Switching current accounts ... Mortgage approval impact?

Kreacher

Hi,

I switched my main barclays current account (that I had held for a long time) to FD last year (I didn't know that switching an account I'd had for a long time was a bad thing )

I then switched 2 other accounts I held to TSB and Halifax to get the cashback/ interest and switching rewards earlier this year.

Seen as I've already done the damage by switching my main long-held barclays account am I ok to do some more switches/ open more current accounts? We are currently saving really hard for a deposit and hope to be in a position to buy at some point in 2018, so I don't want to do anything that may jeopardise our chances of getting a mortgage.

My current thoughts are to switch Halifax to M&S for the vouchers. Then open an additional tesco current account to put my FD regular saver money in when that matures in December.

Does that sound ok? Will switching lots affect anything in the long term?

Thanks,
K

badger09

Its a pity you switched your longest standing account as mortgage lenders like to see stability, and a long held account illustrates that.

However, if you keep the FD account, it will be 2 (or 3?) years old by the time you apply for your mortgage, so that shouldn't present any problems.

I wouldn't worry about doing more switches now, as long as you don't apply for any overdrafts on the new ones. I would also stop applying for new accounts in the 6 months before your mortgage application.

Kreacher

badger09 wrote: »

Its a pity you switched your longest standing account as mortgage lenders like to see stability, and a long held account illustrates that.

However, if you keep the FD account, it will be 2 (or 3?) years old by the time you apply for your mortgage, so that shouldn't present any problems.

I wouldn't worry about doing more switches now, as long as you don't apply for any overdrafts on the new ones. I would also stop applying for new accounts in the 6 months before your mortgage application.

Thanks very much for replying. I know, it's annoying about the Barclays switch but I didn't know at the time. Yes, the FD will be at least 2.5 years old so hopefully that will be ok.

Thanks for the info regarding not doing any switches for the 6 months prior to a mortgage application!