Mortgages with one missed credit card payment- which lender?

catlady12

Looking to remortgage. Very good credit scores apart from my partner missed one payment on a credit card in July, about 20 days late. He has no other missed payments in last 6 years nor do I and scores on credit files are both in the 980 to 999 experian range.

We are looking to borrow 65% LTV. Have more than adequate income - £51k basic partner plus £5k annual bonus, me about £12k basic plus £4.5k child maintenance in court order plus £4000 per year DLA paid for my son.

Looking to get £250000 re mortgage. Partner in job for 18 years. I work in permanent contracts for parish councils. However, as some parish councils only need a clerk for 3 hours a week I work in 5 jobs totaling 25 hours per week. They are all paid through PAYE Not self employed. I can do this as all based from home so can organise my hours as I wish.

Debt wise, I have none. Partner £200 per month HP on his car . He pays £750 per month child maintenance. However, this is made up of £544 per month mortgage on his previous month plus balance of the £200 in cash. This is all detailed in a court order.

I think our situation is good but slightly unusual.

I am wondering which lenders we should look to . Hoe much of a problem will the 1 missed card payment be in the context of very high credit scores and no other missed payments

catlady12

That should say £544 per month mortgage on ex marital home. And ANSI the court order states his ex has to have him off the mortgage by March 2015 or court will order sale of house . He will still pay out £750 per month though but all as a cash (well bank transfer) payment

kingstreet

Assuming a 25 year term, one well-known lender's affordability calculator indicates £268,410 based on;-

£51k basic & £12k basic + £4,500 maintenance

£950 commitments, no children living with you.

I tried to ignore the bonus, just in case.

With one late payment, a 65% LTV should be fine.

catlady12

We were thinking woolwich, natwest or skipton. Is one late payment a big no no if in last 12 months?

Thrugelmir

kingstreet wrote: »

no children living with you.

I assume there is at least one dependent as the OP is in receipt of both maintenance and DLA.

catlady12

Yes, one dependent who lives with us and 2 children who don't in respect of whom we pay the £750 per month.

Which lenders will accept DLA paid in respect of a child under 16 as income as it is quite a large amount of money and he has just had a new 5 year award of it

kingstreet

Thrugelmir wrote: »

I assume there is at least one dependent as the OP is in receipt of both maintenance and DLA.

Good spot. Wood, trees at this end.

You won't get DLA taken into account if it's for a third party.

You'll need a 5x income lender and a 30 year term to get this to fit affordability.

catlady12

Which lenders do 5 times income? Natwest and Nationwide say they will take DLA for a child.

catlady12

It says here nationwide will accept DLA for child under 16. How are they on other criteria and the fact my income is made up of several jobs. The irony is they are about the most secure job possible, I am their only employee and they are parish councils and can not be disbanded so will always need an employee

kingstreet

IMHO it is best excluded from the start because I think the underwriter will do so after looking at it. Nationwide;-

State Benefits Specifically for the Disabled

The following benefits paid because of a disability are an acceptable source of income provided the applicant can show a current letter of entitlement:

Incapacity benefit
Disability living allowance (DLA) for a person aged 16 or over
Disablement living allowance on behalf of a child under 16
Attendance allowance
Personal Independence Payment (PIP)
If the applicant has been told that its payment will cease on a stated date in the near future it will be excluded from the affordability calculation.

For both PIP and DLA the confirmation of the claim from the Department for Works and Pensions (DWP) must show that it has at least 5 years remaining or is ongoing. If there are less than 5 years left then the income cannot be used.

In addition, Nationwide does not lend 5x income.

I used your £12k basic. Is this not the parish council income?

I suggest you speak to a whole market broker to get this placed properly before you start having speculative credit searches.

catlady12

His DLA has 5 years and 2 months on his current award. For children they always award limited period awards but at the amount he is only 7 so still a way to go until he is 16.

I think what I need is a lender who will sit down and talk to us rather than just saying computer says no because if we explain our situation it is a lot easier to understand. Which lenders are good in that sense?

I am not being funny but I have found a lot of underwriters to be dense. For example, we have a large garden and a section of our garden has planning permission for a house on it which we are not actually going to implement. Britannia said oh yes but you could implement it any time and then we would lose money and LTV. To which I had to explain to them not to be so idiotic as how could we separate the title of the house up without their consent as lender! It just annoys me that a lot of underwriters lack a basic understanding of employment and property law