Not necessarily poor credit history but lack of credit history

Christina29

Hi there, 
so I’ve been reading lots on here and had some brilliant advice that credit scores are not really worth anything but in fact it’s you’re credit history that is the big factor in mortgage approval. 

My husband has a very good history of credit. He pays his CC in full every month, his utilisation of credit is at about 20-25% almost every month  and all bills and direct debits are paid. He has no loans or debts. 

I however don’t have much history. I do have a bank account, am registered to vote, have small direct debits such as monthly specsavers costs and subscriptions but nothing major. I have had a CC for a few months, however we misunderstood and thought paying large sums each month of credit would positively impact my history (has a £600 limit and we’ve been putting between £350 and £500 on it) it has been paid in full every time however my credit utilisation is now showing much higher than it seems lenders would like. 

The mortgage we are looking at would be the same amount each month than we are paying for private rent and cleaning up our finances a bit more we believe we would be able to pass the stress test comfortably. 

Do you think my lack of history would counter his strong history enough to be declined for a mortgage with a 5% deposit? 

(Sorry this is very long) 

Christina29

Btw I am so sorry if I have put this in the wrong category

MovingForwards

You missed off saying you've both previously been bankrupt, some lenders will never offer mortgages to ex-bankrupts as per their criteria.

A broker commented on your other thread:
https://forums.moneysavingexpert.com/discussion/6265996/husband-pays-all-bills-through-his-account#latest

ACG

You are probably over thinking it a little too much. 
Keep the balance on the credit cards down if you can before you apply, but if you are applying imminently then dont worry its unlikely to be a deal breaker. You have done as much as you can, you sound like the ideal customers really. 

Christina29

MovingForwards said:

You missed off saying you've both previously been bankrupt, some lenders will never offer mortgages to ex-bankrupts as per their criteria.

A broker commented on your other thread:
https://forums.moneysavingexpert.com/discussion/6265996/husband-pays-all-bills-through-his-account#latest

Yes I know this is an issue for some lenders but we have looked at those who won’t consider us so we are not even going to bother approaching them

ACG

Christina29 said:

MovingForwards said:

You missed off saying you've both previously been bankrupt, some lenders will never offer mortgages to ex-bankrupts as per their criteria.

A broker commented on your other thread:
https://forums.moneysavingexpert.com/discussion/6265996/husband-pays-all-bills-through-his-account#latest

Yes I know this is an issue for some lenders but we have looked at those who won’t consider us so we are not even going to bother approaching them

You cant leave off bankruptcy on a post like this. 
Leaving off lenders you owed money to is fine, but that only covers part of it. What about lenders linked (for example RBS/Natwest are the same company. They also run Mint/Shell and countless other credit cards. Also some lenders ask if you have EVER been bankrupt. 

Make sure you do your research thoroughly before applying as you do not want to be doing more credit checks than necessary at 95% with a bankruptcy in your past. 

Christina29

My apologies for not including it ( I do not take it lightly that it happened and would never intentionally leave it out) but i am doing a lot of research before we even approach a lender. And of course I am looking and asking for advice from lots of different places to reduce our risk of decline