Can we get a mortgage

jadebabe

Hi, we are currently thinking of buying a bigger house, and would like some info if this might be possible
we would need to borrow about £110,000, and we earn about £30,000 between us.
our house is worth about 160,000, and after selling this we would have about 82000 deposit for another house.
the problem is i have recently had some problems with my credit card and missed some payments , it,s now all sorted ,but will this stop us getting a mortgage , any replies appreciated. , the house we want to buy is £190,000 thanks juli.

_Andy_

Should be do-able.

How long ago were the missed CC payments and how many were there?

jadebabe

Hi, the missed payments were about6-8 months ago, and the problem was that ,because i missed one , it took me over my agreed limit, and they put charges on top of this for going over,this happened a few times and i found it hard to get back un der my limit,, but i claimed back all the charges by using a firm ,cant remember who they were ,but they got all the money back for me that they had put on as fees,, . thanks julie.

_Andy_

Julie - what you need to find out is how many payments were recorded as missed on your credit file. Worth ordering it from Experian and Equifax, couple of quid each.

himitsunomogura

A few factors can influence how much these payments affect you. It is less likely to affect you if you have had the credit card more than 12 months. If the subsequent late payments were because of charges, and then you managed to claim the charges back, you might be able to get the company to remove the late payment markers - or if they can't, you can still add a Notice of Correction to your credit report to explain what happened.

Also a few other things to consider...companies look at your total credit committments. If your total oustanding debt, or monthly outgoings in loan/cc payments etc, are high, it can seriously count against you in the credit scoring process. As can how close you are to your credit limits.

With the size of your deposit, and a reasonable wage, you shouldnt have too much difficulty. Probably best to speak to an independent broker first to get an idea.

Hope thats some help...

TEDDYRUKSPIN

From the credit card point of view, it was your fault due to the missed payments? If so, this will be on your credit report and will not be removed at all (i.e. until 6 years has passed).
Unfortunately, due to this and the recession many companies will look down on this.

PS. No point in applying a mortgage now. I believe you have'nt even sold your house yet? Right?

Order a credit report and see what happens. I do agree that you have reduced your chances in getting a decent mortgage but you have not shot yourself in the foot fully.

herbiesjp

So you want a mortgage of £110k putting down £82k - means the propery price is £192k

That would mean an LTV of under 60% which is great

The missed payments could cause problems, however depending on what shows on your credit file, along with what paperwork you have re: claiming back the charges, could help counter the effect with some lenders

First step is get a copy of your credit file, and then discuss with a whole of market adviser