First Time Buyer - Credit History problems

jem8789

Hi All,

I'm a first time buyer looking to buy a house with my boyfriend at some point in the next year. We've started saving and have amassed a really good deposit already, and we've got a rough idea of how much we should be able to borrow given what we both earn.

The only problem is my boyfriend's less-than-exemplary credit history. It seems that he got himself into a fair bit of debt about 4 years ago and gave all his problems to a debt management company - Knightsbridge.

We've got a copy of his credit rating now from Equifax. It's actually worse than we thought. He has defaults against every single debtor, with the earliest being in 2009 - when he should have been under the management of Knightsbridge.

We're doing what we can; he's sent letters to each debtor (all debts are cleared now) asking for them to explain the defaults as he's never been notified and questioning what we can, but I'm not too hopeful.

I'm looking for a bit of advice as to what we can do from here. I've considered asking my dad if he'll enter into a joint mortgage with me so that we can afford the kind of house that we'd like and then using the income from my boyfriend and myself to finance it -Dad wouldn't pay a penny. I'm not sure how plausible this is though or how keen lenders would be.

If anyone has any thoughts or suggestions, that'd be fantastic!!

Thanks,
Jem

Thrugelmir

jem8789 wrote: »

We're doing what we can; he's sent letters to each debtor (all debts are cleared now) asking for them to explain the defaults as he's never been notified and questioning what we can, but I'm not too hopeful.

The defaults would have been registered due to non payment of the debt in accordance with contractual terms. There's no requirement to notify of defaults being registered. The information is placed in the public domain for the benefit of "others" not for the borrower.

When was the final debt repaid?

jem8789

The final debt was repaid at the end of September, although the credit report is showing £111 outstanding from Barclays - he's never had an account with Barclays and frequent phone calls to them have shown he's not even on their system.

Dave_Ham

Firstly get all 3 credit reports for him; Experian, Equifax and Call Credit

As said above, entering into a DMP constitutes a default so they are unlikely to amend.

That said, the default dates are in 2009 so you are likely to have solutions.

You will require a broker and likely that they will want to manually check your last 3-6 months bank account behaviour - saving is a good sign...

Good luck