do you prove to the bank that you are indeed receiving annuity payments? Do you get some sort of certificate when you purchase the annuity from an insurance company? Or does the bank simply call the company up and varify?
2. Once proven, does the bank hold onto the annuity contract as security to prevent you from selling it the moment you receive the loan?
3. Do you need to have had the annuity for a certain period of time prior to the loan application? Or can you theoretically purchase the annuity one week before the loan application?
Sorry about the barrage of questions, and thanks again for your time.