Mortgage from different banks

[Layered Dip]

Hi guys,

Here is a question in regards to home loan application. If I have a mortgage with bank A, and I am applying another mortgage with bank B, do I have to tell bank B that I have an existing mortgage with bank A?

PS: I haven't got a huge equity gain from the existing loan with bank A, so the mortgage I got with bank A would be liability rather than additional equity I gained in the past.

My understanding is this is a grey area, although you are supposed to tell bank B all your other mortgages when you apply for a new loan.

all answers/responses would be much appreciated!

[Damap]

Best thing is to use a broker but the simple answer is of course you have to disclose all lending. If you do and they find out you will have real legal issues to face.
Theoretically if you are borrowing inside trusts and companies there is an argument that they are sometimes unrelated parties but those days are largely gone now.

[Wayne]

If you do and they find out you will have real legal issues to face.

I think it should be 'If you don't'
Sounds like you are trying to hid something so not a good idea from the start.

[brokerman]

Agree with above. Disclosure is everything.

[Damap]

Yes quite right Wayne I meant if you DON'T :-)

[Craig Pope Mortgages]

Hi, agree with the above, need to disclose all on the application