Remortgaging and switching energy supplier

Tomis000

Hi, hopefully an easy question for someone in the know. Martin Lewis often mentions not to apply for too many things at once which check your credit rating... i.e. multiple current accounts, credit cards or whatever. How does a remortgage and an energy switch stack up?

We are changing to a new mortgage deal after leaving a 5 year fix to a new mortgage lender. Also our 12 month fix for energy ends, so are looking to change supplier. Remortgage process has begun, should we hold off energy change? Or are they not detrimental in the same way as multiple financial checks are? Both of us have excellent credit histories.

Many thanks,
Tom.

[Deleted User]

They're fine. Utilities tend to be ID searches, which are different.

The fear of them tends to come from the fact that the made up credit scores go down whenever you do anything, but they can be ignored.

Tomis000

Ok, thanks very much.

tenchy

Deleted_User wrote: »

They're fine. Utilities tend to be ID searches, which are different.

The fear of them tends to come from the fact that the made up credit scores go down whenever you do anything, but they can be ignored.

Well, it is known for a fact that some suppliers, maybe most, carry out a hard check when you first sign up to them with a previously deemed contract or if you change to them. Foremost amongst these, and therefore the biggest problem companies, are Eon and British Gas. However, the question should be, if a utility company carries out a hard search, is it shown to other lenders specifically as a 'utility search'? I have asked this question before, but no one seems to know.


Incidentally, EDF don't carry out searches, so they are a safe company to move to for someone in the OP's situation. Otherwise, be careful at the moment.

Tomis000

I'm a cautious person, and may hold off on the energy switch as the risk of messing up the remortgage deal outweighs the £7 I'll save a month with the energy switch. The energy company I'm thinking of going to is Tonik, as found on the MSE energy club. I had read that some companies do hard searches and some soft, but I can't find out what Tonik does. I have emailed them, so maybe that will help inform me to.
Thanks.

Tomis000

Just thought I'd post this in case it helps people in the future - had an email back from Tonik saying they do not currently run credit checks, but they may do in the future.