I would have thought from all of the information contained on this site it was reasonably obvious. But I'll add I have spoken to several brokers and banks when I refinanced my home loan within the last 3 years.
and not one of these persons that you spoke to actually approves loans. Nor would they speak to the persons that do, nor would they have any training in that regard (fossil bank managers come mortgage brokers excepted)
Every one of them stated categorically and unambiguously that how many cards you have applied for was a factor in whether a loan was granted or not.
Yet it wasn't a factor for you.
When I did eventually refinance with U Bank they were satisfied with my explanation about churning as to why I had a very large number of applications over the past few years
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which is *exactly* what I said the lender would do. I wonder how I knew that?
They didn't ask because they were looking for a reason to decline the loan, they asked because they want to approve the loan < Key point.
When making a loan decision the lender has to be seen to have lent responsibly. Any recent credit enquiry not revealed on the application form would always result in the lender asking 'why'? in case you left something out by accident, rarely is the answer required in writing because asking the question is enough to demonstrate the lender has acted responsibly.
Apart from that, they couldn't give a cough, because they wont lose money on a home loan deal. < not that they will ever admit that out of school.
So to make a blanket claim of 'If you want a home loan it wont make any difference how many credit cards you have applied for' is just not true. How many cards you have applied for IS a factor.
Its a fact that how many cards a person applied for is revealed but in the scale of things its not going to sway a decision one or another. Therefore this 'factor' remains irrelevant. Nobody ever gets declined for a home loan because of anything in the credit enquiry except for Undischarged Bankrupt, and Unpaid Loan defaults. Anything else that doesnt add up, or seems out of place will be a question back to the borrower.
Your credit score is a factor in determining whether you'll get approved for a loan.
this artificial credit score that is being created and marketed to the general public has no impact on home loans as its calculated on almost nothing thats actually relevant. The mass media and general public is totally misguided in this area, Lenders do their own assessments using the important factors, like serviceability.
I have indicated that the statement 'If you want a home loan it wont make any difference how many credit cards you have applied for' is wrong. In fact it is completely wrong and misguided. I stand by my earlier statement.
The proof of the pudding is in the eating.
Can I suggest that you speak to a bank or a mortgage broker for further information if you are thinking of applying for a loan.
No need, you have already proven that credit card chasing has no effect to the prospects of getting home loans.
