Mortgage With CCJ

29tasid

Any advise is greatly recived please

Looking to purchase a house £220,000, deposit £45,000.

Partners income £62,500 plus £22,000 bonus

My Income £27,500 plus £6000 bonus

1 problem, I have a CCJ from the tax credit overpayment thing in 2003/2004 for £4500 which I have not settled.

My credit score is Fair 763, partners is excellent, no debts.

Can you advise if will be accepted for mortgage as worried about being rejected.

[Deleted User]

I think it will vary from lender to lender, to be honest - your credit score looks fairly ok so I doubt the CCJ is playing too much influence.

What I don't understand (and perhaps others can comment) is how you have a score of 763 with a CCJ, which is perhaps the most serious kind of mark on a credit record one can have, but my score is 600 with just a few missed payments from two years ago and no defaults?!

not_tonight_josephine_2

Can't you apply in just your partner' name? Sounds like his income would definitely support the amount you want to borrow.

If you definitely want to be on the mortgage then I think you need to discuss your situation with a broker and see what they suggest

(I think the actual credit score of 763 is pretty meaningless TBH Bungle - lenders use their own scoring criteria so a score from a credit reference agency is no indication of whether you would be offered credit)

29tasid

Thank you for replying.

Not sure really, I refused to pay the tax credits back as it was their fault and they would accept no responsibility which resukted in the CCJ.

The credit score is probably due to the fact that I have never once missed a payment on my credit card etc.... It was infact higher but when I moved in with my partner I forgot to register on the electrol roll which resuluted in the score being lower.

Still apreciate any advise on the martgage application as still worried about this.

Many Thanks

29tasid

Yes probably could but would like it in both names. The credit score is from credit expert and I understand that is varies from lender to lender.Thanks for the advise.

Mrs_Bumble

I personally don't know of a lender that will accept an application with an unsettled CCJ of this high an amount, and if there is such a lender I have no doubt that they will make you pay through the teeth, but maybe one of my colleagues will come along and put me right

Your partners income should cover the mortgage on his basic salary as long as there are no other credit committments, but this option will mean that you wouldn't be on the mortgage or deeds.

Take your credit file to a local, independent, whole of market mortgage broker and see if they can make some phone calls for you.

sandrad44

Hi Mrs Bumble

Are the companies more leanient if the ccj's are settled ? we had two small ones in 2007 that are now settled. we are looking to remortage in the next 6 months . by then any defaults will have fallen from credit file.

Mrs_Bumble

sandrad44 wrote: »

Hi Mrs Bumble

Are the companies more leanient if the ccj's are settled ? we had two small ones in 2007 that are now settled. we are looking to remortage in the next 6 months . by then any defaults will have fallen from credit file.

What sort of CCJ's,

How much?

When did they go on and when were the settled?

If you wait until they have definitely dropped off then they won't show, but do check your credit file before.

herbiesjp

Yes

Settled CCJs are better.

The smaller the amount, the better it is also.

Make sure your credit file has been updated correctly to reflect any changes, or items that should be removed.

So get an up to date copy of your credit file.

It will also depend on your LTV as to what deals you can get

happybroker

OP I think you may struggle in joint names at 80% lending I'm afraid. That's a pretty big ccj and you really could do with getting something done about it, especially if it wasn't correctly registered as you say.

If it was registered in 2003 then it should fall off your credit file this year however, what date exactly did it go on?

The deal should fit in your partners name only however assuming he has no other significant commitments.

29tasid

It went on in Dec 2006.

Would it be better with 75% LTV?

No he has no credit commitments at all.