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bad credit..mortgage help
Jambo5
Posts: 223 Forumite
Hi all, I am looking for some advice and hopefully cheering up as my credit rating is poor. Here is what happened.
In 2007 I was 20 year old and working as a self employed Joiner.
By October 08 I felt the recession most and could not find work.
Problem being at time I had a car on finance and multiple store cards from when I was 18. In the October I signed on dole and recieved £190 a month in Job seekers Allowance. Ironically £190 was exactly what my car finance and insurance was per month.
It was a double edged sword as I needed the car in case work came in but in never did. Luckily I was living with parents now rent free but split up with my partner of a few years and I admit I kinda give up. I found a little work eventually in early 09 and made what payments I could but by this time the damage was done.
So, in August 09 I joined the Army. By this time I had 5 defaults and 1 CCJ. By June 2010 I had paid all debt off in full and all were marked as 'Satisfied'. But this is also around the time somebody advised me to take out a Pay day loan. At time all young Soldiers seemed to do it and I was under impression that it would improve my credit score. Some 22 Pay day loans later I take out the last one on 01/05/12. Yes I am a Idiot!
I write this now aged nearly 28 now happily married in my married quarters provided by the Army. We are just like everybody else and want to buy our first house. I just can't help feeling like some sort of criminal. And this depresses me.
I have done some research and know that Defaults and CCJ's will fall off my Record after 6 years from the date they were added.
I did sign up with Experian and Equifax a year or so ago but cancelled. I have recently just signed up again with Noddle as some defaults are due to fall off.
And......some of them have. Three of them have gone. One of them is due to go in January 15 and the CCJ in July 15. So that should be me clear on that front. But what remains is them Pay days loans and up to 5 missed Payments from my car finance which I did'nt Default on and that was 5 years ago.
I got a Barclaycard to try and rebuild my score. I also have had a phone contract for 5 years and never missed a payment. I also have ran this house smoothly I never missed any bills for the last 15 months. Yet my score is 522 with Noddle.
I earn £27,000 a year but the wife makes less at £15,500, her credit score is 960. We have a deposit of around £10,000.
My questions are,
How long will it take for my credit score to improve after the final CCJ is removed?
She can only get a mortgage for £69,000, with this new help to buy scheme will she be able to get a bigger mortgage with the government giving more Equidy?!
If she gets a mortgage by herself will my wage at all play apart in the size of the mortgage?
Does anyone have advice on Mortgage Brokers?
Or any advice on Rent to buy?
Any advice would be greatly appreciated and as you can tell i'm not so confident that when my Final CCJ is removed and what feels like the longest 6 years of my life is over that I will be approved. I thank you in advance for any advice,
Cheers Jamb05
In 2007 I was 20 year old and working as a self employed Joiner.
By October 08 I felt the recession most and could not find work.
Problem being at time I had a car on finance and multiple store cards from when I was 18. In the October I signed on dole and recieved £190 a month in Job seekers Allowance. Ironically £190 was exactly what my car finance and insurance was per month.
It was a double edged sword as I needed the car in case work came in but in never did. Luckily I was living with parents now rent free but split up with my partner of a few years and I admit I kinda give up. I found a little work eventually in early 09 and made what payments I could but by this time the damage was done.
So, in August 09 I joined the Army. By this time I had 5 defaults and 1 CCJ. By June 2010 I had paid all debt off in full and all were marked as 'Satisfied'. But this is also around the time somebody advised me to take out a Pay day loan. At time all young Soldiers seemed to do it and I was under impression that it would improve my credit score. Some 22 Pay day loans later I take out the last one on 01/05/12. Yes I am a Idiot!
I write this now aged nearly 28 now happily married in my married quarters provided by the Army. We are just like everybody else and want to buy our first house. I just can't help feeling like some sort of criminal. And this depresses me.
I have done some research and know that Defaults and CCJ's will fall off my Record after 6 years from the date they were added.
I did sign up with Experian and Equifax a year or so ago but cancelled. I have recently just signed up again with Noddle as some defaults are due to fall off.
And......some of them have. Three of them have gone. One of them is due to go in January 15 and the CCJ in July 15. So that should be me clear on that front. But what remains is them Pay days loans and up to 5 missed Payments from my car finance which I did'nt Default on and that was 5 years ago.
I got a Barclaycard to try and rebuild my score. I also have had a phone contract for 5 years and never missed a payment. I also have ran this house smoothly I never missed any bills for the last 15 months. Yet my score is 522 with Noddle.
I earn £27,000 a year but the wife makes less at £15,500, her credit score is 960. We have a deposit of around £10,000.
My questions are,
How long will it take for my credit score to improve after the final CCJ is removed?
She can only get a mortgage for £69,000, with this new help to buy scheme will she be able to get a bigger mortgage with the government giving more Equidy?!
If she gets a mortgage by herself will my wage at all play apart in the size of the mortgage?
Does anyone have advice on Mortgage Brokers?
Or any advice on Rent to buy?
Any advice would be greatly appreciated and as you can tell i'm not so confident that when my Final CCJ is removed and what feels like the longest 6 years of my life is over that I will be approved. I thank you in advance for any advice,
Cheers Jamb05
0
Comments
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I've just bought a house in my name only as my husband has a poor credit rating and has just left the forces.
Your wage wouldn't be taken in to account for the mortgage if she was applying by herself. I've also heard that some lenders will treat other adults that are not on the mortgage as a dependant (and reduce their offer because of this).
I used London & Country mortgage brokers, they're free so no harm giving them a ring to see where you may stand.0 -
This EXACT same story was posted a few weeks ago, why are you posting it again?0
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fairy_lights wrote: »This EXACT same story was posted a few weeks ago, why are you posting it again?
Wow!! Thought I would spread my story as I was getting answers! That ok? jobsworth??0 -
No need to be rude, but by the looks of it every post you have made has been asking this exact same question. What answers and information are you looking for that hasn't already been given?0
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Sorry. Out of order I am!! Just no one is said anything about my adverse credit all gone by july next year and if this will help me massively? Sorry again stressful times!0
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Don't over look the Long Service Advanced of Pay (LSAP) option. Have a chat to the RAO for advice on this. You will pay it back monthly and they will put a second charge on the house but that shouldn't be a problem. Don't know the latest amount but about £8500 interest free.0
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Cheers Pete9501....to be honest I have look at it but want out yo what im good at(my trade).....dont want to be tied into this circus of a force much longer!0
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Don't rush to leave. We were always advised to buy before leaving at the 22 yr point because the Army was seen as a safe option by mortgage companies.0
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Howlong will it take for my credit score to improve after the final CCJ is removed?
She can only get a mortgage for £69,000, with this new help to buy scheme will she be able to get a bigger mortgage with the government giving more Equidy?!
If she gets a mortgage by herself will my wage at all play apart in the size of the mortgage?
Does anyone have advice on Mortgage Brokers?
Your credit score is irrelevant. It's the detail that affects lenders decisions. Once the CCJ is gone, it won't affect it.
My understanding of the Help To Buy scheme is that is bolsters low deposits to help people buyer quicker, not buy a more expensive house.
Dependant on lender, as a previous poster said, they may class you as a dependant. They certainly won't take your income as additional income for the mortgage.
You need a whole of market broker. This can be done from what I've seen as a joint mortgage but you will pay for that service (and they're worth every penny I can assure you) but your deposit is too low. A subprime lender is going to want at least 15% upwards if you can't get mainstream. Even then, if £10,000 is what you have for broker fees, solicitor fees and your deposit, I fear this may be a non-starter but I don't know how much you're looking to borrow.0 -
So no chance again for me! So adverse credit is not six year maybe alot more. They should teach kids in schools possible risks about credit related stuff!! Not happy!!!!0
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