Nationwide dip expired had offer accepted

nmjams · 20 October 2016 at 10:37PM

My purchase fell through in the the early stages back in July and my Nationwide dip expired in September.
Today i had an offer accepted on another house, i have an appointment with a broker on Monday morning. Nationwide did a hard credit search in July, will that have a negative affect on my new mortgage application? I'm a bit worried tbh.

I've paid off my credit cards but i still have them active, should i cancel them before i make an application?

Niv · 21 October 2016 at 9:07AM

I do not believe holding credit cards with no debt on them has a negative impact.

HouseBuyer77 · 21 October 2016 at 10:09AM

I think credit cards with debt are only an issue if you're not paying them off in full every month (I put all my spending on credit card, so when my mortgage application went through I had a reasonable debt on it. This did not bother them as they could see from my bank statements I pay off in full every month and knew from my income that I could happily cover it).

Even then if you show you're making payments it won't mean you don't get a mortgage they just factor the repayments in the affordability calculations.

I'd be surprised if a single hard search from a while ago was a big problem. Especially if you tell them that was for a previous mortgage where the purchase full through (having been successful in the mortgage application).

They don't like lots of hard searches because it shows you may be trying to get hold of lots of credit and potentially failing to do so. Not a great sign.

GLM71093 · 21 October 2016 at 2:54PM

I shouldn't think credit cards would be an issue.
Also, Nationwide did a second DIP (after some problems with the house we was purchasing) for me and my partner a few months ago and they said it wouldn't have any affect on our credit searched etc due to the circumstance.
Maybe ask Nationwide as this may be the case for you too.

Hope all goes well!

sheff6107 · 21 October 2016 at 3:50PM

Shouldn't be an issue if you go through Nationwide again. Might be an issue with another lender.

nmjams · 23 October 2016 at 1:05PM

Thanks for that. i have an appointment with an independent Mortgage adviser tomorrow morning so i'll see where i should go from here

jojo9239 · 23 October 2016 at 1:48PM

Ours expired after we made our offer we were fine x

nmjams · 24 October 2016 at 7:47PM

Thanks again.
Met with the MA today, ended up going with Nationwide. I think the full application has been submitted as Nationwide have emailed stating they have received my application.
Nothing has been mentioned about a dip.
Being new to this and i don't really want to pester the MA at this early stage, what happens next and how long until i move onto the next stage?

nicmyles · 26 October 2016 at 11:18AM

My understanding is that having clear credit cards is actually a benefit to credit checks, as it shows you have a track record of repaying money on time.