Mortgage agreement in principle

jimbo83

Lilla wrote: »

Normally the difference is visibility - e.g. if the AIP is done by Halifax, the search will be visible to you on your credit file, but to anyone else only on the day when it was done, not from the next day onwards. This means that if you apply for a mortgage with another lender, they won't see that you had a credit search by Halifax for AIP purposes. The reason why it's important is because 3 mortgage credit searches within the last 6 months can already cause the application to be declined.

Great, thanks for your input.

So basically the difference between a soft and a full search will just be visibility, the searches will be the same in terms of what they look at/assess?

The reason i ask is that I am unsure as to what kind of search has been done and I just want it to materialise into a full offer. I am a bit of a worrier and want comfort that the AIP will turn into a full offer i suppose!

Lilla

Pretty much, yes.

If the broker did their homework properly and chose a lender suitable for you and the property, then everything should be fine. I know it's frightening, as I see it with my clients every day, as you have to rely on a stranger despite the internet and TV suggesting that everyone can do everything on their own and there's always a lower rate and friends saying how easy it was for them to do it with their bank direct...

However the internet, your friends and even your bank won't be able to assess your situation and give advice as much as a broker can. Ask the broker as many questions as it takes to make you feel comfortable, but ultimately it's a bit like going to see a doctor - you can research the internet about your symptoms and possible treatments, ask friends, but at the end of the day you'll have to place a certain amount of trust in the doctor that they prescribed the most suitable medication / treatment.

I assume you chose your broker for your mortgage as you felt that they knew what they were doing, so I hope everything works out and you'll have the mortgage offer soon

Experian_company_representative

Our fact sheet explains the difference between searches. An AIP is an application and not a quotation so should leave a credit application footprint that can be fed into scoring calculations.

James Jones