Credit Check Help

Steve_KCS

Hi all, 
New to the Forum and looking for some advice. My wife and I are in the process (once restrictions lifted) of applying for a mortgage.
We are both clean with our credit scores but they are not as high as they could be on clearscore (Equifax).
The reason for this is we live in Edinburgh in a tenement flat and there is an issue with Equifax not recognising ourselves on the Electoral Register even though we have been registered at this address presiously. We both have proof from the council that we are on the electoral register and have shared this with Equifax. They just seem extremely slow making in making any king of updates and want to re confirm with the council which I've been told can take 17 working days!

We've also been paying back a loan within the last month (around 12k) and this is now clear but still shows on the latest credit report.

My main question is when a lender does a credit search (hard search mortgage app) does that show the real time position I. E. Loan balance at Zero or does it generate the latest ClearScore credit reporting showing the balance still remains?
If anyone also has any advice dealing with Equifax and updating Electoral Register details I'm all ears!
Thanks in advance 

[Deleted User]

Your pretend credit scores from any of the CRAs are of no relevance. They're not seen or used by anyone apart from you.

Lenders will only look at the data on your files. They see real time, but it depends on the reporting cycle of the lender.

[Deleted User]

When a lender does a search, it'll show the latest (live) information, not what clearscore says.

Although, if you have the Clearscore app, they seem to update that in real time (or relatively quickly anyway in my experience) - but your 'score'/report won't change on it until the next monthly update. There's a note to that effect when you click into 'next report' and then the relevant change (Lender will see live version, you won't)

If you want to be sure as to what your live report shows, go onto Equifax direct and order the statutory report only (NOT the 30 day free trial) - this will give you a free update each day, so you can check for updates.

Are you showing on the electoral roll at any 'linked addresses'? We see that a lot with Scottish places, so then it should be factored into your score (does depend on lender and how their systems are setup though)

Also, have you checked Experian? They seem better for unusual addresses. If you're showing on Experian with no issues, you might want to apply to an Experian lender (although lenders reserve the right to search anyone, so you can never guarantee it's only Experian that would be searched). If you've got a broker they'll know who searches who.

RE: Equifax Electoral Data, I'm not sure what the process would be if you failed a credit score and thought it was because of that - potentially you could appeal with proof (e.g. council letter), as you always legally have the right to appeal a credit score decline - but process and ease of doing it would vary by lender, and that may not be the only reason you fail the score (if you do fail).

Steve_KCS

Deleted_User said:

Your pretend credit scores from any of the CRAs are of no relevance. They're not seen or used by anyone apart from you.

Lenders will only look at the data on your files. They see real time, but it depends on the reporting cycle of the lender.

Thanks. 
So it can't be real time if the lenders reporting period is 8th April and paid of the loan on 10th April and apply for the mortgage on 15th (as example).
In this scenario it would show to the mortgage provider that there is a 12k loan balance? 

[Deleted User]

Steve_KCS said:

Deleted_User said:

Your pretend credit scores from any of the CRAs are of no relevance. They're not seen or used by anyone apart from you.

Lenders will only look at the data on your files. They see real time, but it depends on the reporting cycle of the lender.

Thanks. 
So it can't be real time if the lenders reporting period is 8th April and paid of the loan on 10th April and apply for the mortgage on 15th (as example).
In this scenario it would show to the mortgage provider that there is a 12k loan balance? 

Yes. But you can always mark it as "to be repaid" by completion when making your application, that means it shouldn't be deducted (at most lenders). If the lender has concerns with the credibility of this repayment, they'll just query it (and then you'll send proof proving it's been paid). So it shouldn't really affect you if you apply with or without it showing settled. It may make a minimal effect to your internal credit score (with the lender) - e.g. the level of debt outstanding is higher than is really the case, but unless you're a really borderline case then I'd just apply now (if that's your intention to get moving).

If last update was 8th April, next update likely to be 8th May, so you'd need to apply on/after 8th May if you wanted it to show zero. Give or take a few days for data quality checks etc.

Lenders don't always report on the same day though, some are very delayed/ad-hoc (e.g. PayPal report on any random day of the month for me).