Mortgage Declined

mossyboy88

Hi people,

Looking for a bit of help/advice, me and my girlfriend went for our first mortgage last week which was declined on my credit check.

I have couple bits on finance my car and sofa which is all pay for on time plus all my flat bills which I know is not credit. I was told it was declined because some late payments on a phone bill 2 last year and 3 the year before. The phone bill was actually my sisters that I got out for her in my name (but payments from her bank) in 2011 before I was even thinking about a mortgage.

I didn't know she missed payments and it wasn't until it was declined that I found out and it has really messed up things for me and girlfriend, for one missing out on a house that we loved. Plus the stress and panic this has caused.

The house was a pre-fab which is hard to find the lenders for in the first place, we applied with Santander. Our mortgage advisor said it would be easier to get a mortgage for a brick house which is more expensive now.

So my questions is:
Is there any way I can get the phone account removed from my credit rating?
Will it still affect me again if I go for a brick house?
Also how can I get a mortgage that is more expensive for a brick house then a cheaper one that was declined on the credit check?
Has this happen to anyone before and what did you do?

I am really worried that me and my girlfriend are going to be in the mess for ages which wasn't our fault(apart from me being stupid and getting the phone in my name):mad:

Also forgot to say my credit score is 985 at the moment.

Thank you in advance.

[Deleted User]

The late payments will affect you whatever you buy. However other lenders may view their impact differently, and brick house will have more lending options.

I'd suggest using a broker for you next application.

On, and ignore your credit score. No one ever sees it apart from you.

Teqpro

You need to reset and look at why you was declined and yes the Lender guessed right.

You purchased an item on credit it could be £1 or £100,000 and you did not take responsibility for it, you ignored 3 late payments or failed to keep any eye on the monthly bills, received lots and lots of letters for months then a final 28 days notice that you will need to pay up or you will get a default.

I'm sorry to be blunt but the same happened to me when i was 18. I had a Next mens card and never bothered paying it, then 3 years later i had a better job and i regret my mistake.

mossyboy88

My credit history is perfect apart from this one phone bill, it was settled in November last year, how long will it affect me for?

As it was never being paid from my bank account can that be proof to the lenders via statments, that I made a mistake by letting my sister get it in my name?

I just need a bit of hope lol.

Angry_Bear

mossyboy88 wrote: »

My credit history is perfect apart from this one phone bill, it was settled in November last year, how long will it affect me for?

It will still show on your credit report for 6 years from the last late payment (or closing the account if it's closed now). But the impact will lessen as time goes on, and some lenders don't pay attention to phone contracts at all - as said above, it's worth asking a good broker.

As it was never being paid from my bank account can that be proof to the lenders via statments, that I made a mistake by letting my sister get it in my name?

Just my opinion, but I really wouldn't recommend doing this, as it sounds dodgy and slightly dishonest (letting your sister take out a phone contract in your name, without accepting that this makes you responsible for the payments) - just my 0.02 but I think it probably reflects worse on you rather than better. Sorry!

mossyboy88

I'm hoping it was just because I was trying to get a pre-fab and only really had two lenders to pick from Santander and Nationwide.

A good broker, a brick house and a more favourable lender is my option then I guess.

Angry Bear I understand what you are saying, my mistake that I will have to learn from and lesson well learned.

PaulW922

I agree with the above - do not apply for any more mortgages directly - go to a broker. They can look at your credit file and then direct applications accordingly.