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Ad drive wanted to boost poor FTB credit scores

Fitzgerald
Fitzgerald: ’Educational issue’

Mortgage experts are calling for the Government and the FSA to set up a national ad campaign to help first-time buyers increase their chances of getting a mortgage.

Last week, PMS executive chairman John Malone told Money Marketing that credit-score criteria punishes FTBs, who often do not have a credit card, change address regularly and fail to register on the electoral role.

Emba group sales and marketing director Mike Fitzgerald is calling on the Government, consumer bodies and the regulator to finance a campaign aimed at improving FTB credit scores.

He says: “Why isn’t there a very low-cost campaign run by a consumer association, the Government or the FSA? You do not have to bore people, just provide a few bullet points to explain how they can improve their credit score. It is an educational issue.”

Coreco director Andrew Montlake says: “It is surprising how many people do not know how to go about getting a mortgage. Any campaign to educate the public is good one.

“It should be something that the Government, the FSA and professional bodies are all working on to make sure the public are educated.”

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Comments

There are 2 comments at the moment, we would love to hear your opinion too.

  1. I am hoping to become a first time buyer shortly and all the things listed in this article are things I have been doing for well over a year in preparation.

    I didn’t particularly want a credit card but got one in order to build up my credit score.

    I disagree that an ad campaign is required, first time buyers simply need to plan earlier and realise that there are hoops that the bank want you to jump through before giving you a loan for such a large sum.

  2. Alternatively, don’t spend the money, keep it for something more important and persuade/force credit score companies to adopt a less stupid credit score model.

    Giving a better credit score obfuscates the main issue, that FTBs have to have a much larger deposit than pre credit crunch and better income multiples too. Had these issues been in place 5 years ago we may not be in as big a mess now.

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