Credit File / History when getting a mortgage

alou

As I've stated in a previous post, between 2015 - 2018 myself and my partner were in debt (credit cards, overdraft, finance agreements and store cards) totaling just short of £9800. In December 2018, a friend of mine offered to pay all our debt and for us then to pay her back monthly (legal agreement in place). She did this so we don't have to pay any interest as we would have had to pay around £16000 in total back if we kept all our accounts.
Our last payment to her will be January 2021 (currently paying £400 a month) and when that's all paid, we will be 'debt free' and will be looking at buying a house around Autumn 2021.

My question is, how much of an affect will our debt history have when obtaining a mortgage? I'm not sure how to word it really but we will have been managing our money well for 3 years when applying for a mortgage.

We were rubbish at managing money, living beyond our means. But since December, we haven't gone into any debt and stick to a tight budget. The £400 we currently pay will be 'spare' money that we will be saving so I'm hoping affordability wise we should be ok! I just have this feeling that we might be penalized for how we were living rather than how we're living now.

Hope this all makes sense.

[Deleted User]

Post on the mortgages board, where the advisors will be able to guide you to the most suitable lenders.

RelievedSheff

Were your credit agreements kept up to date or were there late payments or defaults on the accounts?