FHTB scheme with 5 yr old default.

Wain33

Hi all,

Myself and my partner are looking at getting a joint mortgage. Our combined earnings are decent at around 65k p/a. We have a DIP from Natwest for 130k with 13k deposit using the forces help to buy scheme as I am in the RAF. My only issue is that I have a default from 2009 for 2300 from an old loan. It is due to be removed from my account in Jan 2016. I have a car on finance, phone and a small loan. I have had no further payment issues since the default. Does anybody think this will be an issue on our full asnpplication.

Thank you

stephenni1971

Why Natwest?

Also have you declare your FHTB repayments as an outgoing on the DIP? Although you won't start paying yet it needs to be declared as a future expense.

Wain33

We have a friend who is also making use of this scheme and his broker says natwest were the best option. Having read these forums now however I think we have made a mistake in not speaking to a broker first!

I made the initial application over the phone and informed them that this was forces help to buy and I believe she has factored in the repayment of this. However she said the application for dip was not classed as help to buy as the deposit will be over 5%...

Do you think the default will be much bother or not so much as it is about to fall off in January?

stephenni1971

Whats right for your friend isn't necessarily what's right for you.

The fact she said it wasn't HTB as deposit over 5% shows that she hasn't a clue about FHTB as it is a completely different scheme.

Your default is over 5 years ago and satisfied so most mainstream lenders should be in the mix.

Just because you have done a DIP you aren't committed to going with NW.

Proper advice would be a good idea...

Wain33

Thanks for your help with that, I had my suspicions regarding that when I was speaking on the phone with her. I shall definitely be taking myself to a broker then this weekend to speak about this. At least it is some good news about the default though!