Mortgage Offer Received - Car Insurance due

MrsDay83

Hi, new to forums. We are in the process of moving and received our mortgage offer on Friday. Our car insurance renewal is due this week, but our mortgage advisor has put in their offer email the following:
"I must also state that we have informed you that making any future changes to your credit profile before completion could affect your mortgage offer. This includes but is not limited to opening a bank account, taking out a credit card, applying for personal loans, obtaining online insurance quotes and not maintaining payments on current credit commitments."

Is this true?? Or is it to make you take out the buildings and contents insurance through them rather than finding our own?

amnblog

Credit searches have become a feature of insurance quotations in recent years. We frequently see multiple searches on the files from comparison websites.

I would not expect such a set of searches to compromise your offer unless you were very marginal but avoiding such searches is the safe approach.

You could just renew with your current provider, but argue with them first to get down the inflated renewal figure they are sure to give you.

anniecave

If you do want to search for car insurance online, you could use "dummy" details to get an idea of which providers would give the best option, then go directly to your chosen provider. Do you currently pay monthly for the car insurance?

I would also consider the fact that the new property could be a completely different premium to the old property. You could consider getting quotes at both postcodes from any potential providers.

Richard_Pia

Nothing to worry about I would say. In over 10 years of advising on mortgages I've never known for a car insurance search to cause a mortgage offer to be withdrawn. The only thing a lender could be concerned about is if the new premium is significantly more expensive, as this could impact affordability. Even then it is unlikely they would make any enquiries into this.