Using Credit Card while Applying for Mortgage

chris250_2

Spoke to my mortgage adviser and he has told me not to loose my deposit and that it will make no difference at this stage and that the affordability is massive so I should be fine.

Surely he can't give bad advise, right?

ecraig

I don't understand the whole suggestion of not using credit cards during a mortgage application...

When I applied for my mortgage, my mortgage company charged me for the valuation survey, and the payment method was, guess what, credit card. So I used my credit card.

Feels like I was encouraged to use my credit card during the application process.

kingstreet

The OP is talking about £3,500 on a longish-term basis.

A lender will, as explained, use 5% of the balance for affordability purposes, charging income £175 per month.

This is not comparable with a few hundred quid for a valuation fee. FWIW some lenders accept only debit cards, for that reason.

In addition, if you have told the lender you have nil balance at application, or that any balance will be cleared on, or before completion, your account will be expected to show that.

Financilallynonastute

I am about to put a £50,000 deposit down on a house which will cover around 35% of the mortgage. Does anyone know a way of using this high deposit to make cash back? Thanks for any answers.

kingstreet

Financilallynonastute wrote: »

I am about to put a £50,000 deposit down on a house which will cover around 35% of the mortgage. Does anyone know a way of using this high deposit to make cash back? Thanks for any answers.

You are moving money from you to your solicitor.

There is no cashback possible.