How does having no credit history affect getting a mortgage?

seymoul

My partner and i are in the process of looking to buy out first house, but have been told that having had no previous credit can affect being agreed a mortgage. Is this correct?
I have had car loans, rented accomodation and paid utility bills etc before, but my partner has never had any credit, and only ever had to pay a mobile phone bill.
Is this enough to have proved his credit situation? If not, can you suggest what action he is to take?
Thanks

blueskythinking

Yes its true that no credit history can effect you getting a mortgage. basically what the banks do is look at credit card borrowing and more importantly repaying. The fact you have a rental contract before and paid utility and your boyfriend has a mobile contract will help it will prove you can be lent money and you will pay it back.If you get credit cards pay most back and leave some for a few months that will again prove you can repay debts, thus increasing your credit score. make sure you are registered on the voter register as that will prove residence and again push up a credit score. check your expidia profile (I think it can be done for free some times they will tell you what your score is and how to improve it). Hope this helps

CLAPTON

mortgages offers are mainly determined by things like salary, deposit etc but a proven credit history is also useful


a Credit card is useful to build a cridt history; use it to buy thing you anyway use (like petrol, food etc) and then pay in full each month so you pay no interest.