Advice required - Good credit score, but struggling for Mortgage approval

sindakit

Hey all,

I hope to buy a house in the near future but am struggling with Mortgage approval and AIPs through online soft credit checks, so I'm here seeking some advice how to improve the situation.

Let me give you some details:

I have a 977/999 credit score with Experian (I don't have an account with any other agency).

I have a landline, electoral registration etc. followed the MSE guide to improving credit score.

I have an open CCJ on the file for £2000 from the student awards agency over-funding me in error that I ignored when I was poor. I only have £750 left to repay, which I can easily afford now to pay off, however I believe it remains on file for 6 years from order date regardless.

I have two credit cards that allow me £1,250 of credit, I rarely use these and pay them off in full each month if I ever do. Plus a £1500 overdraft allowance, but I have not needed to use it for sometime since entering full-time employment.

My questions are:
1) Would it be beneficial to pay off my CCJ or not?

2) Am I being denied because of low credit available even though it's not in use?

3) If so, should I apply for a larger credit on my cards to improve my credit 'worthiness'? i.e seek a £5k card to increase my limit.

4) I know I can maybe chat with my bank manager and show I'm financially secure and more than capable of repayment but will this limit my Mortgage options and lose out on the best rates?

I can't see anything else that may be restricting my approval.

All next-step advice welcome
Thanks

Pixie5740

Your credit score is meaningless. It's just a means for Experian to extract money from you. What is important is your credit history and affordability.

A settled CCJ is going to look better to lenders than an unsettled CCJ.

What is your affordability like?

Talk to your bank manager? I'm not sure that still happens any more, you'd be better off engaging the services of a mortgage broker to find a lender suitable for your circumstances.

David_White

When was the CCJ originally registered?

amnblog

This is all about the CCJ.


Everything else is most likely a red herring.

sindakit

David_White wrote: »

When was the CCJ originally registered?

December 2012, so it will remain on file until 2018.

Affordability at present: I pay £650 per month for rent and have £1000+ spare cash after utilities each month - after two degrees, I still live like a student!

kingstreet

It will become less significant in December 2015 when it's three years' old than it is now.

getmore4less

Income deposit how much are you trying to borrow?

Thrugelmir

sindakit wrote: »

1) Would it be beneficial to pay off my CCJ or not?

I can't see anything else that may be restricting my approval.

Yes. As extending repayment of the debt tells a lender much about you.

I have a 977/999 credit score with Experian

Which is totally worthless if you've an unsettled CCJ.