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AUD mortgage/HK bank question

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  1. #1

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    AUD mortgage/HK bank question

    Hi all im an expat from Australia.

    Today i discovered my bank back in Australia put an active default on my credit card even though full communication AND payment was made. And of course i thought the case was closed. This was back in 2018 and i only just discovered it today when I asked for a credit report just out of curiosity.

    now that I'm looking to get a mortgage in Australia and for the reason stated above, i dont think i stand much chance in getting a mortgage and a good enough rate if i applied through an Australian bank.

    So I'm thinking to get a mortgage through a bank in HK, my question is will my Australian credit report be ever looked at during the entire mortgage application process?

    I hope to hear from someone who knows about this or who has similar experience...

    Many thanks
    J


  2. #2

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    Hi J,

    For your case, I'm afraid even for a bank in Hong Kong, the credit report they retrieve would show the record you had in Australia. Actually it's a report that covers your credit status globally from TransUnion. Past negative records would only go after 5 years, as such the incident in 2018 is likely to be there.

    But I believe it's relatively a small incident and would not be fatal for your mortgage loan application. The bank may check with you of the facts and you would have the chance to explain.

    Hope it helps! Cheers

    traineeinvestor likes this.

  3. #3

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    Quote Originally Posted by vscl:
    For your case, I'm afraid even for a bank in Hong Kong, the credit report they retrieve would show the record you had in Australia. Actually it's a report that covers your credit status globally from TransUnion.
    I don't think this is correct. Australia allowing domestic PII to be sent abroad - no way. Apart from the fact that it would be nearly impossible to reconcile identities across jurisdictions.
    latex likes this.

  4. #4

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    Quote Originally Posted by er2:
    I don't think this is correct. Australia allowing domestic PII to be sent abroad - no way. Apart from the fact that it would be nearly impossible to reconcile identities across jurisdictions.
    I agree. In fact I wanted a mortgage in the US several years ago, and all 3 credit rating agencies listed by rating as "Insufficient data" as none of my HK credit cards, loans, bill payment history, etc. were available or considered. Made it very hard to get a mortgage.

  5. #5

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    Definitely a HK bank will not look at a credit report from Australia. I just took out a mortgage with Standard Chartered bank in Hong Kong last month (settled Aug 23rd) and they never want to see or hear anything from Australia. Now I am taking out another mortgage from Bankwest in Australia, finance was approved 2 days ago (Sept 17th) and settlement date in next 28 days. I have to get all the land transfer documents etc together and go to the Australian consulate next week to get everything witnesses and signed off (consulate charges HK$382 for one signature and I need about 10 signatures I think so there goes HK$5k down the toilet).


  6. #6

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    Quote Originally Posted by vscl:
    Hi J,

    For your case, I'm afraid even for a bank in Hong Kong, the credit report they retrieve would show the record you had in Australia. Actually it's a report that covers your credit status globally from TransUnion. Past negative records would only go after 5 years, as such the incident in 2018 is likely to be there.

    But I believe it's relatively a small incident and would not be fatal for your mortgage loan application. The bank may check with you of the facts and you would have the chance to explain.

    Hope it helps! Cheers
    Sorry but this is absolutely not true.

  7. #7

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    Quote Originally Posted by spode:
    I agree. In fact I wanted a mortgage in the US several years ago, and all 3 credit rating agencies listed by rating as "Insufficient data" as none of my HK credit cards, loans, bill payment history, etc. were available or considered. Made it very hard to get a mortgage.
    For me it makes it very easy to get a mortgage. I have mortgages in Malaysia, Australia, Hong Kong. Every country I apply to looks at my Hong Kong salary only and says its sufficient and then gives me a mortgage, without considering the fact that I already have a bunch of mortgages in other countries.
    chuckster007 and twelve98 like this.

  8. #8

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    Quote Originally Posted by bdw:
    For me it makes it very easy to get a mortgage. I have mortgages in Malaysia, Australia, Hong Kong. Every country I apply to looks at my Hong Kong salary only and says its sufficient and then gives me a mortgage, without considering the fact that I already have a bunch of mortgages in other countries.
    Good point on that. My Oz application was assessed purely on Oz assets, HK cash assets and discounted HK income. The bank didn't ask about potential mortgages in HK... though they did ask "what is this 'Standard Chartered' that claims to be a bank?"

    I don't think that the assessment process in Australia is particularly sophisticated.
    bdw likes this.

  9. #9

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    Quote Originally Posted by jgl:
    Good point on that. My Oz application was assessed purely on Oz assets, HK cash assets and discounted HK income. The bank didn't ask about potential mortgages in HK... though they did ask "what is this 'Standard Chartered' that claims to be a bank?"

    I don't think that the assessment process in Australia is particularly sophisticated.
    Ironic given that Standard Chartered is probably bigger than any Aussie bank.

  10. #10

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    Quote Originally Posted by Paxbritannia:
    Ironic given that Standard Chartered is probably bigger than any Aussie bank.
    It's not.

    The Australian banks are almost famously huge for their population base.

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