4 year old satisfied default want 85% mortgage HELP PLEASE!!!

Cppercy

Hi all, posting this again for more advise on where to apply for a mortgage.

please any advise would be appreciated.

I'm applying for a mortgage Friday with Halifax, I have a 15% deposit and earn £50k per year. I am a first time buyer and the loan is for £134k.

Background history is around 8 years ago I broke my leg badly and was unable to work. I fell behind with many accounts and defaulted 4 times. All defaults were satisfied with exception of 1 I disputed the amount of, this default was not registered with credit reference agencies until oct 2008 when cabot took it over. I then took up the dispute with them as they could not produce any paper work and had upped the amount to £1242 from considerably lower amount. The other defaults fell off my credit file over last 2 years but this 1 remains, although I was able to finally reach an agreement and satisfy the amount earlier this year when cabot accepted an offer I'd made a year beforehand!!!

So my question is given that I have not missed any payments on any accounts for over 6 years and my credit file is perfect with the exception of this satisfied default which was registered over 4 years ago would I be likely to be declined for an 85% ltv mortgage with the Halifax. My credit scores are 911 with experian and with equifax its 464, I have a credit limit of £2400 with capital one credit card but a bałance of only £200. I have had 3 hire purchase cars in last 7 years, 2 settled and the current active. No missed payments on anything at all. I've rented for last 4 years and paid on time all the time.


Just stressing because I really want this home.

GMS

What was wrong with the answers on your other thread?

https://forums.moneysavingexpert.com/discussion/4299637

Speak to a broker is the short answer.

Angry_Bear

There are rules about registering a default in a timely manner. The general guidelines are that a default should be registered by about 6 months after you stopped making payments - so Cabot are not entitled to register this as a "new" default in 2008.

I know this isn't really an answer to the question you're asking, but if things don't work out with this house, you canprobably get the date of this default changed - which will mean it drops off your credit file. The Debt-Free-Wannabe will be able to point you at the exact guidelines and probably a template letter.

Dave_Ham

Ok, with the additional Car Finance achieved it is probably likely that Halifax will accept. If they identify the default then they will decline.

Given the recent good conduct (and assuming bank statements verify this) then as I said on the other thread; you are much more likely to be accepted by a Building Society on similar terms..

Have a look at the local Building Societies or get a broker to backup.

No one is going to tell you that this is all going to be ok in advance of Friday (or after as you need the full application details) but I wish you well...

Cppercy

Nothing wrong with answers on other threat just want to pool as much information together as possible.

Thanks Dave Ham, and all for advice.

Cppercy

Btw. Broker recommended Halifax "...as they do not leave a credit footprint..", is that correct?

Dave_Ham

Sort of - debating on here yesterday. It is a soft footprint, although it does credit search.

Issue is that the soft search means they only check 3 years and hence when they do the full application, they could then decline...

kingstreet

Cppercy wrote: »

Btw. Broker recommended Halifax "...as they do not leave a credit footprint..", is that correct?

It does not leave a footprint visible to other lenders, but the downside is the result is simply not reliable for someone with historic adverse credit, particularly at another address.

Only the result of a full application can be viewed with confidence by such a borrower.

Thrugelmir

Cppercy wrote: »

although I was able to finally reach an agreement and satisfy the amount earlier this year when cabot accepted an offer I'd made a year beforehand!!!

If settlement was not made in full. Then this may be registered as a default on credit file.

Tis the downside of making full and final settlement offers that are accepted.

Buzby

Although not if you had the foresight to negotiate that settlement on the basis of removal of the default. Which, as unlikely as it may seem, is within the power of the creditor to do.

Cppercy

I have requested they remove the default based on their lack of paperwork and the only paperwork they could provide stated I was a woman when I am in fact a man.