Help to buy after bankruptcy

erlando1

This year it will be 6 years since I went bankrupt and the bankruptcy will disappear off my credit report. I was released from bankruptcy after 12 months but it is obviously still showing. Apart from that my credit report is squeaky clean.

I will be looking to buy a house this year and will be a first time buyer so looking at the 'help to buy' scheme.

On this scheme it does say you must have no history of difficulties in meeting debt payments. Is this just on your credit report (past 6 years) or can it be tracked back further? It just seems that if it does go back further I may struggle to get on the property ladder for a long time waiting to save the full 20% deposit.


Cheers

ethank

You do not say which HTB scheme.
There is a range of options available through Help to Buy. These include:

• Help to Buy: Mortgage Guarantee for Reslae Homes (available across the UK)
• Help to Buy: Equity Loans for New Build homes (available in England)
• Shared ownership (available in England)

erlando1

ethank wrote: »

You do not say which HTB scheme.
There is a range of options available through Help to Buy. These include:

• Help to Buy: Mortgage Guarantee for Reslae Homes (available across the UK)
• Help to Buy: Equity Loans for New Build homes (available in England)
• Shared ownership (available in England)

It will be the mortgage guarantee for resale homes

ethank

There are limited lenders offering this. A few are

• Bank of Scotland
• Halifax
• NatWest
• RBS
• Aldermore
• HSBC
• Virgin Money

I don't know the underwriting criteria for them, but I have heard that some of them are hard to obtain


Don't approach any lender who was aware of your backruptcy, as they may well retain this info.

Wh05apk

ethank wrote: »

Don't approach any lender who was aware of your backruptcy, as they may well retain this info.

Lenders/solicitors will always do a bankruptcy search, so it is not something you can hide.


Also some lenders will decline outright if you are (or ever have been) bankrupt, so check their criteria before applying.

ethank

Yes, but the OP said it is almost six years - at which point it will not be on the register.

erlando1

On 2/12/14 it will have been 6 years so my question is will mortgage companies and banks be able to find out that I have been bankrupt after that date? If so what is the point of it disappearing off my credit report?

Im not trying to fiddle the system I am just trying to find out what my chances are.

kingstreet

It will still be visible on the solicitor's bankruptcy search, so when asked "if ever" you should disclose it, unless specifically asked "if in the last six years", then you shouldn't.

ethank

Thanks for that. I was not aware of that. You learn something everyday!

joe134

kingstreet wrote: »

It will still be visible on the solicitor's bankruptcy search, so when asked "if ever" you should disclose it, unless specifically asked "if in the last six years", then you shouldn't.

Hi Kingstreet, does this apply to unsettled CCJ,s ,and where does the solicitor get his info from.?
I,ve been told, by Experian, CCJ,s are untraceable after they have dropped off after 6 years, unless you apply to the lender concerned with the original CCJ.

kingstreet

No it doesn't apply to CCJs.

The bankruptcy search is done by the solicitor, normally close to exchange of contracts, using the trustonline system, AFAIK.