"my" poor credit is stopping us getting a mortgage

Sprigg

My partner and I have been rejected for mortgage. Mortgage broker has said best bet is to reapply again in 6 months. Though due to the issues I have in particular, would this time even make a difference?

So, around the age of 18, my mum asked me to take out a virgin media account in my name, but she would pay as she couldn't get it, all coming from her bank account. Not really knowing anything about credit I said yes. (The guy from virgin actually suggested this on the phone)

She also asked me to take out a phone contract for my brother for his birthday in my name, and this would be paid. Again, I said yes.

Virgin Account: A lot of late payments, that i wasn't always aware of, when I was i paid from my bank account.

Mobile: Was sent to a debt collector as final payments were not made. Again, I wasn't aware of this and have settled the debt from my own money.

Forward to today. Paid of the mobile last week (Wasn't aware it hadn't been until then). My Score has been poor since the virgin account and have been working years to get it up, without much hope. (I'm assuming as the mobile debt wasn't sorted.)

Looked on clear score today and the score is back down again after it only just going up after years.

I was young and not aware of what would happen and obviously trusted my mum would pay.

Though if I have a default on my File from 2017 and only just paid it last week, would 6 months even make a difference?  Would that 6 years be counted from this year if it's just dropped my score? Or from default?

Sprigg

There was also a little bit of chat that his gambling was just a wee bit too high, so they judged it as risky. Do you think with his habits changing that could make it more likely we would get a mortgage? We both have pretty decent savings

MovingForwards

How old are you both?

Temp/ permanent/ fixed term employment?

How long you been in your jobs?

List age and amount of defaults, are they settled?

List how long the late/missed payments are.

Income for both of you?

Any debts, if so, how much is outstanding and how much is paid per month (loans, credit cards, HP, PCP etc)?

How much you looking to buy for?

What's your deposit amount?

How much is the gambling each week / month and what type?

Credit score is not seen by a lender, nor are they used. Lenders have their own way of credit scoring.

Defaults stay on your credit file for 6 years.

Who did your broker try to get a mortgage with?

Did you give him copies of all three credit reference agency reports (Clearscore, credit karma and MSE credit club for free versions)?

Is your broker an adverse credit mortgage broker?

amnblog

It is not possible to know if 6 months will make a difference without seeing your credit file.
A single rejection followed by a suggestion to wait 6 months sounds like a Broker who is inexperienced or not interested.
A second opinion might be a good idea.

Sprigg

amnblog said:

It is not possible to know if 6 months will make a difference without seeing your credit file.
A single rejection followed by a suggestion to wait 6 months sounds like a Broker who is inexperienced or not interested.
A second opinion might be a good idea.

He had said he had been to multiple with no luck, though I don't think he specialises in poor credit score therefore I don't know if any where specifically for that. 

Sprigg

MovingForwards said:

How old are you both?

Temp/ permanent/ fixed term employment?

How long you been in your jobs?

List age and amount of defaults, are they settled?

List how long the late/missed payments are.

Income for both of you?

Any debts, if so, how much is outstanding and how much is paid per month (loans, credit cards, HP, PCP etc)?

How much you looking to buy for?

What's your deposit amount?

How much is the gambling each week / month and what type?

Credit score is not seen by a lender, nor are they used. Lenders have their own way of credit scoring.

Defaults stay on your credit file for 6 years.

Who did your broker try to get a mortgage with?

Did you give him copies of all three credit reference agency reports (Clearscore, credit karma and MSE credit club for free versions)?

Is your broker an adverse credit mortgage broker?

I am 25 and my partner is 29. He works full time and I am on 30 hours.

Tesco mobile defaulted in 2017 and settled this week, but latest credit score update via clear score has dropped (due to this I presume)

Last late or missed payments are about that 2017 date just before the mobile one was defaulted. As virgin media was about the same time.

He's 19k and I am 14k (we both do other things on the side but these were not included)

Looking to buy at around 120000 which we were told was a good price for us and where we live. Combined totally of around 16k in help to buy ISAs.

Gambling differs but he's said about £60/ week. Which he's now going to bring down as that's obviously affected our chance. Does via apps, horses.

He seen the full report I got off Experian. He doesn't specialise in bad credit reports, so I'm assuming he didn't go to those lenders. We're waiting on an email from him saying what specifically ruled us out for the mortgages. 

Possibly looking I to going to a bad credit broker.

amnblog

20% of income on Gambling - Nice
That needs to stop if your are buying together.

MovingForwards

That amount of money, compared to income, for gambling will be a huge concern for a lender.

What lender did your 'broker' try?

A broker cannot work off one credit report as not all companies report to each one.

Find an adverse credit mortgage broker, give him/her copies of both your credit files and see what s/he says.

A good broker is all about placing you with the right lender, it's not about doing half a job. A good broker phones the potential lenders, speaks with their dedicated contact and sees if there is anything that would cause a DIP application to be rejected before trying.

I got my adverse broker from here, as I wasnt happy with one I had spoken with, he has been worth every penny of his fee!

Willing2Learn

MovingForwards said:

...Find an adverse credit mortgage broker, give him/her copies of both your credit files and see what s/he says.

A good broker is all about placing you with the right lender, it's not about doing half a job. A good broker phones the potential lenders, speaks with their dedicated contact and sees if there is anything that would cause a DIP application to be rejected before trying.

I got my adverse broker from here, as I wasnt happy with one I had spoken with, he has been worth every penny of his fee!

I agree.  The OP definitely needs a broker who specialises in adverse credit files.

@Sprigg
When you have a specialist broker, they will need to see your three credit files.  You can get your free Statutory reports from:

Experian - https://www.experian.co.uk/consumer/statutory-report.html
Equifax - https://www.equifax.co.uk/Products/credit/statutory-report.html
TransUnion - https://www.transunionstatreport.co.uk/  

DCFC79

Remember your score is only seen by you, lenders see your history.

amnblog

Willing2Learn said:

MovingForwards said:

...Find an adverse credit mortgage broker, give him/her copies of both your credit files and see what s/he says.

A good broker is all about placing you with the right lender, it's not about doing half a job. A good broker phones the potential lenders, speaks with their dedicated contact and sees if there is anything that would cause a DIP application to be rejected before trying.

I got my adverse broker from here, as I wasnt happy with one I had spoken with, he has been worth every penny of his fee!

I agree.  The OP definitely needs a broker who specialises in adverse credit files.

@Sprigg
When you have a specialist broker, they will need to see your three credit files.  You can get your free Statutory reports from:

Experian - https://www.experian.co.uk/consumer/statutory-report.html
Equifax - https://www.equifax.co.uk/Products/credit/statutory-report.html
TransUnion - https://www.transunionstatreport.co.uk/  

Easier to use one site to get all three at once

https://www.creditkarma.co.uk/