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Credit Rating and Mortgage

(9 Posts)
CreditCrackers Sun 28-Jun-20 18:10:19

My husband and I are applying for a mortgage. I have never taken out any loans. Bills have all always been in my husband's name - water, electricity, gas, phones, wifi - everything. I have one credit card with a credit limit of £5300, which I use to pay for all our day-to-day expenses but it's always been paid off in full at the end of every month. I have an overdraft of £250 on my current account that I've never used and an overdraft of £300 on our joint account that we've also never used. I've never missed any kind of payment for anything. The only hard search ever done for my credit was for our mortgage application.
Despite this, my credit rating is 471. The online tracker says I'm doing everything right - I'm on the electoral roll, never use more than 20% of my credit limit at any time, never defaulted on anything, never missed payments, never made payments late, never only made part-payments...
I'm worried that having such a low credit score will impact our mortgage application but I have no idea what I'm doing wrong.
Does anyone else have this problem? How do I boost my credit rating?

OP’s posts: |
dontlikebeards Sun 28-Jun-20 18:13:36

It's because you are too good. You have never proved that you can handle credit. Leave a small balance on your credit card for a couple of months then pay it off, sounds crazy doesn't it!

Asdf12345 Sun 28-Jun-20 18:14:22

Forget about the online scores.

We found when applying for a mortgage under similar circumstances the bank (Santander) were more than happy to ignore anything their computer said and work with common sense.

killerofmen Sun 28-Jun-20 18:34:18

That's a standard profile for a first time buyer. If income multiples and LTV are fine, you shouldn't expect any issues. What about your husband? Have you seen his credit file?

GracieLouFreebushh Sun 28-Jun-20 18:36:56

Agree with the above, the mortgage lender will assess your credit history themselves - I would stay away from the online credit scores.

ShandlersWig Sun 28-Jun-20 18:41:20

I would get yourself on a couple of utility bills though. I think it helps the credit rating, and also when doing the conveyancing you'll need to provide 3 types of paperwork, one from list A and 2 from list B. Passport is in list A but B can start to get tricky without a utility to fall back on.

CreditCrackers Sun 28-Jun-20 18:43:01

Thanks everyone. I'll try to not worry about it as our LTV and multipliers are fine.
I'll be fine on the documentation front as I'm on the council tax and I get statements to our address for my bank account and credit card.

OP’s posts: |
Allmyarseandpeggymartin Sun 28-Jun-20 18:43:52

The mortgage provider won’t see your score - it’s a made up number. It sounds like you are doing all the right things. If you’re worried it might be worth seeing a whole of market broker.

Ontheboardwalk Sun 28-Jun-20 18:44:37

Agree with PPs the mortgage company will do their own affordability checks and assess your credit rating themselves

The only time your online credit rating would really make a difference is if there were a number of missed payments or any CCJs on your account

I reduced my credit card limit from 10k to 5k (no balance) next thing I was getting alerts saying to get my score higher I should get my credit card limit to over 15k. Made no sense to me what so ever

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