FTB with Credit Card, Personal Loan and Bad Credit!

JunoB

I've scoured thus forum and can't find anything other than conflicting information which may now be updated so I hope someone can help!

My partner and I are renting a property at the moment and want to buy together for the first time, and now have decided to move fairly quickly because there's a strong chance my partner may switch to self employment in the near future, so we are hoping to get a mortgage under our belts before he makes the move.

At the moment I have £3k on a 0% credit card, and a personal loan outstanding for £8k. I have a poor credit history (WHY WHY WHY did no one shake me at 18 and force me to buy a place before i ruined my credit!), I had a few pay day loans in 2013/14 all of which were settled. I have one default for Vodafone which was settled as soon as I was aware of it however, its still a default on my credit score which was outstanding for over 6 months, and was settled in 2014.

My current account has a few online gambling transactions (£10-20 maybe every other week), nothing significant but i know this can be scrutinised. I don't spend much money in this account other than that and my payments into our household account and savings, and it's where my salary is paid into.

My partner has a squeaky clean credit score and bank account. We're looking for a property up to the value of £130k and have a 10% deposit plus funds available for legal fees etc.

Am I a lost cause?!

Thanks in anticipation of your help!

ACG

I can think of 3-4 lenders off the top of my head, 2 of which are normal rates.

Have you spoken to a broker? I think you will be fine.

kingstreet

The card debt and the loan influence affordability. That's 'how much can I borrow? not 'can I have a mortgage?'.

Gambling on a minor scale can be treated as a leisure activity, so work out how much you spend a month and treat it as a cost in affordability, like a loan payment.

The adverse all looks historic as does the PDL activity.

I'd expect to get 'high street' rates for this. If not a national name, a regional building society should be a reasonable rate option.

Find a decent broker, put all three versions of your credit file in their hands and you should be able to relax a bit.

JunoB

Thank you so much - it’s such a daunting thing to go into blind and the last thing I want is for my bad decisions to affect my partner. I really appreciate your reply, I’ve got a good broker to speak with tomorrow so fingers crossed! I cannot understand how Experian can give me a score of 998 (even despite my poor credit past) and then I check other sites like Noddle and Clearscore and they give me 1/5 or equivalent low score, the mind boggles! Thanks again

[Deleted User]

JunoB wrote: »

I cannot understand how Experian can give me a score of 998 (even despite my poor credit past) and then I check other sites like Noddle and Clearscore and they give me 1/5 or equivalent low score, the mind boggles!

Because all the numbers are little more than made up figures. Ignore them all in equal measure.

Hmsxxxx

Hi there, apologies I’m no help but I’m in the same position as you- currently renting with 5k credit debt and 4K loan also a FTB wanting to borrow £130k with a 10% deposit with a default from 4 years ago. We are going to see a mortgage advisor on Friday to see what he suggest, please update us if/when you succeed! :j

JunoB

HMSxxxx I’m going to speak with a broker tomorrow so I will update this with the outcome, good luck!

enthusiasticsaver

I am surprised that no one has cautioned you on this. Going self employed takes time to build up a regular income and is expensive. Taking out a mortgage at that particular time does not sound particularly sensible to me. Ignore credit scores. They mean nothing.

Thrugelmir

JunoB wrote: »

have a 10% deposit plus funds available for legal fees etc.

What's the source of the deposit?

Hmsxxxx

How did it go?!

giorgio992

Hmsxxxx wrote: »

How did it go?!

How did u get on? I’m in similar position and my broker has recommmended Tesco so awaiting valuation at the moment and submitting bank statements on wednesday