Offer of finance withdrawn - sign of further credit tightening?

ozperp said:
As boomtown is a contract lawyer, that's a big call, grossreal!
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Why do you say that ozperp ?? What makes it a big call ??


I've seen switched on business folks eat lawyers for breakfast.....in the lawyer's particular speciality.


I've seen 'em get loans when mortgage brokers couldn't.


I've seen principals of deals step in and smooth the way when conveyancing folk and solicitors were left at an impasse.


Doing something "full-time" does not automatically correlate with being excellent at it, IMO.
 
Update from BOQ

Apparently the case is with the bank's lawyers, who are trying to determine whether the approval letter constitutes an offer of finance on which I was entitled to rely. :rolleyes:

I said that I was sure they could decide not to proceed to finance the deal if they didn't want to, but I was baffled as to why they'd want to change their mind. I tried to suss out whether it was shortage of funds available, some changed perception as to our risk, or a battle between EE and Credit.

I'm almost certain from the probing that it's the latter; EE/Private Bank were willing to give me a chance, but Credit don't want to. And somehow the approval letter went out without Credit having seen the file, and Credit only got involved when I sent my email.

Interesting times...
 
ozperp said:
Apparently the case is with the bank's lawyers, who are trying to determine whether the approval letter constitutes an offer of finance on which I was entitled to rely. :rolleyes:

I said that I was sure they could decide not to proceed to finance the deal if they didn't want to, but I was baffled as to why they'd want to change their mind. I tried to suss out whether it was shortage of funds available, some changed perception as to our risk, or a battle between EE and Credit.

I'm almost certain from the probing that it's the latter; EE/Private Bank were willing to give me a chance, but Credit don't want to. And somehow the approval letter went out without Credit having seen the file, and Credit only got involved when I sent my email.

Interesting times...
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I'm of the opinion that it would have been better (that's if they have/had the best deal available) to tell them that settlement may well now fall over and that you'd be stuck with hefty penalties. penalties that you would be seeking compensation for. I think pushing the point of a finance clause and the issuance of a formal approval advice by themsleves have put you now in a very awkward position. As time goes on it may have been better (once they said 5 days to decide) to have had the onbudsman involved staight away. In your current position you stand a chance that they will still say "no" or offer less favourable terms. You then have lost almost a week in the process. Saying "no" to the ombudsman would IMO be tougher than saying "no" to you.

Anyway, looking forward to the updates as they are posted.
 
Tracey does the rate reduction (although currently BOQ has not confirmed what they are passing on) make any difference to their calcs and your risk profile to them?
 
buzzlightyear said:
Tracey does the rate reduction (although currently BOQ has not confirmed what they are passing on) make any difference to their calcs and your risk profile to them?
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No, I don't think that has anything to do with it. It helps our DSR, which is strong anyway.
 
I'm pleased to say that time and further advice would suggest that Bradsdad and StuartW are correct; the bank does not have the right to walk away from an unconditional approval.

The bank's lawyers are still thinking about it, which I suspect means that they know they're not on solid ground and are having trouble finding a justifiable reason for pulling out of the offer.
 
hi ozperp
couple of thing
legals get paid to waste time as well as use it
so if they can run up a bill they will.
so i would not think that just because they have not come back that its they are on a rocky road
It could be that they would like to use up abit of spare time
charged at 200 per 6 mins
accountants and legals are funny people.
they live in 6 min time slots.
I am very interested in what come out of this as there are alot of people in the same boat
 
I'm delighted to report that it looks like this round goes to ozperp.

I received an email this afternoon offering finance exactly matching what was originally offered in December; the bank didn't explicitly say so but I assume that means that they've decided they were bound by the approval. They sure had their lawyers looking at it from every angle to try and get out of it, so I'm guessing an unconditional approval holds up pretty well in court.

I'm going to sleep like a baby tonight. Then go and sign documents first thing tomorrow, before anything else goes wrong. ;)

Anybody want to join me for a (virtual) beer or ten, first?
 
hi all
no sure about a big call
because a contract is not just some thing that a legal person uses
contracts are things we live with everyday and sometimes contracts are brought up even if not in any for of court
and I have to bring people back to earth with regards to contracts on a daily basis even today
and I have not been in a court for some time
and yes there are better written down but some times you may not wish to have a contract in that form for reasons not for board but a contract it still is
so big call or not I think there are lots of contract and for me no they don't have to be in writing
you can make a contract over the phone with say optus and try to tell them that thats not enforceable just becuase its not in writing
or order an item via phone and again try the same.
a contract is a contract at the point and time a contract is conducted and in what ever form that contract was done.
so it will be interesting to see how yours comes out
ho and no I am not a legal just had alot to do with them

an
 
What wonderful wonderful news! If only you could get all that lost sleep back! Nice work. Delighted you pushed them and they didn't push back as expected.
 
ozperp said:
I'm delighted to report that it looks like this round goes to ozperp.

I received an email this afternoon offering finance exactly matching what was originally offered in December; the bank didn't explicitly say so but I assume that means that they've decided they were bound by the approval. They sure had their lawyers looking at it from every angle to try and get out of it, so I'm guessing an unconditional approval holds up pretty well in court.

I'm going to sleep like a baby tonight. Then go and sign documents first thing tomorrow, before anything else goes wrong. ;)

Anybody want to join me for a (virtual) beer or ten, first?
Click to expand...

Well done Ozperp. I am not surprised at all. Banks make mistakes and they try and get out of things from time to time. People just need to know when to not take no as an answer. All's well that ends well.
 
ozperp said:
I'm delighted to report that it looks like this round goes to ozperp.

I received an email this afternoon offering finance exactly matching what was originally offered in December; the bank didn't explicitly say so but I assume that means that they've decided they were bound by the approval. They sure had their lawyers looking at it from every angle to try and get out of it, so I'm guessing an unconditional approval holds up pretty well in court.

I'm going to sleep like a baby tonight. Then go and sign documents first thing tomorrow, before anything else goes wrong. ;)

Anybody want to join me for a (virtual) beer or ten, first?
Click to expand...



I wasn't going to have one tonight but I may just grab a stubbie after hearing that news.
congrats :D:D:D
 
I have been following this thread with anticipation of a win for you Tracey.

Well done for sticking to your guns and standing your ground. I just love to hear someone have a win when it comes to Banks. Enjoy your celebration and sleep.

Sparky, I hope that your misfortunes turn around real soon as well.

Sunshine
 
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