Am I damaging my credit score?

stejones44

Hi

I currently have a credit score of 996 on the credit club report but my affordability is low. The reason is I have my savings in my current account feeding 2 savers and my H2B ISA. I also have my wage and DD going in/out of this account, on paper looks like I'm spending all my wages when in reality I'm not.

In a nutshell is this damaging my affordability? Only asking as looking to apply for a mortgage this year.

Thank you:beer:

Chappaz

The credit club has no way of knowing that you move your wages into savings and ISAs. All they have to go on is what you entered when you signed up (annual pre-tax income, additional household income and monthly mortgage/rent). They just base the affordability off those.

The files held by credit agencies don't know about any of this either. They don't keep any record of your salary or direct debits. All they know is what lenders provide to them in terms of information. They know how much you spend on credit every month, but that's about it.

Your affordability rating, for what it's worth, probably doesn't have anything to do with your savings accounts or ISAs.

DCFC79

stejones44 wrote: »

Hi

I currently have a credit score of 996 on the credit club report but my affordability is low. The reason is I have my savings in my current account feeding 2 savers and my H2B ISA. I also have my wage and DD going in/out of this account, on paper looks like I'm spending all my wages when in reality I'm not.

In a nutshell is this damaging my affordability? Only asking as looking to apply for a mortgage this year.

Thank you:beer:

Your score albeit so good isnt seen by anyone but you, the history is what lenders see and can decline if you dont fit the profile.

Theres 2 other agencies that lenders use and who will rate you differently.

stejones44

Okay, thank you for the quick response. My wages aren't great as I'm still on my apprenticeship so that my be something.
Thank you both

sourcrates

The only information recorded on your credit file is how you conduct your financial affairs.

If you have late payments, defaults, any type of insolvency or county court judgements.

Or are financially associated with anyone else.

Any fraud markers or not.

Nothing else is recorded.