Stressed would be mortgage application

Dinkyd08

Hi,
I’m new to this, but wondered if someone can help me.
I have a loan which I pay £406 a month but have a year left on it, 2 credit cards which equate to £14,000, and my overdraft of £1900 which I am in every month and normally upto.
My financial advisor recommended I apply for a 0% credit card, so I checked my eligibility on Momey Expert, I’ve since applied for HSBC and the request is pending, I’ve since asked they not go any further as I’ve noticed that already my Experian Credit Score has now gone from good (score 919) and gone into fair with 873 out of a possible 999. I’m now really worried that myself and partner (who’s good with money!) won’t be able to get a mortgage - he has £75k to put down as a deposit.
My financial advisor said applying wouldn’t effect my credit score but it has. Can anyone help me? I’ve not spoken to my partner about it as I’m really worried. Thank you

[Deleted User]

Don't worry.

The credit score is a pretend number. It's not a reflection of your credit worthiness or seen or used by anyone.

You're not any higher risk than you were last week.

Dinkyd08

I’m new to mortgage applications- even with the debt that I have, would I still be eligible for a mortgage?

[Deleted User]

It will come down to affordability. So that means looking at your income, as well as your debts.

Pixie5740

Dinkyd08 wrote: »

Hi,
I’m new to this, but wondered if someone can help me.
I have a loan which I pay £406 a month but have a year left on it, 2 credit cards which equate to £14,000, and my overdraft of £1900 which I am in every month and normally upto.
My financial advisor recommended I apply for a 0% credit card, so I checked my eligibility on Momey Expert, I’ve since applied for HSBC and the request is pending, I’ve since asked they not go any further as I’ve noticed that already my Experian Credit Score has now gone from good (score 919) and gone into fair with 873 out of a possible 999. I’m now really worried that myself and partner (who’s good with money!) won’t be able to get a mortgage - he has £75k to put down as a deposit.
My financial advisor said applying wouldn’t effect my credit score but it has. Can anyone help me? I’ve not spoken to my partner about it as I’m really worried. Thank you

Will you be applying to Experian for a mortgage?

loonywitch

My score went down when the put or mortgage application through but the following month it returned to what it was previously (also Experian).

From reading many threads about it, the score means very little anyway and it’s all about your income and outgoings

rijack

From personal experience of going through this - IGNORE THE NUMBER.
My number is fairly low on credit scores (noddle is 1/5, experian is about 500), yet i make all my payments on time, sometimes are overpayed etc.. despite my "low scores", i have passed the credit check stage of a mortgage application and it is currently being processed, additional evidence has been supplied etc.

From what i found.. trust your broker.. this is their bread and butter. If you go to a broker and they say "dinkyd08, dont apply yet as i've spotted x, y and z" - then maybe dont apply just yet.

macman

Dinkyd08 wrote: »

I’m new to mortgage applications- even with the debt that I have, would I still be eligible for a mortgage?

It doesn't matter what your debt is. What matters is your ability to service the date, i.e your income.
The score doesn't matter, since no one else sees it, and it's baffling that your financial adviser didn't point this out.

G_M

You(jointly) have £75K in savings.


Pay off the debt, credit cards and overdraft.

Candyapple

Dinkyd08 wrote: »

My financial advisor recommended I apply for a 0% credit card, so I checked my eligibility on Momey Expert, I’ve since applied for HSBC and the request is pending

You shouldn't be applying for any credit in the 6 months leading up to a mortgage application. Still the damage has been done so all you can do now is wait to see if you get the HSBC card. Lose the advisor, they are clearly rubbish at their job.

1. What is the total outstanding balance of your loan?

2. You've already mentioned 2 cards with a total of £14k debt - any others?

3. Any other overdrafts apart from the £1.9k?

4. Does your partner have any loans/credit cards/overdrafts ?

5. Are you putting any deposit down?

6. What is the value of the house you will be buying?

kingstreet

Dinkyd08 wrote: »

I’ve since applied for HSBC and the request is pending, I’ve since asked they not go any further

Pointless as the search has already been done and it can't be reversed because you have changed your mind.

My financial advisor recommended I apply for a 0% credit card

Interesting. I've never done that in thirty-five years in the job.