need advice on whether i will get a mortage with my oh

moneysaver12

My fiance has his own house which has a mortage on it and i live in private rented, my problem is i got two credit cards out one of which im paying for and the other one i haven't paid for a year i have been trying to sort a payment arragment out, i am on disablity benfits and at the time i wasn't having to pay much towards my rent so that money went towards my credit card, now i have to pay a lot towards my rent so couldn't pay the full amount on my credit card, im going make payments each month for my credit card. As a result of this my credit rating is terrible. My fiance is going to see his house next year and we want to get a house together, but i dont want his ablity to get a mortage to be affected by my credit rating. What would happen if i keep paying off my credit card each month and we apply for a mortage together, would they turn us down, would he be better off doing it just in his name, we will need a bigger mortage due to house prices.

lynnexxxo

I would suggest the best course of action would be for you to move into your boyriends current house, which would free up some cash to pay your credit card debts. Once you have got them in order your credit rating should improve meaning that you would be in a better position to get mortgage.

moneysaver12

bump bump bump

dmg24

Agree with lynne, and TBH if your only income is disability benefits your partner may be better getting a mortgage on his own and you living with him.

lieutenant_dan

dmg24 wrote: »

Agree with lynne, and TBH if your only income is disability benefits your partner may be better getting a mortgage on his own and you living with him.

Would she still have rights to any money/share if they were to go their seperate ways in years to come, and the house was bought solely in his name, if she was effectively a tenant and not joint owner?

Assuming he doesn't just stay put in his own house of course, instead of selling. Not much security for the OP in that type of scenario if she doesn't have rights.

Doozergirl

Living on benefits and having bad debt doesn't give you much hope of getting anything like a competitive rate.

I agree that if you are planning to move in together that you do it now and get that debt paid off.

lieutenant_dan

Doozergirl wrote: »

Living on benefits and having bad debt doesn't give you much hope of getting anything like a competitive rate.

I agree that if you are planning to move in together that you do it now and get that debt paid off.

Don't wish to bear bad news, but paying the debt off is just the half of the battle. The bad debt stays on the credit file for up to 6 years, so it's still taken into consideration on credit applications within that timescale.

dmg24

lieutenant_dan wrote: »

Would she still have rights to any money/share if they were to go their seperate ways in years to come, and the house was bought solely in his name, if she was effectively a tenant and not joint owner?

Assuming he doesn't just stay put in his own house of course, instead of selling. Not much security for the OP in that type of scenario if she doesn't have rights.

Living with someone when you are not on the mortgage does not automatically make you a tenant. You would gain a constructive interest in the property according to how much you contributed to the household (both financially and in terms of any improvements made to the property).

moneysaver12

can my finace put me on the deeds if he got the morgate on his own he said he would, It wouldn't be practial for me to move to his house as he lives 15 miles away and i have to get to college and don't drive and any money that i saved from leaving my current accomadation would be lost due to my disablity benfits going down as my fiance works full time. My fiance is talking about putting his house on the market in feb next year and moving to the town i live in this has always been our plan

dmg24

moneysaver12 wrote: »

can my finace put me on the deeds if he got the morgate on his own he said he would, It wouldn't be practial for me to move to his house as he lives 15 miles away and i have to get to college and don't drive and any money that i saved from leaving my current accomadation would be lost due to my disablity benfits going down as my fiance works full time. My fiance is talking about putting his house on the market in feb next year and moving to the town i live in this has always been our plan

Mortgage companies do not tend to like it, as it means that you would have a claim over a property which they have a large amount of money secured on.

lieutenant_dan

dmg24 wrote: »

Living with someone when you are not on the mortgage does not automatically make you a tenant. You would gain a constructive interest in the property according to how much you contributed to the household (both financially and in terms of any improvements made to the property).

This can be ambiguous though, and a grey area, how can you determine a difference between simple housekeeping funds and contributing towards mortgage payments? I know the laws changed on this fairly recently though, more in favour of the people in positions like the OP potentially would be.

It's not pleasant to talk about all this kind of stuff before moving in together in a new home! But reality is these things can go wrong, so at least better for the OP to have some form of security at the end of it if that happens, but hopefully it won't come to that!