Early Decision in Principle

Anetka

Hi,
I have contacted a few mortgage brokers to compare information before I choose who I use in the end. One of them has asked me for further information so he can produce a decision in principle. I never followed up or sent any information as I wasn't planning on using them but they sent me a decision in principle today.

Will that affect my credit score when I get a DIP from another broker now?

What are your general thoughts on him sending it this quickly as I was surprised he did it without all documents.

Thanks

kingstreet

Only if a lender using a hard search was used.

Some brokers (L&C for instance) issue a certificate when all they've done is an affordability check.

Most of use lenders with soft searches for this stage.

MalMonroe

Hi, your credit score is never seen by anyone but you.  It's only your credit report/history that lenders see.

DIPs don't appear on your credit report.

My thoughts are that this mortgage broker wants your business. He sounds keen and if it were me, I'd be thinking about transferring him to my list of 'brokers to consider' because he's being pro-active. Not doing anything wrong, just wanting you to use his services. (The saying 'keen as mustard' just popped into my head!)

Good luck with your mortgage search.   

kingstreet

MalMonroe said:

Hi, your credit score is never seen by anyone but you.  It's only your credit report/history that lenders see.

DIPs don't appear on your credit report.

My thoughts are that this mortgage broker wants your business. He sounds keen and if it were me, I'd be thinking about transferring him to my list of 'brokers to consider' because he's being pro-active. Not doing anything wrong, just wanting you to use his services. (The saying 'keen as mustard' just popped into my head!)

Good luck with your mortgage search.   

A hard search (eg done with Barclays by a broker) would appear on credit history.

JMA74

MalMonroe said:

Hi, your credit score is never seen by anyone but you.  It's only your credit report/history that lenders see.

DIPs don't appear on your credit report.

My thoughts are that this mortgage broker wants your business. He sounds keen and if it were me, I'd be thinking about transferring him to my list of 'brokers to consider' because he's being pro-active. Not doing anything wrong, just wanting you to use his services. (The saying 'keen as mustard' just popped into my head!)

Good luck with your mortgage search.   

I really hope its just an affordability check thats been done and sent on headed paper.  

The alternative is that they took details verbally and then without any documents to prove identify or income have approached a lender without the clients permission and transferred information to a 3rd party thereby breaching basic gdpr

Either way i wouldnt say they have done 'nothing wrong'.  They have transacted on the clients file without permission to do so.  

TheJP

MalMonroe said:

Hi, your credit score is never seen by anyone but you.  It's only your credit report/history that lenders see.

DIPs don't appear on your credit report.

My thoughts are that this mortgage broker wants your business. He sounds keen and if it were me, I'd be thinking about transferring him to my list of 'brokers to consider' because he's being pro-active. Not doing anything wrong, just wanting you to use his services. (The saying 'keen as mustard' just popped into my head!)

Good luck with your mortgage search.   

Virgin Money do a hard search at DIP stage so that would show up on the report.