Can gambling impact my Home Loan Application?
Have you ever wondered if gambling can impact a Home Loan Application? In a word, Yes.
Gambling is considered a discretionary expenses and lenders are required to understand your regular and ongoing expenses. When we consider regular and ongoing, we consider an average of the past 6 months or so, so if there is regular gambling on your transactions these may be considered as ongoing expenses.
Playing the odd lotto ticket or odd betting isn’t going to impact your application greatly, but it is important to note it is an average, and gambling wins cannot be used to offset the amount gambled.
In addition, it can impact more so if you are borrowing money to consolidate other debts. It would be important for lenders to understand why debts need to be consolidated especially if there is a longer history of regular gambling that could have been used to repay debts instead.
This information does not take into consideration your circumstances and is for information purposes only and general in nature.
What should you do if you have been gambling and want to apply for a Home Loan? Be honest, declare your regular and ongoing expenses correctly. A lender may wish to see lower or no gambling for a period of time if it is impacting your ability to service your proposed loan.
If debt consolidation is part of what's bringing you to this question, it's worth having an honest conversation with a broker before you apply anywhere. We can help you understand how lenders will read your situation and put together an application that gives you the best chance, rather than one that raises more questions than it answers. Our Debt Consolidation article covers the broader picture of how lenders assess consolidation applications, and if refinancing to free up some breathing room is on the table, our Refinancing page walks through how that process works.
Whatever your situation looks like, being upfront with us means we can actually help. Make an Appointment and we'll talk it through properly, no judgment.
