Credit search affecting remortgage

Warpa

My credit score is 760, using Equifax all is good apart from the following red !!

• 
  

  You’ve got three or more active loans registered to your current address. This is having a negative impact on your score.

• 

  You've withdrawn 3 or more cash advances on your credit card(s) in the last three months. Click here to see why cash advances have a negative impact on your score.

Is there a way to tell which of these is stopping the high street lenders from giving me a remortgage? Should I consolidate the credit cards, or pay off one of the loans as its only got £79 left. How long does it take to reset the credit score so I could go back to a lender?

[Deleted User]

Ignore the score. It has no bearing on your ability to get credit.

The existing loans will impact your affordability.  By how much, depends on the amounts and the lender you choose. Aim to get those cleared, especially if if interest bearing.

Don't take cash out on your credit cards. It tells lenders you have no disposable income at all. Use your debit card or go without.

Sncjw

You will still have the loan effectively and also will add another loan to your account as consolodstion doesn't get rid of the loans it just adds another loan. 

Thrugelmir

Is the purpose of the remortgage to release equity from the property? 

Warpa

Thrugelmir said:

Is the purpose of the remortgage to release equity from the property? 

Yes and no. I have a One Account mortgage where you were to pay the interest plus extra. The money stays in your account, so if hard times come along you can withdraw from it.
I have 124k left to pay, 7k on credit cards and small loans, and an 8k car loan. House is worth around 300k and I officially have 13 years left before retirement.

A mortgage advisor recommended consolidating the cards and loans as that would save a substantial monthly payment, BUT while I have the cards and loans the mortgage lenders won't accept me. Its starting to make me ill now. Money has always been a fear since falling on hard times back in the last recession.

MattMattMattUK

Warpa said:

Thrugelmir said:

Is the purpose of the remortgage to release equity from the property? 

Yes and no. I have a One Account mortgage where you were to pay the interest plus extra. The money stays in your account, so if hard times come along you can withdraw from it.
I have 124k left to pay, 7k on credit cards and small loans, and an 8k car loan. House is worth around 300k and I officially have 13 years left before retirement.

A mortgage advisor recommended consolidating the cards and loans as that would save a substantial monthly payment, BUT while I have the cards and loans the mortgage lenders won't accept me. Its starting to make me ill now. Money has always been a fear since falling on hard times back in the last recession.

Mortgage lenders absolutely hate equity release for debt consolidation, if you told them debt consolidation was the reason many will automatically decline you, which is why many people have a "new kitchen" or similar. 

When you look at 13 years until retirement and £140-150k of debt to clear in that time, is that realistic from both a personal perspective and that of a mortgage lender? Are you employed or self employed? Do you earn enough and meet the lending and affordability criteria for £150k of lending?

You also say you spoke to a "mortgage advisor", was this someone a the bank, a random person, or was this an independent broker?

anotheruser

Deleted_User said:

Ignore the score. It has no bearing on your ability to get credit.

Or, don't ignore the score... but use it as a guide.
Someone with a credit score of 10 is much less likely to get credit than someone with a credit score of 900.

Just like the "don't pay private parking firms" marketing, MSE has not particularly explained [the ignore the credit score] well at all.

[Deleted User]

anotheruser said:

Deleted_User said:

Ignore the score. It has no bearing on your ability to get credit.

Or, don't ignore the score... but use it as a guide.
Someone with a credit score of 10 is much less likely to get credit than someone with a credit score of 900.

Just like the "don't pay private parking firms" marketing, MSE has not particularly explained [the ignore the credit score] well at all.

The "score" isn't a guide in the slightest. A bankrupt will start with a score of 999 and has no chance of getting credit vs say someone with a "score" of 500. It is a gimmick, pure and simple, it is not an indication of credit worthiness and cannot be used as a guide of any kind

MEM62

MattMattMattUK said:

You also say you spoke to a "mortgage advisor", was this someone a the bank, a random person, or was this an independent broker?

Based on the fact that the "advisor" was suggesting tuning the unsecured debt into one secured against the OP's house with the risk that entails - the OP should terminate any arrangement that he has with this person as fast as he can.