Mortgage help- default disputed

SparkleFtb

Hello, we are applying with NatWest for a 95ltv which is 50k below affordability so that won't be an issue. We have found a default from a mobile company from July 2012. We have disputed it and have an email from Vodafone head office confirming our account is clear their end. It could take 6 weeks to come off reports... will this stop us getting a mortgage approved whilst we wait for Experian etc to confirm it's being removed.

jlaw4

I would enlist the help of a broker as 95% mortgages are heavily reliant on the credit scores being in really good condition and the lender will only take into consideration what they can see on the day the search is done.

A broker will have someone they can sound this out to first before submitting an application. or you could wait until the default clears off?

SparkleFtb

Hi thanks, yes we are using he EA broker, he seems to know his stuff and has said as we passed DIP it should be fine as everything else is clear. I'm just stressing and keep reading horror stories. We have saved for 2 years for this and feel so stupid for not checking reports earlier!

We have already found a house and had an offer accepted, we only found out about the default as he asked us to check our credit scores before we did the full application so have raised issues with all 3 main credit report companies.

sheff6107

Have you added a Notice of Correction to your credit reports?

If it doesn't disappear in 6 weeks the mortgage company should see the NOC and them querying it is better than not.

ACG

Do not add a notice of correction.
When a computer does a credit check, it can read the numbers and that is what it needs to do in order to make a decision. It can not read a notice of correction and so will automatically kick it out for a manual underwrite. The outcome should not differ, it will just take longer to get the answer.

As for the default, has it been satisfied? If it has, then it should be fine subject to score card. If it has not then I think it falls outside of criteria, although Natwest may have provisions for small or mobile phone defaults I am not aware of...or they may have just not picked it up if it is not on your equifax report.

SparkleFtb

So on Experian they have put a note on saying it is being disputed, currently waiting for the other 2 to do the same. Application isn't being submitted until Friday 5th may, so I have everything crossed that they will also have it on by then and at least a response from Vodafone to expierien as they requested Vodafone to look into it last Tuesday. Apart from this our credit history is perfect, 16k available credit an only using 3k on a credit card 2 cars previously paid off and a loan with never so much as a late payment. According to Calculators we could borrow 236 but only want/need 186

SparkleFtb

It says satisfied is 2015. However we never even paid it, what happened was we phoned Experian in 2015 as the whole thing was an error we're reassured by Vodafone that it would be removed but infact they just changed it to satisfied. Our income is incredibly complicated so will go to underwriters as it is partially made up from disability and carers allowance. Our broker said that NatWest do a soft search on DIP but that hasn't shown up so I'm worried they just did it of what he entered!

sheff6107

But you want the computer to kick it out for a manual underwrite. Otherwise it'll automatically fail because it will read the default.

SparkleFtb

Yes, and then keep everything crossed sits a reasonable person looking at it 🙈 Worst case it comes off in a year and then we can buy but this house we have found is literally our perfect dream!:eek:

ACG

Natwest do a soft footprint if you do it online. They do a full footprint if the broker does it on the natwest broker system.

SparkleFtb

That's good to know, would it show up quickly on your own credit report? It's now showing any soft searches apart from the day after when my Experian did it's monthly one? Literally everything else is fine apart from this one blip wihich will hopefully be removed soon. The broker was surprised when the MiP cane back as accept he was convinced it would refer to lender x