IT Contractor Mortgage

Herbieb

Hi all,

I recently applied for a contractor mortgage with CMME and they came back with an AIP of £500k. I have a partner but because of his poor credit rating, I have decided to take out a sole application on a house that has a value of £299,950 and I am putting £30k down in deposit. I have completed the application and it's due to be submitted any time now - I also received a notification from my advisor at CMME that my AIP has "formally" been approved and I can see that Halifax have checked my Experian credit report. I've also been asked to pay the valuation fee which I paid today.

The problem is, I'm worrying that it won't be accepted (this is probably normal??). My credit rating is great and the payslips I have submitted match with the information I have provided - I've been into my arranged overdraft a couple of times but not to the full extent and it's always paid off. Credit commitments are all due to be paid off within the next 12 months (just a sofa and £1300 on a CC which I pay £600 off every month). My advisor seems optimistic that the app will be fine.

Am I being pessimistic or do you think there's reason to worry?

Thank you!!!

Mortgage_Mark_2

If Halifax have approved the DIP then it would take something fairly significant to happen, or them to find, for there to be a problem.

(I am an adviser at CMME, btw!)

ACG

Its normal to worry. If you have nothing to hide then I would say you have nothing to worry about.

Herbieb

Mortgage_Mark wrote: »

If Halifax have approved the DIP then it would take something fairly significant to happen, or them to find, for there to be a problem.

(I am an adviser at CMME, btw!)

Thanks for your replies,

From your experience Mortgage_Mark what is the impact of a partners credit rating? The only reason I ask is because my boyfriend has a terrible rating and he's finally linked to me because of a joint current account that we have - he shows up on my credit report. I don;t know if the fact that it's already passed a formal AIP means that they've seen this issue and overlooked it?

Mortgage_Mark_2

Generally, with Halifax, the credit score you get at DIP stage is a fair reflection of the final check, the only difference being the more thorough additional checks such as the 'Hunter Report' to spot potential fraud etc.

If your partner isn't on the mortgage, then it's unlikely to have a huge impact unless it's joint credit commitments that he has defaulted on as this automatically impacts you as well.

Provided that joint current account has been maintained in a timely manner, it's unlikely that you will have any major hurdles regarding credit score if you've already passed the initial one.

Herbieb

Mortgage_Mark wrote: »

Generally, with Halifax, the credit score you get at DIP stage is a fair reflection of the final check, the only difference being the more thorough additional checks such as the 'Hunter Report' to spot potential fraud etc.

If your partner isn't on the mortgage, then it's unlikely to have a huge impact unless it's joint credit commitments that he has defaulted on as this automatically impacts you as well.

Provided that joint current account has been maintained in a timely manner, it's unlikely that you will have any major hurdles regarding credit score if you've already passed the initial one.

Thanks again -

We dont have any joint credit commitments, just the HSBC current account which we only add bill funds into and is kept in a timely manner. I wonder if you could tell me what it means when there's a "mortgage quotation" reason for a lender accessing your credit report? I checked mine this morning and RBS and halifax have accessed the report, one quotes that this is for a mortgage quotation reason and the other is just a generic check.

Thanks

Mortgage_Mark_2

You'll probably see three by the time you get a mortgage offer, one showing as a 'generic identity check' from Bank of Scotland (Not RBS, Bank of Scotland - if it's RBS then it's not Halifax), and two 'mortgage quotation' searches by Halifax. Nothing to worry about.