Advice required please.

Blue_Bells

Hi guys and girls.

I would like some advice please.

My ex husband left me with an old credit card debt that went into default. It has just dropped of my credit file with it being six years old. i did settle it but i remained on my file


Any way, I would like to buy a house after renting for a few years, Ive had two mortgages before.

I have a deposit of £15k and my salary is basic £32k with around 1k in bonus and 2k in over time per year.

I have no CC debts or loans and have not had any for a number of year, in fact no credit for nearly eight years so you can imagine my Credit report is not a high number.

The question is, do you think I could get a mortgage for perhaps a £125k house?

I have no dependants and no debt.

Your advice is really appreciated.

Thanks

Blue.:A

McKneff

If the default had dropped off your credit file, it is absolutely irrelevant because it will not show up on any searches.

You could get a credit card or a contract phone etc. to build up your credit score and hopefully bobs your uncle.

You maybe could see a mortgage adviser

Blue_Bells

Thank you McKneff.

Would the low number credit number have an effect on a mortgage now?

I dont really want to wait twelve months for a loan or CC to build up my score?

Thanks

Blue

Building_Surveyor

Get all three of your credit reports take them to a broker and start from there. What happened to the 2 mortgages you said you had in the past, we're they paid off?

Blue_Bells

Hi Building Surveyor,

I had my first mortgage at 18 and sold the house at 20, then used that money to finance my next house.

After the divorce I sold the house and paid the mortgage off, that was with nationwide so I was going to try and go to them this time too?

Is that ok do you think?

Blue

Building_Surveyor

The only reason I asked was in case it was a repossession or something. Im no broker but Personally if the 6 year old default that has now dropped off your file is the only thing you are worrying about then you should be fine. Would suggest you do get a credit card though and pay off the balance every month to build up some payment history.

originalmiscellany

I fear the mortgage will be a challenge as you're asking for 125-15 = 110k mortgage on a 33k salary - that's pushing 4 times your salary. It's do-able but it's going to be a big chunk of your money isn't it?

Building_Surveyor

110/33 = 3.3x income. I would have thought that's about the norm, and that excluding the bonus and overtime.

Blue_Bells

Thanks for your advice Gentlemen.

I done a quick check on Nationwide website and when I put in my salary and payment commitments they stated that they would lend around £180k i think, the payments on that would be a little too much for poor old me but on a £110 mortgage I could easily manage as I'm paying £750 a month now in rent.

Ive enjoyed the city centre life for too long now

Would you recommend me telling a broker or lender about the default falling off my report or keep schtum about that?

Blue

Building_Surveyor

Blue_Bells wrote: »

Thanks for your advice Gentlemen.

Would you recommend me telling a broker or lender about the default falling off my report or keep schtum about that?

Blue

I wouldn't lie no. If your using a broker you need to tell them all the facts so they can place your application with the best lender for you. Brokers normally ask if you've ever had any type of adverse.

P.s I am a lady lol

Blue_Bells

Thanks once again, all helpful information.

Do you rate the nationwide calculaters on their website?

Blue Bells (lady too)