I can't get a principle mortage agreement, who do I ask for help?

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Posted 16th Feb
Doing checks on how much I'm likely to borrow is higher then im inputting by far, both mine and my partners credit scores have nothing negative and never borrowed money or anything of the sort, never missed a payment, use my credit card something to build credit.
have no idea why I am getting turned down for them, am Baffled...

can I have an appointment with a bank who could possibly give me more of a reasoning? or will they ask me to go see a broker?
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brokers specialise in what hoops are needed to jump through to hit certain criteria and as they earn commission for referring you are more poised to assist you jumping those hoops.

If you put in what region you are in someone might comment on a broker they have used in that region they would recommend.

A appointment with a banks mortgage advisor (usually best your own as they then use their own internal scoring on you and taking with you a minimum 3 months pay slips for both of you) would go over how they score you and how much they would be prepared to lend you which is usually a good yard stick of the minimum you should be able to get elsewhere.
Find an Independent Mortgage Adviser in your local area that has access to the whole of the market. Make sure that they do not ask you for any payment fees and all their commission is paid by the mortgage lender.
A Bank will only advise you on their own products, you need a specialist to compare all the mortgages available to you out there.
The bigger the deposit you have, the easier it may be.
Edited by: "Toptrumpet" 16th Feb
As above, go to a proper broker, or try an online one like Trussle. And only ever do principle agreements with lenders who do soft searches.

" never borrowed money or anything"

You may find that's the issue. Ironically, it's far harder to borrow money if you've never done it. I'm in the process of buying my first house, I've had car finance agreements, and have a loan for my current car - and had no problem getting an AIP through most lenders I've tried (some are always going to refuse, if you don't meet their risk/profit criteria). Even if you have a perfect credit history - some lenders will refuse just because you're not the kind of client they're looking for (some are risk averse, some prefer higher risk/higher interest rate customers).

What's your current balance:limit ratio? Higher limits are actually a good thing, as they show lower utilisation (e.g. having monthly outgoings of £300 on a credit builder card with a £700 limit is worse for you than having outgoings of £500 with multiple cards with a combined £15k limit).

It's a minefield, I tried looking last year but gave up when things slumped due to Brexit. This time around, my broker actually said "oh I can see on here that you have an Amex charge card, that'll make it a bit easier" - apparently that's how ridiculous the things they take into account are!
bma144516/02/2020 13:43

As above, go to a proper broker, or try an online one like Trussle. And …As above, go to a proper broker, or try an online one like Trussle. And only ever do principle agreements with lenders who do soft searches." never borrowed money or anything"You may find that's the issue. Ironically, it's far harder to borrow money if you've never done it. I'm in the process of buying my first house, I've had car finance agreements, and have a loan for my current car - and had no problem getting an AIP through most lenders I've tried (some are always going to refuse, if you don't meet their risk/profit criteria). Even if you have a perfect credit history - some lenders will refuse just because you're not the kind of client they're looking for (some are risk averse, some prefer higher risk/higher interest rate customers).What's your current balance:limit ratio? Higher limits are actually a good thing, as they show lower utilisation (e.g. having monthly outgoings of £300 on a credit builder card with a £700 limit is worse for you than having outgoings of £500 with multiple cards with a combined £15k limit).It's a minefield, I tried looking last year but gave up when things slumped due to Brexit. This time around, my broker actually said "oh I can see on here that you have an Amex charge card, that'll make it a bit easier" - apparently that's how ridiculous the things they take into account are!


Hi thnaks for reply, rang my bank and asked, they said one of us have a default on our account and told us to get a full report, I just done mine expierance £15, and mine is squeeky clean, just waiting on my partners, if she don't have anything, i am going to have to ring up again
if i were you, i would get a mortgage agreed in principle from your own bank first of all as they will have all your financial details and records so if they turn you down, you are unlikely to get a mortgage with anyone else.

book an appointment with a mortgage advisor at your own bank then they will be able to discuss with you why you can't have a mortgage if they turn you down. at least this way you will get an understanding of where the problem lies so you can address it. if you struggle with getting a mortgage from a high street bank then a broker may be able to help but they will charge you a broker's fee.
Gumbon16/02/2020 13:51

Hi thnaks for reply, rang my bank and asked, they said one of us have a …Hi thnaks for reply, rang my bank and asked, they said one of us have a default on our account and told us to get a full report, I just done mine expierance £15, and mine is squeeky clean, just waiting on my partners, if she don't have anything, i am going to have to ring up again


Credit Karma no charge for permanent ongoing detailed access to your credit file creditkarma.co.uk/
Who turned you down?
AndyRoyd16/02/2020 14:14

Credit Karma no charge for permanent ongoing detailed access to your …Credit Karma no charge for permanent ongoing detailed access to your credit file https://www.creditkarma.co.uk/


Checked both nothing on there, they have reccomended ringing one of the checkers IE Experian and equifax and asking them if there is somehting wrong there end, both say ours is fine so something is broken
You need to check all 3 CRAs - TransUnion, Equifax and Experian. There are free ways to do each.
Gumbon16/02/2020 14:40

Checked both nothing on there, they have reccomended ringing one of the …Checked both nothing on there, they have reccomended ringing one of the checkers IE Experian and equifax and asking them if there is somehting wrong there end, both say ours is fine so something is broken


Because they’re the smallest and not a lot of companies use them. There are 3 main credit agencies. You can get the info you need for free. Use ClearScore (in my opinion the best) for equifax. They do an app so you can get your info straight away. You can also sign up to the money savings expert Experian scoring which also should show any defaults.

If you’re not slightly clued up about mortgages, personally I’d see a banks advisor. An ifa might try and fleece you if they can.

However, how much you can borrow very rarely depends on credit scoring. They will calculate this from yours and your partners income/outgoings.

If you can’t get anywhere with a bank, then see an ifa and they’ll look for (should do anyway) specifically mortgages that you’d be accepted for.
Edited by: "JoeyJoJoJunior" 16th Feb
'Doing checks on how much I'm likely to borrow is higher then im inputting by far'.

What do you mean by this? Do you mean if you input your income into the 'how many can I borrow' calculators you see a figure higher than you want to borrow and then if you actually progress through to the agreement-in-principle step they're declining you?

Do you have any committed outgoings, loans, etc? How long have you been in your job(s) and what would you loan-to-property-value be?

The last one can be a big factor if you have little history.
Edited by: "plebbygiraffe" 16th Feb
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