Mortgage and 'bad' candidate

bodmil

I was having a look through some threads in the Loans section, in particular this one - http://forums.moneysavingexpert.com/showthread.html?t=2404745
According to this list by Conrad, I am an exceptionally bad candidate :eek: 'statistically' speaking. I have never checked my score but have NO reason to think it would be bad, I have never had a loan so haven't missed payments, I only used my over draft once when I was a student and then it was 0%, I applied for and got 2 credit cards (gold/platinum/snazzy ones with 5k limits) and I pay the only one I use off before the statements arrive. BUT I have a pay as you go phone, no home phone, no land line work phone, I change address frequently, and I'm not on the electoral role. I don't anticipate applying for a loan in the future but will be doing so for a mortgage in the coming 12 -18 months. Is any of the above going to impact on that application? Is there anything I ought to do improve my chances?

hugheskevi

Key thing is to get on the electoral roll, and to do it immediately, as credit checks see if you were on the roll in the past.

Make sure you have a good list of all your previous addresses going back 3-5 years - full addresses, with dates lived there.

Don't change current account, and make sure that when you come to apply for your mortgage you have 3-6 months of paper statements.

Also make sure that banks, credit card providers, etc, all have up-to-date information, particularly for your address.

It would be worth getting statutory copies of your credit record from the 3 main providers (£2 each, or free in various ways if you look around this site). Then use those to iron out any problems.

poppysarah

Why aren't you on the electoral roll?
You're effectively invisible if your names aren't on bills for energy/phone.

Why do you move so often? You need to find somewhere longer term and save like mad - the more deposit you have the better your mortgage rates will be - but only if you don't appear to be a 'ghost'

bodmil

I haven't officially changed my address much as far as the bank is concerned, I don't know who else I would tell if I did. But I !!!!!! off on long holidays a lot and live in company accommodation so I don't rent anywhere or pay any bills. I don't want to have to pay more for a monthly phone bill just to prove I exist, although if it stops me buying a house perhaps I should rethink £10 a month.
How does one tell if they're on the roll? I thought it was linked to paying council tax, in which case I don't pay so I won't be on it. But I can't see anything like that on the website so maybe I am on the roll afterall? I haven't been in the country for the past 2 elections so it hasn't bovvered me!
I plan to save up 25% deposit so would that be enough to make a lender think twice about paying a ghost?

poppysarah

Isn't there a fine if you're not on it.
http://www.electoralcommission.org.uk/elections/voter-registration

You need to be on this.You can have a postal vote. You've got until 20th April to register to get your vote for this one. Please register and use your vote.

Why should a 25% deposit be good for a lender if you really are invisible. They want to know you exist, have a record of existing etc.

Perhaps you should go speak to one now - and why do you plan on buying a house if you're not needing one at the moment - is your job likely to change?

DVardysShadow

The other thing is to become a customer of a possible lender or 2 for something and run the account well. It is a bit old fashioned and it is probably less effective these days when computer says no. As I see it, the problem these days is not that there is a shortage of lending money, it is that there is a shortage of well regarded borrowers - which means that the profiling works against you, but also means that as the lending criteria ease, companies with sense will give weight to their good experience of a customer over the credit score of someone off the street.

DVardysShadow

poppysarah wrote: »

Isn't there a fine if you're not on it ... ?

Not as far as I am aware. There is an offence of failing to fill out the registration forms, for which the householder is liable, mainly to protect the rights of anyone for whom the householder cannot be bothered to fill out the form

bodmil

Poppy I want to buy a house as an investment. I can't do a postal vote, as it's not possible for me to post anything until after the election. If it's not linked to council tax then it's likely I'm on it, I think I a card sent for the local elections last year but I've never been through the rigmarole of a big one.
DVardys, that was my only reason for getting the credit cards, just to show that I can manage them well, which I do. Do you mean something like a store card?

Soot2006

OH and I were ghosts - no credit, no nothing ...
We'd moved to the UK in 2001 and moved almost once a year since then so never entered any contracts, etc ... BUT we wrote to the council diligently every time we moved and gave them our new address, providing a clear trail of our existence. Coupled with payslips and bank statements, this was sufficient for Northern Rock -- our broker specifically recommended NR as not being as picky about a lack of credit history so long as the paper facts check out - payslips, etc ...

bodmil

Soot, thanks but I'm a little concerned that I'll be limiting my choices when it comes to lenders in that case. I'd rather has as much opportunity as possible to get a good deal.
Will find out if I'm on the roll but otherwise I'm hesitant to sign up for bills when I don't need to pay them.

bodmil

Ooops, my first post should so NO reason to think my credit report would be back, whoops!
Do they detail where you can improve and what's bringing you down or is it just a number good or bad sort of thing?