Coming to end of debt management

Gillianc18

Hi there,

I am coming to the end of my debt management programme (I may even get settlement figures so can pay it quicker). Once this is finished will my credit score improve to apply for a joint mortgage?

Thanks

Thrugelmir

DMP will impact your chances of obtaining a mortgage for some time. Partial settlement wouldn't aid your cause either. Totally the reverse.

sirwiggum

At the end of my DMP, I had a couple of defaults and 'arrangement to pay' all over one of my accounts.
Until these are gone, it'd be difficult to get a mortgage.

Check your credit file, use the experian trial or noddle (callcredit).

Stabilo_Boss

Gillianc18 wrote: »

Hi there,

I am coming to the end of my debt management programme (I may even get settlement figures so can pay it quicker). Once this is finished will my credit score improve to apply for a joint mortgage?

Thanks

Hi. Congratulations on coming to the end of your programme, I know what a relief that can be. However as another user says it really depends how your credit file looks. Unfortunately if you have defaults, Arrangements to Pay (AP) and or CCJ these will really make it difficult to get any credit, especially a mortgage in the current climate. These adverse marks on your file will take 6 years to disappear. This will usually be six years from the date of any default or CCJ and 6 years from the last time you were in an AP (if you subsequently came out of it) or six years from the date at which you settled any AP/DMP.

On your other question about partial settlement. As far as I am aware your credit file will not detail the fact that it was a partial settlement as long as it is settled and so any future lender need not know that you did a deal with a creditor to settle an account.

Anyway, I advise you to do as the other poster suggested and check your credit file so that you can see how things will look to any lenders

longtermplanner

Partial settlement does impact your credit file - but equally it speeds up the day you become debt free and can start serious saving and the larger deposit you have, the easier it will be to get a mortgage.