Hi all

Quick background.

We own our house outright following a critical illness payout (at which time the FA at HSBC advised us to pay the mortgage off - which we did).

We have recently decided to do some debt consolidation and a mortgage for home improvements (improve don't move and all that) and applied to HSBC (whom we have banked with for 25 years) for a £60k mortgage on a property valued at £171k over 10 years. We were advised we didn't need a mortgage but a 'Home Owner Loan' so we filled in all the paperwork, got a decision in principle that they would ultimately lend us £97k.

They have phoned today to say they are not agreeing the 'loan' as we don't fit their profile for lending at the current moment. We would be paying off all credit cards and the only other loan outstanding would be the cars each month - we are both working and as I say, the DIP came out to us borrowing £97k

So, 3.5 years ago we had a mortgage with them for more and we were ok then - but now we have £171k in equity we're not worth a punt for £60k??? Am I missing something here?

Obviously, we're 3 weeks into the process so credit checks will be showing - and presumably showing as turned down - so where do we go next??? Loathe to go to the Ocean Finances of this world but at a loss that if our own bank of 25 years won't lend then who will???

Thanks in advance for any words of wisdom.

L