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PayDay Loan Effect!

Hello,


My OH and I are saving for a deposit for our first house, currently at £11,215.58!


In the past we have both had issues with credit. OH has now got a clear history as last late payment dropped off in Apr 14. Mine however is less rosy! My default dropped off Aug 14 (thank god) but I have a couple of late payments due to drop off in 2016 and 2017 (no worse than 2 months in arrears in both cases)


My main issue is W*nga. Took out several payday loans in 2012 (bad times for me, long story) but all were paid back on time and all 5 have a nice green dot and were paid back when requested in full.


Will mortgage companies discount us purely as I have taken out payday loans?


Thanks


CO

Comments

  • Some will. You may want to see a broker to advise you.
  • Thank you, We will do just that.

    Will it make any difference that we are looking at shared ownership and that we will only be borrowing roughly £55,000?

    CO
  • Millions of factors will make a difference, a broker will be able to find a deal suited to you with your payday loans. As they're 2 years old you shouldn't find it to be too much of an issue especially if you go through a broker.
    Credit 'Score' - Don't buy the credit 'score' that Experian, Equifax and Noddle want to sell you. It's an arbitrary number that means nothing when it comes to applying for credit.

    ALWAYS HAVE A DIRECT DEBIT SET UP FOR THE MINIMUM PAYMENT ON YOUR CREDIT CARDS, REGARDLESS OF WHETHER YOU PLAN TO LOGIN AND PAY EACH MONTH.
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