A default and a quick mortgage needed

advice_always_appreciated

Hiya,

I was wondering if anyone can help me. Recently I put in an offer on a small house of £72,000 (it had been heavily discounted for a quick sale) which was accepted.

I went to the Natwest who I bank with but the system said I had been rejected based on adverse credit which I was shocked at.

I have a £21k salary, £1500 credit card, no other real outgoings and 20-25% deposit from family help so need to borrow in the region of 50k.

___

After getting my equifax credit file it showed everything was fine with no ccj's etc. two issues.

1.) an orange phone bill which defaulted in 2005 and was settled early 2006.
2.) A 3G for my dongle default (3 missed payments and then a default) of a total of an almighty £34 as a default - something I had cancelled but they refuse to believe I cancelled. This was placed as a default in the last month or two :-(

The property will easily sell soon if I don't get a mortgage. The Natwest who my salary goes into have asked for a copy of aforementioned report and said it will take 5 working days to get back to me.

- Does anyone think the Natwest will give me the mortgage after reviewing the credit file
- Should I look elsewhere - does anyone know any good and quick brokers in Manchester or where I could go that would overlook a £34 default? Or any sympathetic banks that I can call and send all my credit report too that look at it quickly and understand (esp since I am borrowing 2.5x salary and with a 20-25% deposit)
- I have called 3g to dispute but after hours and hours they say they don't have a record of me cancelling and the default stands. I don't have time for it to be paid, then classed as settled on my account as by then it will take another month or so to show on my credit report.
- I have emailed equifax to dispute the default and they take 10 days to reply too.

Don't know what to do or shall I keep my fingers crossed with Natwest?


Please any advice is appreciated

advice_always_appreciated

I have my credit report ready that shows a £34 default only on 3g and a 5 yr old orange settled bill.

just don't know if any1 will accept me even though deposit is decent size etc

does anyone know if there is any chance of natwest saying yes at all after manually reading the credit report

Senior_Paper_Monitor

The major banks have little/no ability to ignore the credit score exercise in advance of an application (fail = no progress).

There are several (smaller, flexible, personal contact with authority for brokers) lenders who I believe would take the circumstances you describe - GMS is correct, see a broker.

advice_always_appreciated

Thanks for all the help so far guys.

How easy is it to dispute with 3g/equifax etc as i did cancel the dongle but don't have a record and theyare saying there is no proof. Is a notice of correction pointless on credit report?

... and how can I fight to have it amended - no-one at 3g when I called seemed to have a clue about anything!

BadgerFace_2

Sorting the default out won't be easy and I'd guess is something to do after you've managed to sort the mortgage out. If you try to do it first, I think you may end up not getting a mortgage, losing the house and still having the default.

As an aside from personal experience with 3, their customer service is SHOCKING, the person with whom you cancelled most probably didn't bother to action it, as they have retention targets...which their pay rises are based on. You will also have trouble talking to anyone willing to help, they mostly hung up on me when they didn't know what to do; letting me speak to their manager was never available.

Senior_Paper_Monitor

3 !!!! Probably the worst technical and customer service company on the Planet - I could rant on about them for pages !

herbiesjp

So you have two defaults

One with 3G for £34.

One with orange - how much is that for?

advice_always_appreciated

The Orange one was £304 and defaulted in 2004 (I was a student then and din't think about credit ratings) and was settled in 2005 with £0 owing.

I think the main barrier to the Natwest accepting me - they called today to say they won't accept me - was that the latest default was in last 12 months!

herbiesjp

Well you should not be having trouble in getting this agreed based on the defaults.

There are lenders that will agree this for you, based on what you have posted so far.

Only advice is speak to a good whole of market adviser, with your credit file ready, and you should get a deal agreed asap.

advice_always_appreciated

hi, does anyone have any suggestions on what banks or building societies etc to approach that may be more understanding or actually look into matters rather than rejecting as £34 wasn't paid even though in a lengthy dispute with 3!

Thanks

katsu

Hi advice,

The advice here seems to be to go to a broker rather than direct to another lender. The broker will be able to work out who is best to approach (this is what you pay them for!). I feel mortgages are an area where a broker really helps and you will either get a deal where the broker's fees are paid as commission, or pay a small amount of fees (I paid £150 for my most recent remortgage).

If you are worried about losing the house then paying for a broker is a no-brainer as far as I can see.

I don't come from manchester, so can't help with local brokers. I think London and Country have sponsored martin's mortgage guide? I've used several different brokers - see if someone in the family or at work can suggest a local broker they've used. I'm not sure if we are OK to recommend brokers we found good? If we are then I used a firm in the westcountry http://www.castletonfp.com/. If it is not OK to recommend them then if someone lets me know and I will edit out the link. I think there is a link on the guardian website that lets you search for local IFAs.

Hope this is some help - I just sensed you weren't responding to the advice to go see a broker so thought I'd chip in.