First time buyer & credit rating

missamyx

Hi.. Newbie here so don't know if I am posting this in the right section.

Where to start...

Me and my partner have opened an account with nationwide called save to buy and hoping to qualify for a 95% mortgage by summertime.

I'm now 23 but when I was 18 I got a credit card (so stupid!) and I missed 2 payments. This credit card is now paid off. I do have another card but never miss payments on it. I have an overdraft of £100 which I do go into at times. Apart from that I am a lot better with my money than I was when I was younger! I can't help but worry that I might have a problem getting a mortgage. I'm putting away £500 a month into the savings account so i'm hoping this shows I can save money. Any advice would be greatly appreciated.

Thanks.

ACG

2 late payments 5 years ago is pretty minor.
Youve got a card now and building up your file again dont worry.

However, save less and stop going overdrawn would be my advice. You need to show you can look after your finances, going overdrawn isnt showing that.

Thrugelmir

You are doing all the right things. Keep going.

The idea behind save to buy for potential borrowers is to show that they have the discipline to save regularly. As paying the mortgage month in month out for many years requires the same mindset.

As ACG points out. Stop using that overdraft even if it means saving less towards the property.

missamyx

Thanks for your replies. My partner is great with money and earns more than me also so I'm hoping this will go well for us aswell. I checked with equifax and my score is only 500, which is confusing me slightly to why it's so low. It says that my credit is good but this number seems pretty low.

ACG

Ignore it, thats equifax score, not a mortgage lenders. Just check your bills have been paid and no other late payments, ccjs, defaults etc.