Santander & Historic PDL

EMT2020

Hello all,

I have just applied for a mortgage with Santander. All ok with the AIP and approved for more than I need. I have a excellent credit score (Not that it means much) Never missed a payment, no CCJ etc.

I also have a large deposit from the equity in my own home and looking at 50% LTV on a new property. I have a decent income and little CC debt so affordability is not an issue.

However there is a BUT.. 5 years ago I used a couple of Pay Day Lenders and they are still on my credit file, All settled and closed. I didn't think to mention this to my MA as to be honest It was some time ago and they have been settled.

I understand Santander are one of the more stricter lenders, Do you think this will be an issue for them?  I read somewhere that PDL are an instant decline for some lenders.

Thanks.

csgohan4

5 years is a long time, I would let your MA know anyways, but I assume they had a copy of your credit files, all 3 of them?

Retired_Mortgage_Adviser

EMT2020 said:

Hello all,

I have just applied for a mortgage with Santander. All ok with the AIP and approved for more than I need. I have a excellent credit score (Not that it means much) Never missed a payment, no CCJ etc.

I also have a large deposit from the equity in my own home and looking at 50% LTV on a new property. I have a decent income and little CC debt so affordability is not an issue.

However there is a BUT.. 5 years ago I used a couple of Pay Day Lenders and they are still on my credit file, All settled and closed. I didn't think to mention this to my MA as to be honest It was some time ago and they have been settled.

I understand Santander are one of the more stricter lenders, Do you think this will be an issue for them?  I read somewhere that PDL are an instant decline for some lenders.

Thanks.

Yes, PDLs an be an instant decline for some lenders, but unusual for it to go back that far. Unfortunately, I can't recall Santander's criteria in this regard but if that's the only blemish in your credit history, it almost surely won't stop you from accessing mainstream products.

Did you go direct to Santander or use a whole-of-market broker?