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  • FIRST POST
    • laura103
    • By laura103 1st Jun 17, 8:06 PM
    • 3Posts
    • 0Thanks
    laura103
    No credit history... so been rejected for a mortgage???
    • #1
    • 1st Jun 17, 8:06 PM
    No credit history... so been rejected for a mortgage??? 1st Jun 17 at 8:06 PM
    Desperate for some advice


    We are first time buyers, got an idea what we could borrow, searched. Found a house, put an ffer in, got in touch with a broker sorted out a few bits with them and got a mortgage in principle with Santander. We than had an offer accepted.


    This is where is went wrong. Sent all the details to the broker for him to put in our application. Came back rejected because I have no credit history.


    My other half was fine, they accepted him but wouldnít accept me because I have no credit history. My credit score itself is good. But because Iíve never taken a loan out, credit cards etc they wonít accept me because they cant predict my future habits.


    Obviously this was shattering news. After Speaking to the broker he has tried with many more big lenders and some smaller lenders but they are all coming back saying the same thing. Iíve now had 2 credit checks done to check me out and have nothing from it.


    I have been told to put down a 15% deposit which is impossible, iíve asked if a guarantor can be used but have yet to have an answer. So far it looks like my only choice is to hang back for 12 months to build up my credit score. Unfortunately I donít really have 12 months to get it sorted.


    I was hoping someone out there has gone through this and has come out on the sunny side and know of anyone or anything we can do to get a lender to accept us for a mortgage.


    Thanks in advice.
    Laura
Page 1
    • ACG
    • By ACG 1st Jun 17, 8:31 PM
    • 16,110 Posts
    • 8,286 Thanks
    ACG
    • #2
    • 1st Jun 17, 8:31 PM
    • #2
    • 1st Jun 17, 8:31 PM
    Do you have a bank account?
    A mobile phone on contract?

    You do not need a major credit history, some lenders only need to see 1 line of credit (a bank account would satisfy this) in rder to be able to offer a Mortgage, you do not even need an overdraft.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
    • MK_
    • By MK_ 5th Jun 17, 9:32 AM
    • 23 Posts
    • 7 Thanks
    MK_
    • #3
    • 5th Jun 17, 9:32 AM
    • #3
    • 5th Jun 17, 9:32 AM
    Same thing happened to me when i first bought a house. No bad credit history at all, but no good credit history either. Mortgage broker kept showing me all these great deals, but the lenders wouldnt go through with it, and all I was left with was a handful of options with awful rates.

    Solution: get a credit card, use it for all your purchases over £50. Pay it off in full immediately every month. Pay anything you can on direct debit (mobile phone contract, etc).
    My rating boosted up and after a few months I was able to get better rates.
    • zx81
    • By zx81 5th Jun 17, 9:34 AM
    • 14,904 Posts
    • 15,728 Thanks
    zx81
    • #4
    • 5th Jun 17, 9:34 AM
    • #4
    • 5th Jun 17, 9:34 AM
    Solution: get a credit card, use it for all your purchases over £50.
    Originally posted by MK_
    And under, as well.
    • beckysheffield
    • By beckysheffield 8th Jan 18, 8:19 PM
    • 27 Posts
    • 1 Thanks
    beckysheffield
    • #5
    • 8th Jan 18, 8:19 PM
    • #5
    • 8th Jan 18, 8:19 PM
    I’m in a similar position. Been living overseas, came back, never had credit.
    • Lauralou79
    • By Lauralou79 9th Jan 18, 6:36 AM
    • 138 Posts
    • 108 Thanks
    Lauralou79
    • #6
    • 9th Jan 18, 6:36 AM
    • #6
    • 9th Jan 18, 6:36 AM
    My partner was the same he had no credit history of note, saved and bought everything outright. Including PAYG mobiles.
    This really worried me I had no debt but a good history of previous payments etc.
    I think what got us through was a high deposit so weren’t as much risk in LTV terms. Upping your deposit does seem to make a lot of difference to lenders. We also were buying well within our means and the mortgage we needed was only 2x our joint salaries.
    • charlie792
    • By charlie792 9th Jan 18, 6:37 AM
    • 1,649 Posts
    • 5,285 Thanks
    charlie792
    • #7
    • 9th Jan 18, 6:37 AM
    • #7
    • 9th Jan 18, 6:37 AM
    Do you have a bank account?
    A mobile phone on contract?

    You do not need a major credit history, some lenders only need to see 1 line of credit (a bank account would satisfy this) in rder to be able to offer a Mortgage, you do not even need an overdraft.
    Originally posted by ACG
    This ^^^^^

    We got a mortgage no issues and my partner had nothing whatsoever in his name apart from a personal and business bank account.
    • Edi81
    • By Edi81 9th Jan 18, 7:22 AM
    • 353 Posts
    • 225 Thanks
    Edi81
    • #8
    • 9th Jan 18, 7:22 AM
    • #8
    • 9th Jan 18, 7:22 AM
    Well your “score” means nothing then.
    Get a credit card, use it and pay off IN FULL EVEDY MONTH
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