Default in last 6 years v Default - ever

cmssbrie

Hi guys,

From some posts, it seems that different lenders ask differently about defaults, and when the defaults were from. It seems to be a mixture of 2 x questions:

Have you ever had an account default in the past 6 years?

or

Have you ever had a default?

Does anybody know which lenders ask which question when it comes to mortgages?

TIA

amnblog

If you have a default registered within the past 6 year you should engage a mortgage broker.

You don't solve the issue through semantics.

ACG

I disagree.

Thats what we get paid to do at times. The problem is, individuals have no way of knowing unless they call up lenders and ask about the question wording - I would be very surprised if a call centre knew that though.

Sadly we cant advise of lenders as it could be seen as leading, but if you get a good broker on the case, im sure if your only issue is a 6 year + default there will be lenders for it.

Let_Us_See

cmssbrie do you have a specific situation you wish to discuss and need help with?

cmssbrie

Thanks guys - understand the position about leading.

Let Us See - in short, my situation is:

I currently have 5 x defaults remaining on my credit file (went on a DMP in 2008).

Every single one will be removed from my file by the end of the year, and so it should be pretty much 'clean', as there will be no adverse markers on there. Next year we will be looking to move house, and looking for a new mortgage.

I know the advice is to go to a broker - which I fully understand, but I guess my question is - will any mortgage broker be able to help - given the default accounts from 2008?, or should we be looking at a broker with experience of adverse credit - even though the credit file will be clear when we apply?

Mortgage_Mark_2

I know of one lender at least who will have no problem with that situation, however they are a broker-only lender so you wouldn't find them yourself even if you wanted to.

Best advice is to see a broker sooner rather than later, but have all three copies of your credit report to hand at the time (Experian, Equifax, Call Credit/Noddle) so that he/she can see the actual impact the DMP has had on your credit file, and who best to approach.

ACG

Im with the above, there will be atleast 1 lender although im sure there will be more options.

The DMP could possibly be a bigger issue than the defaults.

This is why we (as brokers) do factfinds, as it allows us to get everything we need down on paper. What you think is important may not be the biggest or only issue, as is the case with this.

I think I would just save my time and go straight to a broker. There will be lenders for this but very few (if any) any high street lenders.

Mortgage_Mark_2

zain8500 wrote: »

It remains for 6 months only.

What does?

A default remains on your credit file for six years from registration...

Angry_Bear

Have reported previous post as spam as it looks like the poster is just trying to build up post count to post links.

Thrugelmir

Angry_Bear wrote: »

Have reported previous post as spam as it looks like the poster is just trying to build up post count to post links.

Done likewise

Koicarp

I came off dmp october 2011 and remortgaged september 2012. I was paying the dmp at over £1k per month by the end, so suddenly had a fair bit of cash once it was paid off. I used a broker and they found me a mortgage with halifax- though the rate wasn't great. I was also refused by my own bank as soon as I told them of the dmp, though when I queried this by email I received a call telling me it was a mistake, apologising and an offer in principle was made.