Car Insurance after getting offer?

KLHughes

Hi,

I got my mortgage offer with precise (wasn’t an easy case with adverse credit etc) its a new build house and won’t be completed until around September/october. But both mine and my husbands car insurance is due for renewal july/august. We currently pay monthly and ideally want to continue to pay monthly as it will take a vey big chunk out the savings if we have to pay them both off outright but it will credit check us and technically be a new credit agreement.

The monthly amounts will be slightly lower but i’m scared it will flag something up to Precise and we will have to go through the whole mortgage process again (it was a long and stressful process 🙈) I’ve asked our current insurance providers if we can just continue with them but they have said they will still do a credit check. 

Ive asked my broker but she doesn’t know the answer, and I’ve rang Precise and they couldn’t give me an answer so I wondered if any body on here could advise me please.

Thanks in advance
x

ukri

I can see why you’re worried, but with all due respect if neither your broker nor Precise will tell you whether it will impact the offer or not, I doubt anyone on here will be able to give a more reliable answer.

If I was you, I would not risk anything that involved a hard check. But if cash flow dictates otherwise, what option do you have.

Emzlyz

I don't think car insurance is a hard check, just a soft one. It won't be a new expense so no impact on your outgoings. 

I'm not an expert but I don't think it's something to worry about.

Babybird85

You could look into car insurance providers like Cuvva they offer monthly car insurance subscription cover which is rolling monthly policies so there probably aren't credit checks and there's no interest compared to other monthly car insurance. 

Thrugelmir

Car insurance is a normal everyday expense. Don't start over thinking matters. 

Windofchange

Any chance a family member can pay it for you and you pay them back monthly? Failing that, do you need the cars or could one / both be sorned for a month or two until you’re over the line? Perhaps you could manage to afford one insurance outright but not both? Can you walk for a while or cycle? It’s a bit of a waste but could you use something like zipcar to rent a car by the hour for times that you absolutely must drive? How much of a must is it to have them on the road? Schools are on holiday if you have kids so they won’t need as much driving around and if you’re commuting there must be an alternative. 

I have no idea whether or not it will scupper your mortgage by the way - as others have said, if your broker or the lender themselves can’t tell you then nobody here can. What I would say though is that when getting the firm offer, did you not have to include monthly expenses? I know when we did ours through a mainstream lender we had to put down everything from petrol to council tax to average food bill etc etc. If so, surely the lender has already factored in that you pay xyz a month for car insurance, therefore you continuing to pay xyz albeit on a new monthly plan shouldn’t make any difference? 

JonMitchell

KLHughes said:

Hi,

I got my mortgage offer with precise (wasn’t an easy case with adverse credit etc) its a new build house and won’t be completed until around September/october. But both mine and my husbands car insurance is due for renewal july/august. We currently pay monthly and ideally want to continue to pay monthly as it will take a vey big chunk out the savings if we have to pay them both off outright but it will credit check us and technically be a new credit agreement.

The monthly amounts will be slightly lower but i’m scared it will flag something up to Precise and we will have to go through the whole mortgage process again (it was a long and stressful process 🙈) I’ve asked our current insurance providers if we can just continue with them but they have said they will still do a credit check. 

Ive asked my broker but she doesn’t know the answer, and I’ve rang Precise and they couldn’t give me an answer so I wondered if any body on here could advise me please.

Thanks in advance
x

Car insurance is a soft check, nothing of concern to be honest. Don't stress yourself out for nothing.

Unless you plan to have a car loan as well, then that is a different story.

lisyloo

JonMitchell said:

KLHughes said:l

Hi,

I got my mortgage offer with precise (wasn’t an easy case with adverse credit etc) its a new build house and won’t be completed until around September/october. But both mine and my husbands car insurance is due for renewal july/august. We currently pay monthly and ideally want to continue to pay monthly as it will take a vey big chunk out the savings if we have to pay them both off outright but it will credit check us and technically be a new credit agreement.

The monthly amounts will be slightly lower but i’m scared it will flag something up to Precise and we will have to go through the whole mortgage process again (it was a long and stressful process 🙈) I’ve asked our current insurance providers if we can just continue with them but they have said they will still do a credit check. 

Ive asked my broker but she doesn’t know the answer, and I’ve rang Precise and they couldn’t give me an answer so I wondered if any body on here could advise me please.

Thanks in advance
x

Car insurance is a soft check, nothing of concern to be honest. Don't stress yourself out for nothing.

Unless you plan to have a car loan as well, then that is a different story.

It’s a soft check if you are paying up front. If you are paying monthly then sometimes it’s a loan/credit.
Sometimes it’s not transparent to people because it’s just sold as paying monthly but it’s a credit agreement sometimes with a separate finance company.

JonMitchell

lisyloo said:

JonMitchell said:

KLHughes said:l

Hi,

I got my mortgage offer with precise (wasn’t an easy case with adverse credit etc) its a new build house and won’t be completed until around September/october. But both mine and my husbands car insurance is due for renewal july/august. We currently pay monthly and ideally want to continue to pay monthly as it will take a vey big chunk out the savings if we have to pay them both off outright but it will credit check us and technically be a new credit agreement.

The monthly amounts will be slightly lower but i’m scared it will flag something up to Precise and we will have to go through the whole mortgage process again (it was a long and stressful process 🙈) I’ve asked our current insurance providers if we can just continue with them but they have said they will still do a credit check. 

Ive asked my broker but she doesn’t know the answer, and I’ve rang Precise and they couldn’t give me an answer so I wondered if any body on here could advise me please.

Thanks in advance
x

Car insurance is a soft check, nothing of concern to be honest. Don't stress yourself out for nothing.

Unless you plan to have a car loan as well, then that is a different story.

It’s a soft check if you are paying up front. If you are paying monthly then sometimes it’s a loan/credit.
Sometimes it’s not transparent to people because it’s just sold as paying monthly but it’s a credit agreement sometimes with a separate finance company.

My error....OP please ignore my post, apologies. Been paying mine annually all these years, had took it for granted that its soft.