Do we have a chance of getting a mortgage?

RTC87

Hi,

We have reserved a new build home using the help to buy scheme and are looking to borrow £129,000.

Having looked close at our finances and my partner opening up about some debt I didn't know existed (we're not best friends at the moment :mad:) I'm worried we'll have trouble finding a lender when we run through with a broker later this week.

To give you a run-through in a nutshell. We have savings for our 5% deposit and moving costs with the builder covering stamp duty. I have a credit card with £800 balance on and in the last few months fell into my planned overdraft by a couple of hundred pounds when our daughter changed nursery and we had overlapping fees. I came out the overdraft when I was paid, went into it the following much but by only £90 and am now completely clear.

My partner doesn't have a planned overdraft and in the last few months has gone over her bank limit three times (only by £1 - £2) before noticing and transferring money from our joint account within a day or two.

We also have childcare costs totalling £900/month with a joint income of £50k per year.

With the above in mind I was worried but thought we'd be OK based on the fact we've been saving £400 every month for the last year.

I have today found out my partner has debt of £2300 for unpaid council rent and water bills from around 6 years ago and have been paying £10 a month as agreed on each every month.

Do we have much of a chance getting this mortgage or are we a lost cause?

Appreciate any advice and I know any advice is just opinion but would be good to hear an honest few as friends and family just say "all will be fine".

Sorry for the essay :A

amnblog

Your relationship sounds salvageable but you will need the assistance of a sensible mortgage broker.

RTC87

amnblog wrote: »

Your relationship sounds salvageable but you will need the assistance of a sensible mortgage broker.

Does it really, I seriously thought we'd be past the point of consideration. We are now meeting with Barratts mortgage broker tomorrow evening now.

We've checked my partners credit file this evening via checkmyfile and her outstanding debt I mentioned isn't seen on there at all. Do we have to declare this? Or can we not mention it as the £10 payments show on the bank statements each month.

amnblog

You should mention everything to a broker. If the Barrett's rep says no, don't assume that's the end if it.

RTC87

amnblog wrote: »

You should mention everything to a broker. If the Barrett's rep says no, don't assume that's the end if it.

Thanks for your opinion. If I could put you on the spot, and I know this isn't official finance advance, does it sound like we'd be on the edge of acceptance or would you be confident of finding a lender?

If it makes a difference, the proposed mortgage would be around £80 less per month than our rent and I have never missed a bill payment ever!

amnblog

This is one I would expect to be able to do.

RTC87

amnblog wrote: »

This is one I would expect to be able to do.

So just as things look up they suddenly go south. It now also seems that between 2013 - 2014 my partner took out 7 Wonga loans, each was paid back in full within the specified period but I've always been told this is a massive no no!

Beyond the lies this has brought to light its annoying as I believe these weren't even for her but for family who were having a hard time.

Obviously these now appear on her credit record, taking in context with what I posted in the opening post are we likely to struggle?

Got to be honest this is pretty heartbreaking for me as I've never missed a payment for anything and managed money well, to maybe not be able to get a mortgage now just feels like being punished for something I had know part in...

ShivasPlace

RTC87 wrote: »

So just as things look up they suddenly go south. It now also seems that between 2013 - 2014 my partner took out 7 Wonga loans, each was paid back in full within the specified period but I've always been told this is a massive no no!

Beyond the lies this has brought to light its annoying as I believe these weren't even for her but for family who were having a hard time.

Obviously these now appear on her credit record, taking in context with what I posted in the opening post are we likely to struggle?

Got to be honest this is pretty heartbreaking for me as I've never missed a payment for anything and managed money well, to maybe not be able to get a mortgage now just feels like being punished for something I had know part in...

The PDLs are over 2 years old, so you should be OK. Not sure if you'd have success with the mainstream lenders or get the best rates, but I would have thought a broker would still be able to help. It's usually PDLs within the past 12 months that instantly scupper mortgage applications.