Credit scoring

[LoraLoo]

Just wondering if anyone knew which would most go in our favour?
Currently our credit score is 4.5/5 on noodle, and 'Good' on experian.

The only thing we have on finance is the car which is paid weekly. We have less than £2000 owing.

I also have a Next account and I think I owe £800 and my limit is £5000.

The payments on these are always made on time and I always pay more than the minimum on my Next.

Hubby keeps mentioning just paying the car off with our savings. We're hoping to change mortgage companies soon. Will paying the car off lower our credit score? I read compsnies like you to have a bit of credit/finance so they can see that tick each week when you've paid on time.

I'm also worried that if we decided to refinance and get a new car (which we probably won't just yet anyways) that this would also go against the mortgage.

Does anyone know for those couple of things? X

 

[BellaBoo0512]

Hi I don't know much about credit scoring but there is also a company called clear score and they are free.

I'm no expert but by the sounds of it I don't think you will have any problem getting a mortgage x

 

[Pearls18]

Having a car on finance shouldn't affect your credit score too much, it affects your affordability. We've just got a mortgage despite my credit score being only fair (no idea why I have never missed payments, no other debt but regularly pay car finance and credit card paid in full every month) and we also have 2 cars on finance, but we could afford what we applied for so it was no drama, I should add we also got a decent interest rate (2.34%)

Are you wanting a bigger mortgage? If so paying off any outstanding finance will improve your affordability, maybe use a credit card (pay it off in full) regularly if you want to be seen to successfully manage finance? Paying your car off early would look good.

I would hang fire on the refinancing of the car till you have the new mortgage.

These are just my thoughts though, I may be wrong.

 

[LoraLoo]

No were just wanting to switch to a mortgage company with a better rate so the balance would be the same.i think we're going to leave off refinancing a car, as you say, the mortgage is more important x

 

[Pearls18]

I really wouldn't worry then hun, I'm sure you'll be just fine, don't forget your mortgage repayments will show you are paying back reliably.x