Mortgage on Maternity Leave

Hi,

We are a couple who have just received mortgage approval in order to move house. I am currently on maternity leave from the civil service with full intention to return to work on my return date. However, I have been told that we cannot drawdown on the mortgage until I return to work and produce my first payslip. This will not be until next April. Meanwhile the house we want will not be available at that stage. I have supplied a letter from work confirming that I am on full pay and will be returning to the same permanent position on a particular date with same employment conditions and salary I currently enjoy. What I would like to know is if this is a standard policy of Irish banks as I believe this to be discriminatory. Surely anyone can decide one morning not to return to work. Why should maternity leave be treated any differently, particularly if the documentation above has been provided.

Thanks.

I presume that it's based on the bank's experience that many women on maternity leave claim that they will be returning, and then decide not to. It seems reasonable to me.

Brendan

Wasn't there a first time poster last week that asked whether banks took state maternity benefit into account for mortgages? Saying that it was discriminatory if they didnt? Strange line of queries twice in a fortnight from new posters. just saying.

I saw the other post about taking maternity pay into account. That is not my situation however as I receive full pay while on maternity leave so not a concern.

What bothers me is that as a woman I do feel discriminated against for having my child. I am entitled to the maternity leave and fully intend to take it, but if signing documentation stating I will return to work along with documentation from work stating same is not enough, it is discriminatory.

After all I did not have to disclose the fact that I was on maternity leave but sensibly (?) chose to be honest in my application.

Makes no sense to me and does appear to be discrimatory as you point out. Would they have asked you were you were pregnant or intended to have children on your application. I would certainly progress this with the Bank as I am sure they are not permitted to discreminate like this. address your letter to the chief executives office and ensure that the phrasing adequately reflects the issue of discremination! State that you will be bringing the issue much further if you fail to get satisfaction. Both parties to the mortgage should sign the letter and demand an urgent response as you will be speaking with your solicitor if you lose a house due to this delay!!

Brendan Burgess said:

I presume that it's based on the bank's experience that many women on maternity leave claim that they will be returning, and then decide not to. It seems reasonable to me.

Brendan

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Thanks Brendan. Couldn't it also be argued that many men and women claim they will remain in full time employment only for the employer to close or for them to leave/change jobs etc. Would these be refused a mortgage on the basis that some people don't remain in full time employment as promised at application time?

You have made some very valid points Shibby and in my view the bank have no standing whatsoever on this issue. Any good solicitor would take them apart. Write your letter and ensure that its' registered. Also give them a deadline response time as you don't want to risk losing out on the property!

Thanks 44brendan. I find it all a little ridiculous as my mortgage approval will last 6 months but wont really be of any use until April, at which time the house we want and can afford is long gone.

shibbyj said:

Thanks 44brendan. I find it all a little ridiculous as my mortgage approval will last 6 months but wont really be of any use until April, at which time the house we want and can afford is long gone.

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A quick call to the Equality Authority might also be of use to you.

Thanks Green.I have submitted a query to them also.

An update on thread is that we sought and received mortgage approval from another bank who do not have the same policy. Obviously this is the approval we will be going with in order to move. I have also submitted my query to the Equality Authority who will respond in due course and I will update further. Thanks for the replies.

Hi Shibbyj,

We're in a mortgage application and my wife is on mat leave.

Could you PM me the name of the bank who did have the policy to reject candidates on maternity leave and the name of the bank who didn't? I have a sneaking suspicion as to the identify of the former as I was openly told on the phone to not even apply until my wife was back at work.

Did you get any response from the equality authority?

davel said:

Hi Shibbyj,

We're in a mortgage application and my wife is on mat leave.

Could you PM me the name of the bank who did have the policy to reject candidates on maternity leave and the name of the bank who didn't? I have a sneaking suspicion as to the identify of the former as I was openly told on the phone to not even apply until my wife was back at work.

Did you get any response from the equality authority?

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Hi sibbyj and davel

We are in the same boat. Would ye be so kind to pm me about yere outcome and which bank ye r dealing with. I would really appreciate any advice or tips

Thanks in advance

General Comment.

I have noticed on a lot of threads that AAM posters appear overly reticent to

(Name & Shame) providers who they feel have acted in a poor manner.

Unless you are calling providers , thieves , I cannot see why they are not named.
In giving your story and naming the Bank , you may perversely be doing the providers a favour and highlighting an issue that the Bank may not know some of their staff are making.

I am quite sure once named in AAM , senior management will take notice.

Hi there. .. I am re opening this post as we are in similar situation and I am finding it very hard to find info on the different banks .. i am due to go on mat leave in sept and be going for approval around the same time..
Be great if anybody would share the info on what banks do and don't support this.with me.... Thanks mill

Apologies for delay in update, it's been a busy few months. I am pleased to say we proceeded with our mortgage from AIB who required proof of my return to work after maternity in the form of a letter from my employer which I duly provided. Drawdown is complete and we are in our new home. I also proceeded with a mortgage application with BOI who approved our application but insisted that drawdown could not take place until I returned to work and provided a payslip. As this would have meant we would lose the house, we terminated the application with BOI. Hope this helps and sorry for late response.