Removing mortgage debt from credit file - sold house 2018 - Landmark

[Deleted User]

Even if paid, a voluntary surrender on a mortgage isn't going to look good at all. I can't imagine the balance (whether it be £50k or the whole amount) is actually making much of an impact on the scoring (scoring that matters is the one lenders perform, not the one on your credit file).

The biggest impact will be the voluntary surrender of the mortgage - Less than 2 years ago. I'm not sure if that's scored like a repossession or not, but it's definitely viewed badly.
Next will be the fact you still owe money on it (even if it was £1) - it's not settled, that's the key issue. 

I'm not being rude, but you can't be deemed to be recovering (or "financially secure") whilst you still owe (and are liable for) anything to do with that mortgage.

Obviously it'll be extremely tough to settle the £50k, I appreciate that - but until it's at least 3 years old I wouldn't have hopes of getting any mainstream credit at all (unless you use your bank account well, you might then sneak through for something with your main bank).  If your default/surrender date is recorded as earlier than the house sale date, then 3 years from then as a minimum.

RE: self-employed help, are you a limited company director or a sole-trader/partnership?

If a sole trader, your credit file shouldn't affect your right to the basic Government scheme (assuming you've been self-employed for long enough). If you want a loan, you'll probably struggle.

If Limited, have you re-applied since the rules changed? The scheme has been relaxed a bit in the last week or so - but I know they can credit search you and the business, so that's likely your issue. If your own bank provide business facilities, I'd start with them as they at least know a bit about you and you might scrape through that way.

Make sure you that apply for any and all payment holidays etc. that you may be entitled too (tax, rent/mortgage, bills etc.)