Ex- Credit Analyst - Throw your Credit & Underwriting Q's at me.

Mike_St_Helens

SirSaverOBE wrote: »

Hello, Mike.

I have only been an MSE member for a couple of months but wondered if you could help.

My wife and I want to apply for a mortgage in the next 2-3 months. She has a totally clean file but I have debts as shown in my signature. I pay the CCs and loan off at £500 between them per month.

With our combined salary, and with my debts (excluding overdrafts) I have had quotes of £150-160k for a mortgage.

First question: Do the lenders take authorised overdrafts into account as credit commitments? If so, how?

Also - I have a few missed payments to Orange on my file just over a year ago. Are these going to hurt much? Can you offer any advice?

Best wishes,

Sir Saver

Hi there,

If what you say above, matched with a clean credit file ( bar Orange) I wouldnt worry what so ever.

As said, Im more the unsecured lender. Mortage boards would be very good for you to ask maybe?

Mike

Georgecarol

Mike_St_Helens wrote: »

It is generally the last date of contact, which usually is the last payment date.

The default date is on your friends credit file.

EVERY time your friend contacts the lender, technically the 6 years starts again unless they specifically state that they do not acknowlege the debt on correspondance.

Mike

So as she has had 2 letters and 2 phone calls, both times, queried what this was about and has not acknowleged the debt verbally both times, has the 6 years started again? She recently received these letters and has been asked if she lived at a specific address, which she admitted she had, but she moved out in 2000 and apparently this is a debt for a credit card that was issued to that address April 24/2001 and a one time payment of £28 was paid on June 15th That is all the info they have, but have been pestering her for a signature. My advice was to not send anything to them as she doesn't know who they are and I was going to advise her to just wait it out, but wasn't sure how fast they could take something to court as I didn't want to advise her to do that then her ending up with a CCJ for something she apparently knows nothing about. They already got her name, address and birthdate out of her. she's a bit too trusting:rolleyes: Should she wait it out til June 15th or should she start spending money she doesn't have on a defense here

Mike_St_Helens

Georgecarol wrote: »

So as she has had 2 letters and 2 phone calls, both times, queried what this was about and has not acknowleged the debt verbally both times, has the 6 years started again? She recently received these letters and has been asked if she lived at a specific address, which she admitted she had, but she moved out in 2000 and apparently this is a debt for a credit card that was issued to that address April 24/2001 and a one time payment of £28 was paid on June 15th That is all the info they have, but have been pestering her for a signature. My advice was to not send anything to them as she doesn't know who they are and I was going to advise her to just wait it out, but wasn't sure how fast they could take something to court as I didn't want to advise her to do that then her ending up with a CCJ for something she apparently knows nothing about. They already got her name, address and birthdate out of her. she's a bit too trusting:rolleyes: Should she wait it out til June 15th or should she start spending money she doesn't have on a defense here

NO way hose.. This sounds home and dry. I wouldnt worry about it. By asking for a signature they clearly do not have a leg to stand on.

I wouldnt let it waste your time worrying. file it away and ignore it.

Georgecarol

Mike_St_Helens wrote: »

NO way hose.. This sounds home and dry. I wouldnt worry about it. By asking for a signature they clearly do not have a leg to stand on.

I wouldnt let it waste your time worrying. file it away and ignore it.

Thanks very much for the info, I'll let her know. I was concerned as to why they asked if she could send her signature in, I was assuming that it was to compare it with forms of some kind as it's a debt collection agency, but I've never heard of them before. They're called the Lowell Group. They advised if it wasn't her debt then either send in her signature or file an identity fraud case with the police. When she has no paperwork to go on, how can she file anything with the police I'll advise her to just sit it out then, thanks so much for the info, she's been so stressed.:j :T :kisses:

~evanesco~

Mike_St_Helens wrote: »

Howdy ! Howdy right back at ya!!

The CCJ will be on your file for the full 6 years, regardless of if it is settled or not. Once the 6 years is up, the CCJ will drop off your file. So it'll just disappear, I don't need to do anything?

The odds and sods with the odd missed payment are not really a concern, as long as they are one offs then you should have no problems there.Yep, 1 missed payment on 2 seperate accounts, I believe they're called rolling credit accounts?! Your issue is with the CCj, Most lenders will decline on this alone, especially if its a great amount.

There are odd lenders who will offer you cards etc... but you will pay for them in relation to the interest rateLearnt this one:rolleyes: , or indeed offer a very low credit limit.

But banks are what we know.. very unpredictable. I have known Bankrupt people to be given £10k cards before now !!!Not in my case...

Sorry I cant help more....You've more than helped, thank you:D

Evans. xox

emms_mum

Thank you Mike, that helps and is useful to know. Best wishes to you

learntmydebtlesson

Hi Mike :j

Thank you so much for offering your guidance. I wonder if you can assist with the below:

Me and my OH have a mortgage meeting booked at the end of this month with Britannia. I am on a good wage, my OH is on quite a bit less. I have £20k of debt and my OH has none. Unfortunatley my credit file that I recently obtained had 14 missed payments over the last year on it.. :mad: Therefore, my credit score of course has been affected. My OH has a brilliant credit rating with no missed payments and a perfect score.

We can't put the mortgage in my OH name as he earns so much less than my income...

We have a deposit to put down of around £7k, hopefully more.

Our disposable income each month after ALL bills, including projected house costs such as mortgage, bills, council tax, food, petrol, insurance policies, entertainent etc is £800.00.

Do you think we will get a mortgage?

Any advice, greatly received. :A

jimm24

Hi I posted this in another forum and hoped you may be able to help?
I started my own business about a year ago,using my own money and a small remortgage.I have recently run into serious cash flow problems which has affected my repayment of loans.I do not want to go bankrupt nor file for an IVA is there a way to limit the damage to my credit file while I w]await payment(which will be substancial)for my first project,possibly in a couple of months?
Also is there a proven way to repair a credit rating?

Georgecarol

Hi Mike, I hope you can answer this one urgently_pale_ .
As mentioned before with the debt problem with my neighbour, I did as you advised, and told her to wait it out. Unfortunately, she got another letter today as follows:

"In previous letters to you it was made clear that unless an acceptable offer of repayment was made, we would take appropriate steps to recover the amount owing.
As you have failed to contact us we have now been instructed to appoint an agent in your area to visit your home to discuss repayment of your account, unless you make contact with us within the next 48 hours our agent will contact you with a view to arrange a visit Monday to Saturday between the hours of 8.00am - 9.00pm.
To prevent the above action taking place you must contact us urgently so we can advise you accordingly".

She is very worried as when she talked with them twice, she said she didn't acknowledge the debt and she would contact them after she had taken legal advice, yet they say there's no contact been made.
She's a single mother with 2 kids and is terrified of someone coming round to her house. I told her I just thought they were trying to scare her as the 6 year thing is in effect as of June 15th.
What should I tell her

Georgecarol

Where'd Mike go