credit record from uk to nz

normasizzaz · Posted: Thu Jul 22, 2004 12:21 am Post subject: credit record from uk to nz

Hi all,
does anyone know whether your credit record goes against you in new zealand if you have a ccj in the uk? We are hoping to move to nz later this year and want a fresh start financially. Obviously we are paying off any debt before we leave the uk, but it would be nice to know we can get a mortgage at a normal rate like anyone else rather than the bumped up rate we are paying over here just for having financial problems 10 years ago Sad

Thanks in advance

justin.g.s · Posted: Thu Jul 22, 2004 8:15 am Post subject:

Anyone know what the fico score equivalant system in N.Z. I would like to get a leg up to get a better understanding of how the lending system works in N.Z

I am a mortgage broker here, so I know all the lending gimmicks that people pracitce while, "giving the best rates possible."

karltsmith · Posted: Thu Jul 22, 2004 12:48 pm Post subject:

Hi Normasizzaz, Welcome to the forum...you'll find one or two Brummies knocking around here!

I'm from Great Barr....know it?

To answer from my personal experience only we had no problem opening a line of credit without any bank refs or credit card refs! It never even came up in conversation apart from me offering refs and them (ASB) declining.....which suprised me.

I think it depends where you go in terms of banks. Similarly we have been authorised to lend up to $250000 on a single income (my wifes, who has never had her name on a mortgage)..again no refs requested....no even from an employer...even more suprising!

I'm not any kind of expert in these matters but a lot of info. would drop out from the application forms which you might find online!

Regards Karl Nice One

normasizzaz · Posted: Fri Jul 23, 2004 2:39 am Post subject: credit refs

Hi Karl,

Phew that's a relief, only it would be a shame to get all the way over there and end up in the same boat as we are in over here. We had to get a special mortgage at a rate of 8.1% (mostly they are on around 5% if you have a good rating) and my barclaycard has a lovely rate of 24.9%. Even once the bad debt is paid off, they penalise you for another 6 years, so this is by far the best option for us.

Yes I do know Great Barr, we are in Lea Marston, near the Belfry golf course. (hopefully not for long though...)

Am submitting my EOI tomorrow, hoping to be picked on 4th August because we've only got 120 points. Did it take you long?

Thanks for the info, much appreciated.

Laura

justin.g.s · Posted: Fri Jul 23, 2004 6:57 am Post subject:

A follow up to my question. In the states I can offer a client a number of different loan programs

A buyer can be approved for say$250,000.

But I could offer them a 15 year loan or a 30 years loan.

Additionally the 30 yean loan could be fixed at a rate for 2,3,5,7,10 or all 30 years.

Each comes at a different interest rate. Currently banks are pushing loans that are fixed for two years and then becoming adjustable there after.

Lenders also give better interest rates for those with higher credit scores. I am not sure if the NZ operates likewise.

Anyone with some experience in this matter would be great to hear from.
Getting the best deal on you mortgage can have huge financial implications down the road.

for example a 250,000 loan at 8.0% will run you $1827.00 a month with out taxes or insurance.

That same loan at 7.25% will run you $1695.00 a month.

A differece of $47,520.00 over the coarse of the loan.

In general what fees do they charge to get the loan. In the states it is legal to add on numerous fees for processing the loan. Many people, trusting there Loan consultant pay upwards of $6000.

I once had a client whose previous consultant charged over $15,000 in fees alone. She was uniformed and was completely ripped off.

Any comments would be great.