Direct debits

Carl2510

Hello everyone,

I know that they warn you from getting any loans or credit cards before an application for a mortgage, but what about direct debits?

As my girlfriend doesn’t have any or a credit card to her name, my house is currently for sale and we will be wanting to purchase a new build. I don’t want her to get w credit card out so I was wondering her phone is in her mums name would it be risky to get just the direct debit in her name and not the actual contract.

Thanks.

Typhoon2000

With no credit history at all it may be tough for her to get a mortgage. Get a phone contract at least.

[Deleted User]

Carl2510 wrote: »

I don’t want her to get w credit card out so I was wondering her phone is in her mums name would it be risky to get just the direct debit in her name and not the actual contract.

Not risky, just counter productive. An impact of affordability with no benefit of showing she can manage credit.

See if she can get a credit card.-

Carl2510

She has bank accounts and is on the electoral register but yeah that’s pretty much it. She has a phone but it’s in her mums name is it worth just getting the direct debit to come out of her bank or get the phone contract fully into her name or is that to risky before applying obviously with my house for sale I’ve not a clue when it could sell could be months could be years so don’t want to risk any sort of credit incase it was a quicker sale than I thought.

Carl2510

She can get a credit card, just I’ve heard it’s not the best idea to get one within 6 months of applying for a mortgage and as soon as mines sold we would want to apply.

[Deleted User]

It's not a great idea if you already have established lines of credit, but it's good if you have nothing as she does.

She's left things late, so time to get a move on.

Carl2510

It’s a tough one really, get a credit card and hope we don’t get rejected cause she just got a credit card or don’t get a credit card and hope to not get rejected

[Deleted User]

It's not that tough. Go into a mortgage application with no evidence of ever having used any kind of credit, or get a few months under her belt to show she can make repayments and not default in the first month.

Carl2510

Will just transferring the phone contract not be a better solution? Or just the direct debit?

[Deleted User]

She'll need to take out a contract in her own name. Transferring the DD just lowers her affordability.

Carl2510

Ok thanks for the advice zx81

I will have a think and decide wether it’s worth the risk to get a credit card now as I don’t have a clue how long it could take to sell my house anyway. So we could not do it then it take 7 months and then be like well we could of got one out.