Top Tips from Money Sense Matters
Pioneer Mutual Team
Pioneer Mutual have entered into partnership with MoneySense Matters to offer our members complimentary mortgage advice. Just one of the many great benefits to being a member.
Many people want to own their own home at some stage in their life, but there are many stumbling blocks to achieving this ambition. MoneySense Matters give their top 10 tips on how to avoid them:
- Like most things financial, mortgage approvals are based on your credit score. A credit score is a history of your financial activity and your behaviour, what financial transactions you have or have had and how you have and how well you have maintained the respective payments.
A good credit score is based on good behaviour:
- No arrears on personal loons
- No missed payments on utility bills
- No missed credit card payments
- No unauthorised overdrafts
- Utility and mobile bills paid on time
- A great and simple way to ensure you don’t fall into arrears on any of your bills, is to set up direct debits or standing orders.
- If you have a credit card set up a direct debit for the minimum amount, which ensure you won’t miss a payment, as it so easy to lose track of time and mis the payment date. You can always call later in the month and pay more to your balance to help pay of the balance quicker.
- Being on the voter’s roll is not only important from democratic process but also counts positively towards your credit score.
- Avoid gambling, as betting transactions on your bank statements as lenders deem this behaviour as high risk.
- Check your credit score regularly and the details held on file, there are now lots of free Credit Score firms, including Experian, Noddle, Clearscore. Your Credit Score not only gives a good indication of whether your maybe approved for credit, but also a way to spot identity fraud.
- If you are self-employed confirmation of your tax paid to HMRC will be required
- If you have become bankrupt or entered into a Trust Deed, it may still be possible to obtain a mortgage, but your choice of lender will be limited.
- A minimum deposit of 5% of the sale price will be required, but a larger the deposit will permit you access to lower interest rates.
- When you start thinking about buying a home, talk to the experts and set a realistic and affordable budget.
Your savings with Pioneer Mutual Credit Union can help you achieve your dream of owning your home as these can form part or all of your deposit, haven’t started saving yet it’s never too late or early. Pioneer Mutual have partnered with Money Sense Matters a mortgage broker who is experienced in dealing with Credit Union members. They have experienced mortgage advisers who are familiar with the mortgage market and will be able to guide through the process with ease.
Pioneer Mutual are here to help with the big things and little things in life, join today and start saving for your dream.