Mortgage with bad credit?

GlennyNat

Hi,

This is my current situation

Household income - £31,000
Debts - £350/month about 4-5k to pay off

I have one default from 2005 for £90 which is settled and a few missed payments, partner has nothing, maybe one late payment thats it. We are looking to get a house between 70-100k and have been looking at this deal from Lloyds,

http://www.lloydstsb.com/mortgages/lend_a_hand.asp

Basically a helper puts 20% of the house value as security and the buyer puts in 5% deposit totally 25% of the house value.

I going to arrange a visit to Lloyds and see what happens but what does everyone else think to the deal and the chances of us getting it with my history?

Thanks

GlennyNat

?? nobody ??

GlennyNat

bumping my thread instead of starting a new one ???

VIGILANT22

You will struggle.....

happybroker

who is the "helper?"

GlennyNat

The helpers will be my parents, does this make a difference who it is?

Will the default be the main reason for struggling? That has another year before it drops off.

happybroker

If the helper had been either the vendor, a bank (ie loan) or a friend (as per an earlier thread) then yes it could have an impact.

The default may be an issue, see how you go with Lloyds, making sure you tell them about the defualt, and if this is no good get some help with it from a broker who will know which lenders will and won't be interested and can discuss your case prior to it being submitted.

christefur

I just had an application for a mortgage with Halifax accepted. I have a low credit score, though fortunately my defaults have now gone, and it is rising... It might be worth visiting a IFA. They often have a contacts with the underwriters at the banks that can be bargained with.
I would have thought that as your default was such a low amount there maybe some room for movement on it.
When I spoke with my IFA he suggested applying to halifax as I have accounts with them that have been kept in good order for some time. I also have a partner who has pristine credit which no doubt helped me out.
Hopefully you will get some positive news!
Goodluck

c