CCJ Mortgage

Killykev

Hi all,

First post..... Here goes!!!

My partner and I want to get on the property ladder and have a few questions before we apply.

I have a ccj for £150 (satisfied) from 2012.
I have no defaults.
I have a 2.5k vanquis card.
She has 2 defaults from 2013, accounts are up to date now.

Has anyone on here been able to get a mortgage with a CCJ?
Will I get a mortgage with a high street lender?

Just looking for some realistic advice to determine if we should go for it now or wait until it falls off?

Also - we only have £15k deposit at the moment. Some posts say you need 25% with a ccj.

All advice welcome.

[Deleted User]

It's a tough ask, so engage a good broker who specialises in adverse credit.

LilPretty

Hello Killykev.. you are able to get a mortgage with high street lenders.

Try nationwide / halifax and a few others.

there is no set rule to how much deposit you should have due to having a cci, but the higher the deposit, the better your chances.

The decision to go for it now or delay - should be based on your analysis - i viewed a property in 2014 at 350/400k... same street is up on the market today at 550k..

all the best

Thrugelmir

How much do you owe in unsecured credit , i.e. credit cards, loans etc.

Killykev

Thanks for the replys. I owe 2k 75% on a cc (all green) my partner has £800 90% on a cc (all green) no loans or finance etc...

My worry is I applied for a balance transfer last month and got declined so I'm thinking there is no hope of a mortgage.

Will have 10% deposit just now so I'm thinking about saving for a while yet as I hear you need at least 25% with a ccj (will pay off cc's in the meantime).

boo_star

Killykev wrote: »

Thanks for the replys. I owe 2k 75% on a cc (all green) my partner has £800 90% on a cc (all green) no loans or finance etc...

My worry is I applied for a balance transfer last month and got declined so I'm thinking there is no hope of a mortgage.

Will have 10% deposit just now so I'm thinking about saving for a while yet as I hear you need at least 25% with a ccj (will pay off cc's in the meantime).

Could you explain what the 75% and 90% mean please?

Is that utilisation? I hope it is (although the that wouldn't be great.)

Brock_and_Roll

The obvious advice would be that it is crazy to have £2.5k on a credit card paying 19% interest or whatever whilst having £15k in the bank earning nil.


So, pay off the cards and save for a few months to refill the deposit pot - this will improve your mortgage chances as well.


If you find that you cant save any money, then you need to re-think your finances. Comparing your rental payments with mortgage payments is problematical as there are lots of extra regular and unexpected costs associated with owning your own home.

foxy-stoat

I was able to get a mortgage with 25% a year after my IVA finished so you should be able to get an offer somewhere but use a whole of market broker rather than going on to the high street.

I would pay down and clear the credit cards first though and keep adding to the deposit as the higher it is the more likely you will get a good rate. The only reason anyone should have a Vanquis card is for credit history building - 39.9% is an insane rate to pay - on £2000 balance the interest is around £60 a month - how much are you paying off each month and are you continuing to spend on it?

You'll need additional cash for legal fees and stamp duty if over the threshold so factor these in also.

Killykev

Not the greatest at saving so I set up a dd for the deposit and forget about it then pay a chunk to the cc but end up using it. I'll get to the bank tomorrow and clear both cards.

Yes the % is utilisation.

Thanks for the replys/advice, especially from someone who has been able to get a mortgage with issues on the credit report.