Mortgage Query

Clairekeech

Hi

Me and my hubby are moving house and because of my credit history (2 defaulted accounts which I'm appealing) we have been told by an IFA that we are better off just my hubby applying for the new mortgage because he has no bad history. Would they only check his credit file and not look at mine then?

Cheers
Claire

Meeper

It depends on how deeply linked your records are. You will need to be named as an occupier on the mortgage application and a lender may have an issue with a married couple not BOTH being on the mortgage. They like two people to go after in the event of default.

Burridge60

Lenders sometimes don't like "Good Cop, Bad Cop" for obvious reasons.

There are also potential issues about making a spouse homeless as a result of the other spouse defaulting on the mortgage payments.

You would be asked to sign a document consenting to the mortgage as you are likely to be a resident in the property and not a party to the mortgage. This would waive your Rights in such a situation. Lots of threads on MSE about this very situation coming home to roost with a vengeance.

Clairekeech

Bad news....one company declined our joint mortgage app because my credit score was rubbish so our IFA applied just in my husband's name, got halfway and all looked good but they came across a financial link between us and we couldn't work out what as we don't have a joint bank account or anything like that. Turns out it's most probably our application for a joint bank account last year that got declined because I hadn't been in my job long enough.

Looks like we are screwed because this financial link is gonna crop up on every check every company do.

Great, so we can afford our mortgage we want to get, my 2 defaults were back in 2006 and have been squeaky clean ever since and my husband has a fantastic credit score and we are stuck.

Our IFA said he could try talking to the underwriters of the mortgage to tell them our situation and my old history to see if they would take that into consideration but it's not looking hopeful.

The annoying thing is I bet there is a company out there that would have us but it's knowing who to go to because each time a credit search is done that goes on our files against us :-(

Very upset and frustrated.

GMS

How much are you looking to borrow and what is the property worth?

Which lender declined you?

Wh05apk

RBS/Natwest should allow this.

You will be financially linked as you are married so cannot hope to creep under the radar with most lenders.

Clairekeech

GMS wrote: »

How much are you looking to borrow and what is the property worth?

Which lender declined you?

We are looking to borrow approx £161,000, the property is worth £191,000 so our deposit is approx £25,000. The lender was Platform and it was al done by our IFA. He is trying to contact the under writers this morning to explain my situ in 2006.

Clairekeech

Wh05apk wrote: »

RBS/Natwest should allow this.

You will be financially linked as you are married so cannot hope to creep under the radar with most lenders.

Really? Why would they look at this differently? Trouble is the more applications my hubby makes the worse his credit score is gonna be. This is madness!

Wh05apk

Clairekeech wrote: »

Really? Why would they look at this differently? Trouble is the more applications my hubby makes the worse his credit score is gonna be. This is madness!

Most lenders rightly insist that married partners are on the mortgage, Natwest do not.

Get your broker to run it past them to confirm, recently had a case where husband had a property repossessed, and they accepetd in her sole name.

Clairekeech

Wh05apk wrote: »

Most lenders rightly insist that married partners are on the mortgage, Natwest do not.

Get your broker to run it past them to confirm, recently had a case where husband had a property repossessed, and they accepetd in her sole name.

Thanks will give that a go next.

Clairekeech

Just wanted to post an update in case anyone else is going through the same thing.

Yesterday my husband had all financial links to me removed from his credit files. He has a 5 star credit rating so in theory he should have no probs getting a mortgage in his name now, so our IFA has applied for us through Abbey who do accept sole applicants and will do even if my name was still on my husband's credit file because what they do is ask me to sign a form to say that I have no interest in the new property.

As long as it's only my husband's name on our current mortgage and he can prove his salary then all should be ok. We should know early next week hopefully.

There is light at the end of the tunnel.

Claire.