CCJ - How much am i effected?

jennisc

Hi all,

I am in need of some advice. As a stupid student i got myself into debt not paying my hall fees and about 2 years ago was ordered with a ccj of just under £2000. Im a pleased to say that as of the end of this week the debt will be cleared.

Over the years i have sorted myself out and im in a well paid job (just under £30k) and apart from the CCJ have no other debt issues/problems.

I am in a serious relatioship and am hoping that after 2 years of being with my boyfirend we can now plan to buy somewhere together. I have search online sites but they are rather sparse with details simply saying it stays on your record for 6 years and that you can get a mortgage at a higher rate than average.

Can anyone give me some more details - what would a banker think of this debt? my boyfriend has perfect credit and also earns a good wage.

I really worried that i have to wait 6 years to get a home!

Any advice would be appreciated!

Thanks

HappyMJ

It's 6 years from the date of the judgement. Not a huge amount you can do about it but just wait the time out. If your boyfriend can buy on his own income then do that if you have the savings. If you are just clearing the debt now I'd be spending the next few years saving like mad. The more deposit you have the lower the rate of interest that will be charged.

BigCraigJohn

You will have a bit of trouble im afraid however its not the end of the world. If renting you might have rent under your partners name or rent privately, most of the landlord insurance wont touch anyone with insolvency or ccjs. If buying you will likely have to have a far higher rate and a lot of lenders wont touch you.
Its 6 years from the date on the ccj btw.
Dont rush out on friday though, wait till the ccj is showing as settled as this will certainly be in your favour.

FireWyrm

From what I was told by a financial advisor during my own quest to buy a house, most lenders are unbending slightly when it comes to the odd default, but something very naughty like a CCJ is an absolute no-no. There are practically no 'sub-prime' mortgages any more and you cant get away with a self-cert, so you're stuck for the next 6 years. He told me that even a default in the last few months would be viewed badly, so I suspect that a CCJ will kill your chance all together. This was always the case, even when the banks were still lending stupid amounts of money.

Your only option is to either buy outright, but for most of us, that's an impossible dream, or piggy back off your boyfriend assuming he has decent credit, or wait.