Any advice welcome!!

daveh88

So got an AIP from a building society - perhaps naively thought this would be subject to necessary credit checks. Offer then accepted on house and 3 weeks later mortgage has been declined.

Turns out I have a default on my file from a phone contract which I thought I had cancelled and chase up letters never reached me as I no longer lived there (yes I should of changed address and more importantly done the credit report before even looking at mortgages) - have paid it anyway but. it will be on file for the forseeable.

Anyway my partners credit is fine and potentially our bank will lend what we need based on their salary alone, but as we have a joint bank account is my poor credit going to come into play???

I am so stressed - I dont know whether to just tell sellers we are pulling out, feel really bad that they dont know we dont even have a mortgage in place at the moment.......help?

90% mortgage and FTB by the way.

GMS

If you can get in partners name only then this could be the way forward. However ensure that any lender is happy with the deposit source if it is coming from both of you. Many lenders would have an issue with deposit being provided by somebody not party to the mortgage but residing there

Dave_Ham

As GMS states, deposit source is likely to be the biggest challenge on a single application.

Be mindful some lenders will link you and therefore not be comfortable with lending.

What lender declined you?

When was the default and for how much?

Do you have copies of your Experian, Equifax and Call Credit to establish exactly what is on there?

amnblog

Extra 5% deposit will sort this out - is this possible?

daveh88

Thanks All -I didnt even think about the source of deposit as it is joint savings.

We were declined by Monmouthshire Building Society, not a huge place and apparently very picky but then due to the default Im not suprised really.

Ive not got all 3 credit reports, just the Experian one, which shows default for last month! Assume after sending letters for a few months they've now put on there, which I had checked this a few months ago all for the sake of £100.

Extra 5% not possible right now no, but if we are declined again (have sent applicatin to HSBC just in partners name) but have disclosed previous decline and that technically I would be a dependant? The looks like we shall just have to say good-bye to the house and keep saving.

Dave_Ham

HSBC are arguably the toughest lender.

Good luck

witchy1066

as far as I know the Monmouthshire do not use your credit reports , must be another reason they declined you, did you ask for a reason ?

they are very picky on other criteria though

this is based on personal experience only