Do lenders do a final credit check before mortgage funds are released?

Eschatologist

We are set to move soon, our mortgage offer has been accepted (we have a very good LTV <  30%) and we are just now waiting to complete.

We are moving out of London and we need to buy a car. We have the cash to purchase one out right, however I would rather use a 0% purchase credit card so we can stooze and get the section 75 protections etc.

I was wondering if lenders normally do final credit checks before releasing the mortgage funds, if so would a new ~ £15000 credit record stop them releasing the funds? Is it worth stating our plans to them before we go ahead and buy the car?

Our lender is Nationwide.

[Deleted User]

Yes they do carry out checks at the final stages.
Get the car after the mortgage transactions and house move are behind you.

chanz4

why not pay the deposit on the credit card , pay off and pay the rest in cash then still covered

Eschatologist

chanz4 said:

why not pay the deposit on the credit card , pay off and pay the rest in cash then still covered

I want to stooze.

MWT

Eschatologist said:

I was wondering if lenders normally do final credit checks before releasing the mortgage funds, if so would a new ~ £15000 credit record stop them releasing the funds? Is it worth stating our plans to them before we go ahead and buy the car?

Our lender is Nationwide.

The reply is always going to be the same mantra... don't take on new credit until the funds are released and the purchase complete.

Your lender may or may not do a final check, they may or may not care about a new £15k CC balance, but why take the chance... ?

Nobody can tell you you are 100% safe, so do you feel lucky... ?

ACG

You have a few issues:
1) Affordability - is having a £15k credit card limit going to affect affordability? 
2) Credit "score" - Nationwide are a bit mean when it comes to maxing out credit. Eg, you might have 3 credit cards with £10k limits and £5k balances on each, they would typically deem that better than 1 credit card with a £15k limit and a £15k balance. 

Ultimately though, nobody can answer your question with any certainty. You could end up with a new card and a mortgage offer being pulled. Its a risk. How much of a risk is dependent on your individual circumstances. 

Brie

How close are you to completion?  If you used your card for the deposit and knew it would only be a couple of weeks then get the dealer to hang on to it for you.  And when complete do the card stooze.

Eschatologist

Thanks for the responses, I think we will just rent a van for a move etc and buy once we are in. Feels saver this way!