Default stopping mortgage application

jacko1000

Me and my girlfriend have recently tried to get ourselves on the property ladder. everything is in order financially apart from one default on my record from vodafone in 2009. It was for £200 and was satisfied. i have tried to contact vodafone asking if this can be removed but stil waiting for a reply. Any other suggestions?? Thanks

GMS

Who have you applied to?

What % deposit do you have?

Speak to a broker. There may well be options for you but you need to apply to the correct lender. Applying at random could cause problems.

holly_hobby

Vodafone will not remove the default unless it was incorrectly applied in the first place.

However, it should now be marked as satisfied with CRAs (check this as occurred), you should have also recd from the Vodafone confirmation of satisfaction (you will need this to present to the lender), with the record of default disappearing from your CR a few weeks after its 6th anniversary of registration.

Ipswich BS (IBS) will consider applications with a satisfied default up to a sum of £500, and over 12 mths old. (which from the info you have provided you appear to comply with)

They don't credit score (individual uw to each case), max LTV 90% (for non-members - but take care to check if max 90% will be affected/reduced by the historical default you hold ), and they also accept direct business (as well as intermediary in select geographical areas).

Obv also speak to a current whole of market broker, whom will be aware of further options in the market (maybe GMS who is noted as a active mge adviser, could give you an idea to alternative lenders to IBS ?).

Hope this helps

Holly

jacko1000

thanks for your response guys

the mortgage we are going for is a shared ownership 85-15% split so the deposit is only £6000. due to this we have been told, by our mortgage advisor, that the only company that will be able to lend to us is the Halifax.
Also i have tried to contact vodafone regarding this account but they have no record of the account. is there a loop hole here i could exploit if they have lost my details????

Thrugelmir

jacko1000 wrote: »

is there a loop hole here i could exploit if they have lost my details????

No. As only Vodaphone can remove the default.

As you are no longer an active customer there certainly won't go out of their way to help you.

jacko1000

surely they need to have proof of the account???

holly_hobby

Why didn't you mention it was shared ownership in post 1 ???

That changes things ... unless you are buying a shared ownership property in Suffolk, Norfolk, Essex, Cambs, Beds or Herts - IBS are out (above geographical restrictions do not apply to traditional pch).

There is a record of your account with vodafone - its on your credit record and its a default (albeit satisifed).

As stated in my initial post - the only way to have the default removed is if Vodafone agree it was incorrectly registered and agree to remove it. If you simply didn't remedy your account within the defined timescale as noted in the default notice - I am afraid its there to stay (until its 6th anniversary at least).

Hope this helps

Holly

westminstergirl

Write to Vodaphone and ask them To remove it, its a long shot. I was in a similar situation recently with orange, they had put a default on my credit file (which essentially was correct) I wrote and asked them nicely if they would consider removing it as it was having a really damaging effect.....two weeks later it was gone. It has now been replaced with 3 no 5's. I can send you the template of the letter tomorrow if that would help, its on my office pc so cant do this evening.

I would love to know how you get on, as i'm about to put my flat on the market, and wll be looking for a mortgage with the mentioned 3 no 5's on my file.

jacko1000

thanks westministergirl.
i would love it if you could send me the template. i have heard from other forums that a slight tug of the heartstrings can sometimes sway the company into re-moving the default. the only problem i have is that when i try to talk to vodafone they have no record of my account!!! any way, if you wouldnt mind sending me the template that would be great!!

Thanks Again

Ms_Scarlett_2

Can someone tell me the difference between a default and a late payment, please? I had thought they were the same thing, but some of the usage above suggests otherwise. I thought a no. 5 was worse (eg. had taken longer to be rectified) than a no. 1. Is that not true-??

Thanks!

Thrugelmir

A default notice is issued prior to legal proceeding being issued for recovery of a debt. So the debtor has already been contacted previously regarding an outstanding debt by the creditor.

Defaults can be applied without prior written notification.

Often mobile companies do this as recovery of small balances isn't cost effective. By marking a credit file encourages debtors to pay up. Larger balances will be pursued through the County Court.

A late payment is as it sounds. So creditors allow a period of grace. As can happen for any number of reasons. Repeated offending however does create a pattern that is noted.