LTV 85% + Sub Lender!! Tall order?

riadom

Can anyone help, I am looking to borrow £300K against property value of £340K. I have no CCJs but do have missed credit card payments I am looking to consolidate the credit cards which total £10k and also car finance (no missed payments total £9500) I am currently with IF and haven't approched them yet. My current mortgage is £246k with no missed payments. I have recently been turned down by Alliance and Leicester and then obtained my credit files (showing missed payments) and assume that now i need a sub lender. Combined income is £80k

Any advice would be greatly appreciated.

regularsaver1

How serious were the missed payments on the cards?

What do you need the additional money for on top of the consolidation?

riadom

Capital One Bal £1466 missed payments 7
Citicards Bal £475 missed payments 3
Citicards Bal £998 Missed payments 3
HSBC Bal £973 Missed Payments 2
Barclaycard Bal £1029 Missed Payments 3
Lloyds TSB Bal £3150 Missed Payments 5
Capital One Bal £1274 Missed Payments 8
These are what is showing on the credit files.

Blackhorse Car Finance Bal £9291 Monthly £291.90 No Missed payments
Blackhorse Loan Bal £2148 Monthly £136.00 No missed Payments

We wish to complete a loft conversion as well as consolidate these debts.

Any hope?

jamesd

With 88% loan to value and that number of missed payments it's not going to be so easy. Ask IF first - if they are willing your history of repayments with them may well get you your best deal.

The higher interest rates from a sub-prime lender, on your whole mortgage balance, are very likely to make a sub-prime remortgage cause you to be substantially worse off. Check this extremely carefully - I don't see much prospect of your situation improving with a sub-prime mortgage.

Longer term, make sure you don't/can't miss payments, so your credit history will improve over time.

If IF don't assist, your next best option may well be paying off the cards with highest interest rates first, making sure you make at least the minimum payment on them all.

How long ago were the missed payments? If they were all several years ago that might give some chance of a decent offer.