Help/advice please

getmefree

hi all

I am currently in the process of applying for a morttgage - have had agreement in principle and an offer accepted.

i have used a broker for this and he has informed me that the lender is not happy as on my credit report there is a loan to Nationwide which appears to have no payments against it.

Strictly speaking this is true as Nationwide passed my debt onto a debt collector in 2006. Therefore, every attempt i have made to speak to Nationwide has been met with an "its not our debt so speak to the DCA". I have made regular monthly playments to the DCA since 2006 but this is not recorded on ym credit report - even the DCA has asked Nationwide if this can be corrected.

My problem is two fold. 1 -the balance on my credit report is showing as owing Nationwide c£8k, but taking into account the payments I have made in fact it is only c£5k. 2- despite Nationwide saying that it is not their debt anymore and are unable to help me, they have continued to register non-payment on my credit file - even though when i rang Experian the other day they said the loan is showing as being settled in 2010???

Just wondered if anyone has any advice they could provide me with as i am at real risk of not getting approved. The rest of my credit report is fine and has been for 4 years or so, it is just historically i was ina low paid job and also had to take 4 months off work due to injury which led to my difficulties in paying the loan back.

Thanks in advance.

Senior_Paper_Monitor

Nationwide are extremely touchy about adverse of any sort - you may have great difficulty with this one.

I am slightly confused as to whether 1) you 2) the broker was aware of this issue when the case was put in ?

getmefree

Sorry i should have been clearer - Nationwide are not the lender i am going with for my mortgage - they are the company who i had a loan with in 2005 and who passed it on to a DCA in 2006.

To be honest I wasnt aware that Nationwide had continued to register non-payments against me as, like i say, every time i have asked them about it they have told me its not their debt anymore!

In my mind they should either stop registering the non-payments if it is not their debt and, or, if they do continue to update my credit file then at least rectify the balance to show true reflection and show that payments are being made to the debt!

kingstreet

Where did the AIP come from?

The lender's "not happy" doesn't tell us much. Are they asking for something to happen? Have you been declined?

getmefree

I had the AIP from the lender, all i have been told by my broker is that whilst doing the full application they are not happy that my credit file does not appear to have a track record of payment on this loan (although i can prove i have been paying it to the DCA)!

I havent beend declined yet as my broker has gone back to the lender essentially setting this out, as well as poitning out my credit file has been perfect for the last 4 years or so and this happened almost 6 years ago!

kingstreet

The usual result in a situation you describe would be for a decision of "refer," with the lender requesting documentation which clarifies the position and which would satisfy the underwriter.

Your adviser would be on the phone asking you to produce a written agreement to the level of payment required and bank statements which evidence the payments being made on time and in full.

I suspect you have been declined and your adviser is trying to make a case via an appeals process. It would then go back to the refer stage and the request for the information would be made.

When I asked where the AIP came from, I was perhaps a little vague. I was looking for the name of the lender.

getmefree

Well if thats the case I have statements that can prove what i have and continue to pay.

Sorry! the lender is GE Money.

kingstreet

Your adviser is using an adverse credit specialist lender.

That's not really my market, but with something which took place a good while ago I'm surprised he felt that was necessary. He may simply be trying to get you a better rate. Still, I don't know all your circumstances, so it may be totally appropriate.

We'll see what some of the other advisers think when they see your thread.

In the meantime, wait and see what they (GE) request from you to support your application.

getmefree

I spoke to my broker this afternoon and GE will not consider anything other than what is on my credit file...so i'm stuck!

Seems ridiculous that a 6 year old debt is causing so many problems now, especially considering my recent history is perfect...plus i was earning £20k less when i took that loan out!!

Does anyone have any ideas on what i could do/try next?

thanks