Old Mobile Contract Affecting My Cerdit Score - Help!!

[09shaen]

Hello, I am in the early stages of selling my house and was hoping to port my mortage over to a new property. Abby (my mortage company) has refused a application in principle becuase of my credit score. I've done a check with experian and the only problem with it is a mobile phone that has had late 3 payments on it. I paid off the contract the beginning of this week and cleared the debt. I've contacted orange (who it was with) and they have put a note into their credit department, I've also done the same in the hope that they will be able to remove the final credit score on my report. Other than this is there anything else I can do? I pretty desperate to get this sorted, and fast, as i don't want to mess up the sale of my house or miss out on buying the house i would love to move to. Can anybody help please?

[boxtops]

You've done the right thing - I had a problem with a single late payment on a card (in error) but the card company soon rectified it on my credit record.

[09shaen]

Hi, how long did it take for them to change it on your credit report?

[boxtops]

That I'm not sure, it depends how quickly the phone company contact Experian.

[Buenchico]

I'm rather concerned that you might have misinterpreted Santander's reference to your credit score. They will have their own credit scoring system, separate to that operated by credit referencing agencies (such as Experian) .

As part of that system they will take into account factors far bigger than your current score with the likes of Experian. For example they'll look at the ratio of what you earn to what you're asking to borrow. Before the banking crisis it was not unusual for lenders to offer at least 6 times your gross annual earnings; these days they'll rarely lend much more than 3 times your earnings. Perhaps it's that ratio (under their own credit scoring scheme) which is at the heart of the problem?

Chris

[Buenchico]

A further thought:

Santander (which hasn't been 'Abbey' for the past 3 years) might be getting their information from a different credit reference agency. While the three main agencies share quite a lot of information, some things can show up on one company's reports which aren't on the others. You need to check your credit report with Equifax and CallCredit as well.

[09shaen]

Its not really a problem with my earnings as i'm down sizing and want to only transfer my mortage over to the new house, not increase it. I don't really want to pay off the mortage and go and find another as the one i've got is on a really good rate (2.3) and has a year left on it so i would have a early repayment penalty and a higher rate to pay with someone else. Has anyone else found problems with moving a mortage over to a new house?

[VHG]

You normally cant "move" a mortgage when moving house, you have to pay off the old one and take out a new one.

[ZedBloke]

Experian etc do not do credit scoring all they do is provide the raw data for a lender to do their own. Lenders have their own criteria which varies with financial climate and their own priorities. It would seem this lender is sensitive to late payments. To change this decision they would need to see evidence that your lateness with payements is not a normal occurrence, unfortunately as you have 3 examples I'd have thought they they would need to see on time payments for at least one year. Perhaps another lender would not be so strict.

[themas]

If you agree the payments were late, you cannot get them removed as they are factually correct. You can ask Experian to enter a notice of correction saying why the payments were late (if you have a convincing reason) & stating the debt has now been paid in full. However, if you can get Orange to act quickly to notify the full payment there may be little point in doing this.

The entries (including the late payments) will stay on your record for 6 years.