Full and finale settlements - will this affect mortgage chances?

Treadingwater02

Hi, I’m looking for some advice, I have steadily been paying up a large amount of debt, next year I think I may be in the position to offer some of my creditors full and finale settlements but I am aware that this are marked differently on my credit file. Just wondered what the advice would be is it better to offer !!!!!! and pay debts or to pay the debts fully even if it’s going to take longer.
I had intended to pay all debts to the full amount but I’m due to get divorced this end of this year and want to try and buy my ex out in the next 12/24 months. Just wondering if !!!!!! will drastically affect chances of a mortgage?

Thanks
x

Thrugelmir

Doesn't appear good. For all intents and purposes it's default. Be no point in applying to those particular lenders either. 

NatalieAGC

I have a 5 year old default and also looking to get mortgage this month (hopefully)  I had a £800 balance from 2015, 
I made contact with them after asking for advice on here and wanted settle. They offered me £560 for the “partially settled” on file. I paid the full £800 that day instead. Account on CRA’s now show it as satisfied.  If you read lenders criteria’s many ask for them to be over 3 years and paid of in full for many lenders

blue_max_3

If you're due to be getting divorced, your ex is liable for the debts too. I'd seek legal advice before doing anything to be honest.

NatalieAGC

blue_max_3 said:

If you're due to be getting divorced, your ex is liable for the debts too. I'd seek legal advice before doing anything to be honest.

I think the debts are their debt and they want to get a mortgage to buy their soon to be ex out.

Treadingwater02

blue_max_3 said:

If you're due to be getting divorced, your ex is liable for the debts too. I'd seek legal advice before doing anything to be honest.

Thanks I am going to get some advice before I do anything, I suppose I just wanted to start thinking about my options as I am worried about providing a secure home for myself and my daughter. Unfortunately I think this will be a lengthy and painful process and I may not be able to buy my ex husband out as quick as I’d hoped.

[Deleted User]

If your daughter is a child then your ex may have to wait until your daughter is 18 for his share of the equity as homing the child is the first thought the courts have. 

Thrugelmir

Have you sought advice from a family solicitor?  Welfare of your daughter comes first as far as the court is concerned. They'll step in to ensure this above anything else. Which may well result in continuing occupancy of the family home for a period of time. In the interim focus on settling as much of your personal debt as you are able. 

Treadingwater02

Thrugelmir said:

Have you sought advice from a family solicitor?  Welfare of your daughter comes first as far as the court is concerned. They'll step in to ensure this above anything else. Which may well result in continuing occupancy of the family home for a period of time. In the interim focus on settling as much of your personal debt as you are able. 

No I haven’t yet, I had a couple of recommendations for solicitors from friends and I’ve started getting a savings pot together to pay for this. I’m going to get all my figures together and go and get some advice in July. Thanks for commenting, I’m trying to get my head around everything but I think you are right I need to go and speak to someone first.

Treadingwater02

Densol said:

If your daughter is a child then your ex may have to wait until your daughter is 18 for his share of the equity as homing the child is the first thought the courts have. 

Thanks for this, I’m going to go and get some advice.