You’re thinking about buying a house. Do you need to apply for a mortgage? One of the areas taken into consideration during this process is your credit score. Now, does matched betting affect your credit rating? Do mortgage lenders look at the transactions between your bank and bookmaker accounts? And if so, will it count against you? This post will look at how to get a mortgage when you do matched betting.
How to get a mortgage
What is a mortgage?
A mortgage is a financial arrangement between a borrower and a mortgage lender. The borrower applies for a mortgage, or loan, in order to enable them to buy a house without having all the cash available upfront. For more information, check out this advice from Which?
What do mortgage lenders look for?
The main thing that mortgage lenders are concerned with, is your ability to repay the loan. They want to see evidence of regular income and good repayment skills. Therefore, regardless of your matched betting activities, if they don’t think you’re earning enough, your mortgage application could be declined.
In terms of the specific criteria for mortgage applications being granted, this varies from bank to bank. Mortgage advisors are becoming familiar with matched betting as it’s becoming quite mainstream. In addition to this, they generally look at the whole picture and use common sense rather than simply decline a mortgage altogether over some bookie transactions. Also, with matched betting, they’ll see money/profit coming in regularly.
As part of the mortgage application, you’ll usually be asked for:
- employment details including three months of payslips,
- and up to six months of bank statements.
Will having evidence of using an online bookmakers site – or multiple sites – affect your mortgage application or credit score?
Does matched betting affect credit score?
Many people think that having a bank statement with many bookmaker transactions will impact their credit score. It doesn’t. Not even in the slightest. What does impact your credit score is a bank loan. So make sure to avoid getting a bank loan that you would use to bankroll your matched betting. If you do ever take out a loan for another reason, always keep up with the repayment schedule.
Bookmakers do perform soft searches when you first open an account with them. These are conducted in order for them to verify your identity; they want to be sure that you are who you say you are. The bookies also want to know that you’re not planning on using their site to launder money.
How to get a mortgage when matched betting
Separate bank account
Whilst matched betting isn’t gambling, you do need to deposit (and withdraw) money from online bookmakers. And whilst matched betting is always growing in popularity, and therefore understanding, it can be misunderstood.
Therefore, it makes sense to keep your bookie transactions separate from your personal bank account. This isn’t about hiding anything. Instead, it shows that you’re responsible and organised. Both of which bode well for a mortgage application as it shows the lender that what’s come in is more than what you put out. You should never worry about telling your mortgage broker about matched betting. It’s important to disclose necessary information. Keeping your matched betting separate from your main account also makes it easier for you to keep track of your bankroll and profits.
However, if you’d rather not open a separate bank account, there are a couple of other options.
Take a break
Matched betting is something that fits around your routine. Which means that it can be put down and picked up again whenever you want. Therefore, you could choose to pause your matched betting activities whilst applying for a mortgage.
The second option is to use an e-wallet, such as Skrill. An e-wallet is a digital wallet which allows you to pay quickly using just an email address and password. However, please be aware that some bookmakers won’t accept payments from e-wallets, so make sure to check the individuals terms and conditions first.