Bad credit mortgages

xcvx

My partner and I are looking to submit a mortgage application in the next month or so. We have spoken to a broker who put us with precise. The house is 215k, we are using HTB 20% equity and putting a 5% deposit down ourselves. Our combined income is just under £50k

My partner has really good credit, and only a car finance which he due to pay off in a fee weeks and £200 child maintaince payment each month.

I however have really bad credit score and history. 3 defaults issued in 2018, totaling £1500. All satisfied now. And a past history of payday loans all in 2017. I also have a few missed payments here and there but all in the past. I also have a loan which is due to end in Aug 2021.

I am wondering what the chances of us getting a mortgage is? I am now financially stable and can prove that. We are happy to pay high interest rates. No CCJs or bankruptcy etc. 

Thanks 

ACG

It seems that something happened in 2017/18 with no issues before or since. (I am not asking for details)

I would expect any common sense lender to sit there and think you must have gone through a bad time rather than being a risky customer. If Precise decline you, there should be other lenders out there so you should have a Plan B and a Plan C by the sounds of it. We do a lot of bad credit stuff (albeit not using HTB equity loans) and I would expect you to get a mortgage all day long from what you have said. 

xcvx

ACG said:

It seems that something happened in 2017/18 with no issues before or since. (I am not asking for details)

I would expect any common sense lender to sit there and think you must have gone through a bad time rather than being a risky customer. If Precise decline you, there should be other lenders out there so you should have a Plan B and a Plan C by the sounds of it. We do a lot of bad credit stuff (albeit not using HTB equity loans) and I would expect you to get a mortgage all day long from what you have said. 

Thanks so much for the reassurance. Yes a rocky time but in a much better situation now with a wiser mind! 

onthemend88

Hi there

We are currently going through a mortgage application with precise and have a mixture of CCJ'S and defaults ranging between 2015-2017 (June 2017 being the most recent) and these all stemmed from a few years of myself being on an NHS bursary to do my midwifery training. No bad credit, missed payments etc since. 

We are also using Help To Buy on a £249,000 property. 

Very nervous but our broker is confident, so fingers and toes crossed. 

xcvx

onthemend88 said:

Hi there

We are currently going through a mortgage application with precise and have a mixture of CCJ'S and defaults ranging between 2015-2017 (June 2017 being the most recent) and these all stemmed from a few years of myself being on an NHS bursary to do my midwifery training. No bad credit, missed payments etc since. 

We are also using Help To Buy on a £249,000 property. 

Very nervous but our broker is confident, so fingers and toes crossed. 

Thank you, that's promising! Please let me know how you got on? Good luck!! 

onthemend88

@xcvx Thank you

We have just had to submit a few more documents and answer a few questions but Precise have instructed the valuation (which I am hoping is a good sign) 

Feeling very nervous about it all! 

xcvx

@onthemend88 I think that is usually the case. Sounds like a great sign. I don't blame you for feeling nervous  we havent even got to the DIP stage yet and hate the thought of it!!