Joint Mortgage, 1 Partner with Bad Credit

Xyraxel

HI,

Me & my partner are currently saving up and plan on applying for a mortgage in 2016 I have a salary of £45k and my partner earns £28k.

However I have a bad credit history with two defaults totaling £4547 the latest default date was on 31/01/2012 those defaults took place when I was naive and in University without a job.

My partner has a clean Credit history with zero late payments or defaults.
Would we have any chance of getting a mortgage ?

I have been searching the internet and it seems even if I pay off the debt the default will still remain on my file and a new entry of settled will be put in my file indicating when I settled my debt.

Would I be better of not paying the debt and waiting till 2018 for the 6 years to finish, because if I pay the debt today a new settled entry will be made in my file dated 2015 and I will have to wait till 2021 for that to disappear from my credit file.

I would appreciate your thoughts and any guidance

ACG

There are lenders who will ignore defaults over 12, 24 and 36 months. By the time you apply yours will be 36 months+ whether satisfied or not.

Rates might be higher than the high street but not massively more.

amnblog

Lenders are interested in the date the default was registered. Settlement is preferable, but settlement date is not the major factor.

From the end of this month you should have options subject to a 15% deposit.

Thrugelmir

Xyraxel wrote: »

Would I be better of not paying the debt and waiting till 2018 for the 6 years to finish,

Then you run the risk of receiving a CCJ. You need to ask yourself if this a worthwhile risk if you wish to obtain a mortgage.