Abbey - Reject re mortgage-HELP !!!

hugh2908

Hi Just been on to our broker and abbey have rejected us for a re mortgage due to a default in sept ' 07 for £1002 with halifax. The abbey criteria is they cannot accept any defaults over £500 !! would it be worth me paying say £505 to halifax to get the default under the £500 abbey limit ??? would the credit report then be amended ??? We would be saving approx £225 per month if we were to re mortgage at what abbey were offering !!! Thanks H

Cannon_Fodder

Why not pay £1002 ? That is what you owe. It would clear your credit history, and avoid future difficulties.

not_tonight_josephine_2

Even if you pay up now, it will still show on your credit record as £1002 as that's the amount you defaulted on.

hugh2908

Thanks for the responses !! So in a way there's no point paying any amount off as it will not affect the credit report !!!

Jonesy_McJones

My understanding is that once you have paid the debt, the 'satisfied' default will stay on your credit file for six years.

hugh2908

Jonesy_McJones wrote: »

My understanding is that once you have paid the debt, the 'satisfied' default will stay on your credit file for six years.

It does say satisfied on the report but also delinquant/default £1002 ???

_Andy_

It will still be a decline even if satisfied. Not sure what your broker was playing at TBH

hugh2908

_Andy_ wrote: »

It will still be a decline even if satisfied. Not sure what your broker was playing at TBH

thanks again for the response Iv'e spoken to two brokers , the first said that i would be rejected and that after they spoke to abbey that everything would be ok she phoned back saying good news that i had been accepted, they were however charging £1995 broker fee so i tried another fee free broker they said that they phoned abbey and that's when they told me about the £500 default limit for acceptance !! the second broker also said to ask the original broker if i could have a copy of the aggrement in principle to see if i had actually been accepted or if i was being succered in to paying the fee for nothing in the end when i would be rejected due to this limit !!! Im so confused !!! H

VIGILANT22

Don't be confused....a decline is a decline..

I am tired reading on hear (including those who attach advisers title to their signature)....that obtaining a mortgage with defaults/CCJ's in not a problem...It is indeed a problem as you have just explained....

Try your own bank and explain the situation to them...if they decline you ask when they would reconsider you...

hugh2908

VIGILANT22 wrote: »

Don't be confused....a decline is a decline..

I am tired reading on hear (including those who attach advisers to their signature)....that obtaining a mortgage with defaults/CCJ's in not a problem...It is indeed a problem as you have just explained....

Try your own bank and explain the situation to them...if they decline you ask when they would reconsider you...

Cheers I think ill do that and see what they say H

happybroker

Trying to obtain a mortgage with defaults/ ccj's is only a problem when they cause you to fall outside of a lenders criteria which is what you are currently experiencing with Abbey.

What is the loan to value? If it is low enough you may well still fit certain lenders criteria.