HSBC failed scoring

smnberryman

Hi

Had a recent in-branch application for a mortgage at HSBC turned down.

We were told affordability was fine, and our credit search was fine.

Beyond that it was basically a "computer says no" explanation.

Anyway, what we didn't quite understand is what this means for our credit reports, so I hope someone could answer the following:

Can other organisations 'see' the credit search?

Will other organisation 'see' that is was HSBC?

Will this be marked as a failed mortgage application?

Thanks

GingerBob_3

smnberryman wrote: »

Hi

Had a recent in-branch application for a mortgage at HSBC turned down.

We were told affordability was fine, and our credit search was fine.

Beyond that it was basically a "computer says no" explanation.

Anyway, what we didn't quite understand is what this means for our credit reports, so I hope someone could answer the following:

Can other organisations 'see' the credit search?

Will other organisation 'see' that is was HSBC?

Will this be marked as a failed mortgage application?

Thanks

I believe the answers to be Yes, No, No, but others will no doubt confirm.

Thrugelmir

The fact that you failed to meet a lenders own criteria is a matter between you and then. Will have no bearing on how other lenders will view you. All that will show is HSBC's enquiry.

ACG

Yes, Yes, No is my understanding.

Not that it matters who has searched your credit report, its still a search non the less.

ethank

I've banked with HSBC for 15 years and I have a credit card and massive overdraft with them (that I hardly use)

They turned me down because having gone through my bank statements - I did not leave enough disposable income in my account. (They did not notice the 1k a month going to my savings with another bank)

koexelek

ethank wrote: »

I've banked with HSBC for 15 years and I have a credit card and massive overdraft with them (that I hardly use)

They turned me down because having gone through my bank statements - I did not leave enough disposable income in my account. (They did not notice the 1k a month going to my savings with another bank)

When looking for reasons to decline a case, lenders will only see what they want to see

Lyncroft

I'm with the HSBC too and as they pay 0% on the current account, on pay day I automatically transfer money outside DDs to a savings account. Well you wouldn't wouldn't you?

jonas123

i don't think transferring money into a savings account affects affordability - if it does, then someone has set up the new rules incorrectly!

I just got a mortgage from HSBC, i just passed the affordability criterea, and that was with credit card bills of over £1000 each month for the 3 months of statements they checked. They seemed to ignore the bills and were more concerned about how much I thought I spent on food each month.

ethank

HSBC did not say I could not afford the mortgage. I could afford it, and it was less than my mortgage was previously. They said I did not meet their criteria. They want people who are always in credit, and don't clear down to zero each month.

smnberryman

ethank wrote: »

HSBC did not say I could not afford the mortgage. I could afford it, and it was less than my mortgage was previously. They said I did not meet their criteria. They want people who are always in credit, and don't clear down to zero each month.

Sounds like what they told me, affordability fine, credit check fine, but sorry, no can do!

Thrugelmir

ethank wrote: »

They said I did not meet their criteria.

HSBC have a target market of customers. With an orientation towards conservative lending. As do all lenders.

HSBC only came to prominence as a lender as the others fell by the wayside. In reality they maintained their conservatism during the credit boom years as well. Nothing has really changed.