FTB Mortgage Problems

pancreas

In desperate need of HELP!

Mortgage declined due to a poor credit score!

We NEED the house, what can we do?

PS. God help other FTB's if no mortgage on a 15% deposit!

Robert_Sterling_3

pancreas wrote: »

Due to the bursury payment, not many lenders will accept the student income. the one's that do accept 25 - 75% of it.

This "income" is itself a loan that is why it is not counted by some lenders.

herbiesjp

You say declined due to poor credit score

Is there anything on your credit history that is affecting your score?

Then again, it could be the score on the lenders system - have you gone direct to the lender or via a broker? Which lender?

The bursary will also cause you problems.

Best bet is talk to an adviser who will know who to place with, after getting your full details and finding out what you are looking for from the mortgage.

pancreas

credit score with Halifax came back the highest category to be accepted - except they won't accept the bursary.

using a broker & lender is C&G.

it appears the bursary is the problem. i wouldn't class it as a loan, it is a lump sum paid by a research council quarterly & topped up by a potential employer (and is more net than the other income!)

herbiesjp

pancreas wrote: »

credit score with Halifax came back the highest category to be accepted - except they won't accept the bursary.

using a broker & lender is C&G.

it appears the bursary is the problem. i wouldn't class it as a loan, it is a lump sum paid by a research council quarterly & topped up by a potential employer (and is more net than the other income!)

Oh right - sorry then your thread title is slightly misleading as you do not have a bad score then

It is the problem, combined with the 15% deposit

In credit crunch times, lending it tighter and so is criteria.

So whilst previoulsy finding a lender that would offer an 85% mortgage taking into account bursary income may not have been too difficult, now it will invovle alot more research tailored to your individual circumstances.

Rather than applying and then getting declined due to the bursary, you really should state it upfront and then get the criteria checked out before running off any more credit checks

pinksparkle_2

herbiesjp wrote: »

Oh right - sorry then your thread title is slightly misleading as you do not have a bad score then

It is the problem, combined with the 15% deposit

In credit crunch times, lending it tighter and so is criteria.

So whilst previoulsy finding a lender that would offer an 85% mortgage taking into account bursary income may not have been too difficult, now it will invovle alot more research tailored to your individual circumstances.

Rather than applying and then getting declined due to the bursary, you really should state it upfront and then get the criteria checked out before running off any more credit checks

Just some advise really, and yours alsways seems quite accurate.

Me and OH have a mortgage with NR and are fixed till 2011 which we are happy with, when we took out mortgage we both had good credit files, since then OH half has kept clean but i have entered a dmp, We are looking to move into a bigger house which will mean a bigger mortgage in around 4-5 years, we are wont be making any move untill every penny of debt we have has been paid, my question is that i will have a poor credit file when we eventually decide to move although no debt, oh and we have never missed a payment on our mortgage in 3 years ever....Are we going to have huge problems taking out a higher mortgage due to my poor credit file, or should it be okay as we have paid everything back by then????

Pinksparkle
x

ILW

pinksparkle wrote: »

Just some advise really, and yours alsways seems quite accurate.

Me and OH have a mortgage with NR and are fixed till 2011 which we are happy with, when we took out mortgage we both had good credit files, since then OH half has kept clean but i have entered a dmp, We are looking to move into a bigger house which will mean a bigger mortgage in around 4-5 years, we are wont be making any move untill every penny of debt we have has been paid, my question is that i will have a poor credit file when we eventually decide to move although no debt, oh and we have never missed a payment on our mortgage in 3 years ever....Are we going to have huge problems taking out a higher mortgage due to my poor credit file, or should it be okay as we have paid everything back by then????

Pinksparkle
x

Seems a bit odd to me.
You say you are on a DMP which must mean you cannot currently service your existing debt. Yet you are making plans to buy a bigger house. Am I missing something?

pinksparkle_2

Did you not read that we wont be looking to buy a bigger house untill we have paid every penny of debt back...!!!

beecher

Who knows what the lenders' criteria will be like in 4-5 years. All you can do is try to repair your credit file as much as possible, make sure you will have a 10% deposit for your new house and wait and see.

Robert_Sterling_3

Do the best you can now and review the situation year by year. We do not know what will happen next week nevermind five years down the line.

herbiesjp

The fact you have cleared the debt will be good.

However your credit file will still have the "black marks" showing

And these will take time to drop off

As the otehr have said, who knows what the situation will be like in that timescale

What you should concentrate on it getting, your credit report as clean as possible.

Did you get advice from CAB about the DMP?