Mortgage declined HELP

pepsimaxy

Ok, long story and I will try to keep it short. We got a financial advisor to see if we could get a mortgage on our council home. We have been offered to buy it for £40000, it was valued at £95000.

Now the bad stuff. Credit files. Both of us scored on the high end of fair. My file being all fine, no arrears, debts, late payments, etc.

My husband on the other hand was declared bankrupt in 2008, discharged in 2009. So its now been 3 and half years. Alongside the bankruptcy one of the debters kept putting a that one of the debts (included) was defaulting each month, for the last 4 years. We have since been in contact with them and they have done little to correct this except put satisfied as of 4 months ago.

Our financial commitments are very low, in fact they amount to 40 per month. My husband earns 33000 a year after tax, so we could easily afford a mortgage, we only want it over 10 years.

We have had credit searches done on us and been refused 2 times now in the last 24 hours. I feel we will never get a mortgage now.

Can someone please give me some honest advice on a bad credit mortgage.

Thrugelmir

Bump the thread during the day tomorrow. One of the boards resident brokers should be around then to give you some guidance.

ACG

Which lenders have declined you?

Bankruptcy 3 years ago is still quite recent, your credit file is showing since bankruptcy you have been defaulting on another credit agreement - so to any new lender its like your husband hasnt learnt his lesson.

You need to get that sorted properly to help.

Dave_Ham

Morning,

Ok, firstly the biggest issue is the revolving default that keeps appearing. Exactly what date is it showing as registered?

If it was part of the bankruptcy, they have to amend this. You will need to see someone who knows what they are doing, expect to pay a fee. This has to be corrected, as a recent default based upon registration date and not date satisfied is a huge hurdle.

You need to get both of your reports for Experian and Equifax and all of this is assuming bankruptcy has been formally discharged..

As ACG said, be interested who declined you although without exact information from both credit files it will be impossible to determine your chances..

Great loan to value, although not necessarily saved up or paid off as right to buy discount so lender selection will be important once the above is resolved obviously...

pepsimaxy

Hi, we have been turned down by Nationwide, Bank of scotland and Halifax.
The default date has been corrected on the credit file as we connected the card issuer a few months back regarding the problem. The date it state it defaulted on was the date my husband was declared bankrupt.(21st feb 2008) But they continued until march this year to default it every single month. They have since march this year stopped defaulting on it and put satisfied next to the default, but as far as I can see, this only shows it has been satisfied from March this year, and not from feb 21 2008.
I can try and copy and paste the exact statement which appears on the credit file and you can see for yourself.

He was discharged in feb 2009.

Other than that, nothing else what so ever.

Hope this helps....or at least someone can help me.

Dave_Ham

Thanks for the additional information. Do not worry about the satisfied date showing it means little.

Do not try any further lenders, they will decline you also and make matters worse.

This will be challenging and would suggest you find an experienced broker as will take some time to find a suitable lender.

I am not certain of success, although would be interested how you get on - good luck

PasturesNew

Why not save £1000/month and buy it for cash in 3-4 years.

pepsimaxy

ok, I cant paste a picture of what is on the redit file. I will type what is says
default date 21/02.2008
current balance satisfied
default balance £9512
partial settlement- start date 1/2/2009

Account status this shows every month as defaulting since the date of his bankruptcy to March this year, where it just stops defaulting and there is a default with last updated 11/03/2012, then no more defaults to date.


The thing is there was other debts included in the bankruptcy and none of these show on the credit file, only this one. He never missed a payment as...this is what helped his debt to escalate, getting another card to pay off one card etc....you know how it goes.

I have been in contact with RBS...the card issuer, and this is all they seem to have done. Can I go any higher, maybe an ombudsman?? I am still paying for credit experian, but they dont seem to be able to offer any help other than speak to the card issuer.

Any help is very, very much appreciated.

pepsimaxy

Pasturesnew....what world do you live in?

seadoo

Pasturesnew....what world do you live in?

Don't want to appear rude but it's probably the same world as you. Having a net monthly income of £2,750.00 and outgoings of £40 PM you could buy for cash in 15 months

pepsimaxy

If you read above...it says our financial commitments(what shows on the credit file), not our monthly outgoings, ie:gas, electirc, rent, food, 2 kids,etc.

I was stating what was on my credit file. A t.v on hp at 21pm and a credit card at 20pm.

I never stated my monthly outgoings as £40pm, I said my financial commitments.

Please if you have nothing constructive to say, then the old "if you have nothing nice to say, then say anything at all" should be lived by.

I am only wanting some advice. Thankyou.