Homeowner, renter or other

ElCapitan

Hi

I'm hoping someone can advise me as to what to put my status as when applying for credit.

I live with my fiancee and the mortgage is in her name. I pay money towards the mortgage each month and will be named on the papers when we remortgage in the next few months.

Should I list myself as a home owner, renter or other on applications?

Thanks

Gordon_Hose

You're a private renter at the moment.

I'm in exactly the same situation. Except I won't be on the mortgage for a few years yet.

Suzanne_Louise

I've often wondered this too! My house is now rented out (on a BTL with Skipton at an extortionate rate), and I live with my partner and our 14 month old daughter. I never know whether I should put myself as a home-owner due to the BTL property, or that I have no mortgage, as I'm not on my partners mortgage - he pays that and I pay the childcare. Can anyone advise please, as I'm wondering whether this is why I keep getting turned down, when my credit score is 999?????

chexum

Suzanne_Louise wrote: »

I've often wondered this too! My house is now rented out (on a BTL with Skipton at an extortionate rate), and I live with my partner and our 14 month old daughter. I never know whether I should put myself as a home-owner due to the BTL property, or that I have no mortgage, as I'm not on my partners mortgage - he pays that and I pay the childcare. Can anyone advise please, as I'm wondering whether this is why I keep getting turned down, when my credit score is 999?????

They ask this ownership with regards to the address you're living at. Unless your name is on the deed it's highly likely they won't consider you the owner of the place, and it may amount to fraud. (Private) rent describes what the OP, and you do perfectly - you have a contract or arrangement with the owner of the place, not necessarily in writing.

There's probably something else preventing you from getting a card in your name, either something on the credit file, or simply the low, or lack of, income, coming from stable employment - (with a 14 month old, I know it's not easy to get a full time job).

As usual, the score does not necessarily represent the full picture the lenders look at when accessing your application, so you can ignore that, it's only describing your way of handling credit recently - you're better off checking moneysupermarket's, or confused.com's credit card checker (making sure you disallow them to contact you).

Suzanne_Louise

I returned to work full time when our daughter was 15 weeks old, and actually got a 4.5K payrise for returning! I have worked for the same company for 5.5 years. My partner is a police officer and works full time with a good amount of overtime! We both keep saying that we've never earnt as much money as we are now. There just seems to be no valid reason why I'm turned down, and it's getting frustrating as my 0% balance transfer with virgin runs out next month, but can I heck get another deal elsewhere!!!!!! Same as the fact that I've tried several times to remortgage the property I rent out, as I have around 70K equity in it, but keep being told 'I don't meet their criteria' - it's a crazy world!

izools

Suzanne_Louise wrote: »

I returned to work full time when our daughter was 15 weeks old, and actually got a 4.5K payrise for returning! I have worked for the same company for 5.5 years. My partner is a police officer and works full time with a good amount of overtime! We both keep saying that we've never earnt as much money as we are now. There just seems to be no valid reason why I'm turned down, and it's getting frustrating as my 0% balance transfer with virgin runs out next month, but can I heck get another deal elsewhere!!!!!! Same as the fact that I've tried several times to remortgage the property I rent out, as I have around 70K equity in it, but keep being told 'I don't meet their criteria' - it's a crazy world!

Sounds like you've got yourself stuck in a "spiral of declines".

Creditor 1 turned you down arbitrarily so you applied to creditor 2 who scored you marginally but ultimately decided against it as you'd just applied to creditor 1.

Creditor 3 didn't want to give anything to someone that's applied to two other companies so recently so they said no, too.

And in the end you may have caused yourself to look desperate for credit with the applications.

Wait a minimum of three months before allowing ANY credit searches against your name and space them out ensuring no more than three in a six month period from now on

Suzanne_Louise

Yeah, already decided that we're going to wait until January to try and remortgage the rented house, but in both our names. I've used a Financial Advisor, and even he can't understand why BMS have turned me down twice - thankfully, their searches don't show on a credit report. Still damn annoying though! :mad:

chattychappy

ElCapitan wrote: »

Hi

I'm hoping someone can advise me as to what to put my status as when applying for credit.

I live with my fiancee and the mortgage is in her name. I pay money towards the mortgage each month and will be named on the papers when we remortgage in the next few months.

Should I list myself as a home owner, renter or other on applications?

Thanks

Probably the only honest answer is "other". You are not renting because you believe that the money you are paying off the mortgage is building up equity in the home. At the same time, you are not (yet) registered as owning the home with the land registry.

Were it not for the "other" option, I would go for home owner as this closer to the true position than renting.

In fact, I might well be tempted to put that anyway depending on the exact agreement with your fiancee.

ElCapitan

Thanks for the replies. I was inclined to choose home owner but then a credit check would show that this wasn't the case. May have paid the price with a Tesco refusal.

Curt.

What do lenders assume of applicants when they select "other" as the option?

What other possibilities are there? Like living with a friend, work paying for your rented accomodation? Maybe living in your in laws house?

Does it reflect badly, due to the uncertainty?

chattychappy

ElCapitan wrote: »

Thanks for the replies. I was inclined to choose home owner but then a credit check would show that this wasn't the case.

Not really - a credit check would only show a mortgage. People often own homes without mortgages.