Credit checks from comparison sites - any issues?

random__2

I am arranging buildings insurance prior to moving house. Our mortgage application is in progress, we haven't exchanged yet.

On uswitch.com I read the following message:

To ensure our insurers and credit providers have the necessary facts to assess your insurance risk, verify your identity, to help prevent fraud and to provide you with their best premium and payment options, they may obtain information from third parties at quotation and renewal and in certain circumstances where policy amendments are requested. This information includes a quotation search from a credit referencing agency. This search will appear on your credit report and will be visible to other credit providers. It will be clear that this is a quotation rather than a credit application by you to pay by monthly instalments.

I've heard about the difference between soft and hard credit checks, but I don't know how it works exactly. Could this activity on my credit record adversely affect my mortgage application?

I realise I can't be the first person to use uswitch just before moving house, but I'd prefer to understand the issues before taking any unnecessary risks. My wife would kill me if I did anything to leopardise our dream home! :eek:

Malmo

Are you opting to pay for the insurance in installments? If so, this will result in a credit application and may be picked up as a factor by your lender. If you are paying in one go, then that's fine.

Ayslynne

I'm curious about this too - we had an app with bank today for them to give us their quote for buildings and contents insurance but I did a quote search on compare the market when I got home and can get it so much cheaper elsewhere but scared to progress with anything incase it does a hard credit search!

Our full mortgage offer has been issued and we are getting the keys next Friday so the bank told us the insurance needs to be in place before the mortgage starts.