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Soft search and hard search mortgage

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Hello

ive just got a few questions about the difference between soft search and hard search for mortgages. 

I have an excellent affordability and excellent credit score with no debt. 

I’m looking for a 95% ltv mortgage 

I have got about 4-6 payday loans paid off all taken out at times when I’ve been made redundant etc all over 4 years ago.

I have applied with Lloyds and NatWest for a n AIP and they both passed me for what I asked for at 95% ltv which is about half of what they said I could afford in total.

NatWest interest was a lot more than llyods and I also bank with llyods so that seems the best option. 

So what I’m wanting to know is what a soft search AIP actually shows the bank…? I only seem to be getting vague answers surely somebody knows exactly what it shows then and if they can see the payday loans.

does a soft search AIP show the banks all my accounts including the old paid off payday loans? so at this point if the payday loans where going to be a problem I would guess it would decline my AIP.?

or is it only when they do the hard search they will see this information and then decline my main hard search mortgage? 

I am also worried if llyods are more strict with this info what are best banks for this kind of thing? 

Answers on a postcard 

hope your all well 

Comments

  • Mstty
    Mstty Posts: 4,209 Forumite
    1,000 Posts First Anniversary Photogenic Name Dropper
    Your best bet with any concerns on credit is to use a mortgage broker.

    That said payday loans taken over 4 years ago and paid back with no missed payments should not affect any application.
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