Credit Score :(

CreditScoreLover

Having a 10% deposit ready to go I have decided to buy my first property.

£190,000 property value
£19,000 deposit
£41,000 p/a gross salary
£6,000 p/a garanteed benefits
£5,000 p/a perfomance related bonus

Before applying for a mortgage my experian score was 833, based on very little credit history as I have been living in the UK only for almost 4 years. Basically I have never borrowed money but I have never had any issue either.

As part of the application with HSBC, I have been asked to upgrade my current credit (as I am an existing customer).

Now I find myslef in the situation where the automated check rejected my application, however the mortgage manager was still positive about a possible sign-off and my credit score down to 706 due to the two searches made by HSBC, one for the account upgrade and one for the mortgage.

If my application is rejectied I will have to wait up to 12 months to have my credit score back to an acceptable level, despite meeting the criteria of most lenders (in terms of salary vs loan amount) and having never had any credit issue!

Am I missing anything or I am actually hostage of the credit score system???

Any advice would be extremely welcome...

Thrugelmir

CreditScoreLover wrote: »

, despite meeting the criteria of most lenders (in terms of salary vs loan amount) and having never had any credit issue!

How do you know this?

Henry_P_Chester

Thats not a bad wage, save more. You're interest rate will be appaling with 10% deposit. Save 25% min. Whats the rush?

CreditScoreLover

Thrugelmir wrote: »

How do you know this?

Purely based on initial assessments with some of the most known lenders.

However the focus of my question was not on the health of my application, but rather on the fragility of the credit score system and advice on possible options.

Thrugelmir

CreditScoreLover wrote: »

Purely based on initial assessments with some of the most known lenders.

However the focus of my question was not on the health of my application, but rather on the fragility of the credit score system and advice on possible options.

Your application will be assessed on its merits at the time of application.

Lenders will set their criteria depending on a multitude of variables. They won't be using Experian's credit scoring system.

Currently you are asking for over 4 times salary as a lending multiple. Better to increase your deposit size at the current time.