Getting a mortgage with a Default - anybody had a similar issue?

PomegranateNo3

I am after some advice about mortgage applications and defaults ... myself and my partner have a combined income of £74,000, his credit score is excellent however my score is only classed as fair, with Experian and good, with Equifax and I think this is because in 2015 I had a default with Halifax (this is a settled default and account is closed).

Neither of us have any debts aside from a credit card which we pay in full each month and I have also been signed up with Credit Ladder the rental scheme for the past 5 years.

We are both in full time employment and have the 10% deposit, with a view to having even the 15% deposit ready depending on the property we choose. 

Will my default hold us back or would they look at our bigger picture as a whole?  Has anybody been in a similar position and been accepted by a high street lender?

[Deleted User]

It's possible, but I would use a decent broker.  There should certainly be options with a five year old default, although lending has tightebed..

However, it will also depend on your partner's files. Hopefully his are cleaner.

Make sure you each get copies of all three of your files (the actual files, not the scores).

PomegranateNo3

Yes his are squeaky clean just my 2015 default - I really wish the 6 year timeframe of a default was shorter considering the long term effect it can have.  Thank you for your reply.   

Fighter1986

Use an all of market broker like London and Country. They are very good. They will ask you for copies of your credit files before sending an application to any lender to go over things first, help you correct anything they think might stand in your way but it easily fixable, and then approach a lender who they consider to be flexible with a borrower of your demographic.

It's absolutely possible in your circumstances to find a lender, assuming there aren't other unknown sticking points. 

PomegranateNo3

Thank you for your reply - we will definitely go to a broker I'm just dreading the fact it will be my default that will let us down and we either get declined or have to pay silly interest rates for something so long ago.  

Fighter1986

It will limit the number of lenders available to you but absolutely won't make the process impossible. It just means a good broker choosing the right lender

maxximus75

It's either a broker and probably a higher interest rate or wait until next year for it to fall off and apply then with a clear record?

Just remember, with your joint application your credit history can affect your partners as it will create an associated link.

Either way, good luck!