FTB with Nationwide DIP and Adverse credit - what are our chances?

MissHopeful

My partner and I had an offer accepted on a property three weeks ago.

Before the offer we spoke to a whole of market broker who said we had a good chance or getting a mortgage. After the offer was accepted we went back to the broker to get a DIP and also spoke to natwest and was advised that nobody would lend to us or chances would be slim as my partner has payday loans (last one 18 months ago) and I have two agreements (one with bcw and one with dwp) from 6/7 years ago that are still being paid and show on bank statements but not on a credit check. These are not IVA's.

We also spoke to an adverse mortgage advisor at L & C who advised us that Halifax would lend, but their rates were a lot higher than most other lenders.

We decided to apply direct with nationwide online as my partner has a save to buy isa with them. We got an instant DIP - yay

We are due to submit the full application online in the next few days.

However we're worried we are going to be declined at the underwriting stage when they see my statements or perform another credit check. What do you think our chances are of getting a mortgage offer?

amnblog

Did either of the two Professionals you spoke to suggest Nationwide?

MissHopeful

Yes they said Nationwide and Santander were possibilities as well as the others but they hadn't spoken to them to confirm.

amnblog

Then they have more faith than I do.

Madbags

Nationwide should consider it, they accepted us and I was discharged from a Debt Relief Order in 2012. My credit was still extremely adverse after that as I couldn't obviously obtain any more easily to make it better.


One of the requirements from Nationwide on our application was a "reason for adverse credit" and I had to write a letter explaining why I ended up in debt, taking the DRO, how I may have attempted to rectify the situation on my own and how things are better now/why they should lend to me/us.


We went direct and aside from it being an extremely complicated case and taking over 2 months to get an offer, as I mentioned in another recent thread on here. I couldn't honestly be any happier.

MissHopeful

That's reassuring. There seems to be some mixed reviews about them on here, so it's great you've had a good experience. Did they contact you before the valuation?

I'd completely forgotten about the money for the agreements coming out of my account until one of the mortgage advisors mentioned it when looking at the bank statements as I've been fine getting credit. I rang bcw and cleared the account today.