Was Your Mortgage Rejected Because You're Pregnant?

Idly listening to Radio 4 Money Box the other day (whilst applying fake tan… you know, yin/yang), I was shocked at the reports that some couples have had their mortgage application denied on account of a current pregnancy.

Now of course I was typically indignant at this and immediately turned up the volume. Surely this is discrimination and totally illegal?

It transpires that a number of providers had been turning down mortgage applications due to legitimate concerns about repayments if a woman does not return to work after maternity leave. Naturally a mortgage provider is right - indeed has an obligation - to enquire as to any upcoming events that may alter financial circumstances.
However, to refuse a mortgage purely on the grounds of pregnancy is indeed discriminatory and, according to the providers questioned on the programme, is not part of usual procedure. What they are allowed and should do is to ask relevant questions and then delve deeper into your individual circumstances to discern that way whether you are eligible for a mortgage. After all, you may already have plans to return to work, or an alternative cash-flow option if not. 
I really urge you to listen to the programme whether or not you are about to apply for a mortgage as some great advice was given. Indeed, it can be applied to any sort of monetary application process - pension, life insurance etc.

Have you had a similar experience in applying for a mortgage? Let me know what happened and how it got resolved.

Toodles,

xxx Mama Mumbles xxx