Help how to get mortage in future if on Debt Mangement Plan

HappySad

My partner is on a debt management plan which frozen interest on £17k. His credit score is poor; but he has recently added his name to electoral role. He works in same job for many years. His debt was due to failed business.

My credit score is perfect; but I don't work as a stay at home mum to young children with one disabled. I am looking to earn a few hundred a month self employed.

I own are home with little mortgage so we can generate about 3/4 to 2/3 deposit in new place.


We are hoping to move to an area that has a school that would be perfect for both my able and disabled son.

We would like to get a mortgage in a year and a half. Is there something my partner can to to allow him to get a mortgage? how can we improve his credit score? Are their lenders who will lendo people on debt managent schemes? . What about getting a credit card to build his credit rating. All advice welcome.

amnblog

The DPM in the background will leave you with specialist lender options only.

Don't apply for any credit you dont need to 'improve his rating'

The DPM will be killing his score anyway.

kingstreet

Applying for new credit may well see his creditors sniffing around to see how he can afford to take on more credit while being unable to pay them the contractual payments.

As the likely options will be with specialist lenders, they won't be too concerned about the mythical Experian credit score as they consider each case on its own merits, as credit scoring doesn't really work in the adverse sector.

HappySad

kingstreet wrote: »

Applying for new credit may well see his creditors sniffing around to see how he can afford to take on more credit while being unable to pay them the contractual payments.

As the likely options will be with specialist lenders, they won't be too concerned about the mythical Experian credit score as they consider each case on its own merits, as credit scoring doesn't really work in the adverse sector.

Thanks....
Where do you find specialist lenders. Is there a list or website to search for best rates.

kingstreet

Most of them are broker-centred and don't take business direct from the borrower. I suggest finding a good whole market broker in your area, perhaps by personal recommendation and talk to them about your requirements.

Ensure early in the process they provide you with an Initial Disclosure Document which will set out their service and how they will be paid.

Avoid paying high "on application" fees, as the broker may have less incentive to see the case through. A small application fee and a higher completion fee, or commission from the lender on completion will keep the broker interested in your case through to you moving in.

Thrugelmir

Speed up repayment of the debt. No lender is going to consider advancing further credit while the DMP lurks in the background. Too many potential complications.

chanz4

does he have a condition on the dmp which says he wont take further debt?

HappySad

kingstreet wrote: »

Most of them are broker-centred and don't take business direct from the borrower. I suggest finding a good whole market broker in your area, perhaps by personal recommendation and talk to them about your requirements.

Ensure early in the process they provide you with an Initial Disclosure Document which will set out their service and how they will be paid.

Avoid paying high "on application" fees, as the broker may have less incentive to see the case through. A small application fee and a higher completion fee, or commission from the lender on completion will keep the broker interested in your case through to you moving in.

Great advice. Thanks 4 this. :T:T:T