Credit check means no mortgage

Beneecha

Hi all

I'm stuck in a ridiculous situation which I can't quite believe.

My wife and I have have applied for a mortgage but have been refused because she 'missed' a payment on her credit card in June.

But she didn't miss a payment. She carried out a balance transfer and cleared the card. However, after this had happened a small amount of interest was added to the card which she was unaware of. The credit card company eventually wrote to her to say she owed £7.33 which she paid immediately.

But the mortgage lender now says a missed payment shows up on her credit record so we can't have the loan unless we get it cleared off her record.

The credit card company are looking into this but I'm not hopeful.

Does anyone have any experience of this? Is it likely that we will get this fixed?

Thanks

Ben

tvfreek

One missed payment isnt the worst issue on a credit file although can cause issues if very recent especially when applying for a mortgage. If its a genuine error on their part I'm sure the entry will get corrected but its seldom done very quickly. It wont prevent you from getting a mortgage in the future tho.

amnblog

Don't assume that all mortgage lenders will take this overly negative view on this missed payment - they won't.

Beneecha

Thanks. I think it's an issue because it's 90% ltv

I really hope we can sort it. It seems ridiculous that our attempt to buy a house is being held up by £7.33

ACG

Its not £7.33 - its that you have not kept on top of your financial affairs. You would/should have received a statement showing the payment and interest. I used to work for RBS credit cards and you were effectively paying interest until the date the balance transfer hit the account. Whether its 1p or £1500 - its the same principle behind it.

If thats the lenders criteria, then thats their criteria. You may need to find another lender for this if they are not prepared to overturn it. The credit card company have done what they are obliged to do - give an accurate account of your credit report. You may get them to remove it, but they do not have to.

kingstreet

Get all three versions of credit file.

Establish which version(s) this appears on.

Instruct broker and get lender which only takes data from the CRA where her credit file is clean.

GMS

May be worth trying to borrow £100 less than 90% LTV. Sometimes it can help the credit scoring.

Thrugelmir

Beneecha wrote: »

Thanks. I think it's an issue because it's 90% ltv

How much is owed on unsecured credit? Balance transfers suggest that debt is being rolled over rather than being repaid.

MLSY

which lender is it ?

there are a lot more lenders out there based on the information you have given