some defaults worse than others?

jpowell79

Wondered if any mortgage advisor forum members could offer a second opinion on this one...

I am currently looking for a property to buy... I have 10% deposit and looking for a flat at around the £150k mark.

After recently speaking to a mortgage advisor at Bairstow Eves, and explaining my situation re: my 2 defaults, he told me to sit and hang tight until one of them comes off my report.

I have two defaults....

1st Default - Barclaycard (£4,500) defaulted September 2007, settled August 2008

2nd Default - Barclays Current Account (£590) defaulted January 2008, settled August 2008

So the mortgage advisor said that once the "big" default drops off my credit report (hopefuly in a few weeks time) I will have a far better chance of getting a mortgage and my options will be better.

But from what I've read, a £50 default is just as bad as a £10,000 default....so would I not have to wait until January 2014 before I can get a mortgage?

....to be honest I can't really wait that long....as I need to either buy or rent somewhere before Christmas, as my partner and I are expecting our first baby in Late November.....so I will also have a "dependent" in the new year, so I imagine that will also add a layer of complexity to getting a mortgage?

Should I rent for 3-6 months, then try to get a mortgage next year, or go ahead and try to get a mortgage as soon as the big default comes off in September?

any adive most welcome.

thanks

ACG

Once a default hits certain pressure points it knocks out certain lenders - typically that figure is around £500.

With 2x 5 year old defaults its probably not impossible to place this, although it wont be the easiest. Go and see an whole of market broker away from an estate agents and you might get this through.

But even if you were to hang on until the end of August, if you have a good solicitor its not impossible to get it all through by xmas.

kingstreet

Are both defaults visible on all three versions of your credit file?

jpowell79

kingstreet wrote: »

Are both defaults visible on all three versions of your credit file?

Hi Kingstreet, when you say all three versions, are you referring to the three main credit reference agencies, Equifax, Experian and Callcredit?

If so, I'm not sure.....they are definitely showing on Equifax....I will apply for a £2 statutory credit report from the other two to check, but I would imagine so.

ACG

You can get your call credit for free from noddle.co.uk

kingstreet

... or use https://www.checkmyfile.com to get all three in one place.

Remember to cancel any subscription though!

Experian_company_representative

Experian credit history data is NOT included in checkmyfile reports.

James