Adverse Credit Question

maff39

Hi everyone,

Quick question regarding adverse credit...

I have 2 defaults on my credit file from 2010 which I have disputed through Experian (the dates were incorrect) and have been applying for mortgages over the last month. We were declined from a couple of high street lenders due to credit score but received a DIP from Aldermore which has now gone to full application, valuation completed over the weekend etc.

I've just found out today that Experian have removed the 2 defaults from my file meaning my score has now jumped up into the 'Excellent' category (never missed a payment on anything since 2008 etc).

Should I be looking to re-visit high street lenders with my newly clean credit file? The difference between payments between the high street and Aldermore is about £200 a month, but I feel it's a massive risk if we withdraw from Aldermore to go elsewhere?

Any advice would be hugely welcome!

WillyWonga

Credit scores are worthless. Its down to the own individual bank to look at the risk. A credit score doesnt take into account affordability which banks will check on.

Its a risk, a big risk to turn Aldermore down and then get rejected elsewhere. I would bite the bullet and stop with Aldermore for at least a year then look to remortgage. Then even after a year the big boys turn you down you still have the house you wanted.

David_White

I'm amazed you went to Aldermore in the first place if you just had a couple of defaults from 2010 and no other issues.

Did you do this through a broker?

I would get proper advice before jeopardizing the deal you already have agreed.

maff39

Yeah, we've gone through a broker.

Unfortunately it's slightly more complicated in that it's Help To Buy on a new build so we're already limited with choice of lenders, then it's been complicated by the structure of the incentives as the builder is paying the stamp duty (which at £12.5k we can't cover with our savings).

We had a DIP with Halifax but they would only accept £4,400 Stamp Duty contribution, then with Natwest who turned us down at full application stage because of my other half's account conduct on a student bank account in around 2006.

Essentially we've ended up at Aldermore as they are the only one's left who accept the incentives and (before my defaults were removed) passed us at credit score.

Thrugelmir

Defaults are one thing. Account conduct is another. This will remain as is.

David_White

From your reply It sounds like your broker has a pretty good handle of this to be honest.

I'd speak to them as they're far better placed to answer the question.

Anzhelka

David White,
Are the high street lenders more strict then for example Leeds building society? Just wondering why our broker has suggested to apply through Leeds first.