Halifax Mortgage with historic default

Ready2012

Hi
Looking for a bit of advice regarding a mortgage application.
I have a historic default from august 2014. I applied through a broker and they advised to apply to Barclays which I was hesitant but trusted him. It got declined. 
I then gave Halifax a call as I've always banked with them and thought why not, I rang them and ran through it as its a shared ownership, I had to speak to mortgage advisor. 
They agreed after I gave all details. I have £0 balances on credit cards and no outstanding loans except car finance which is £150 a month after I paid a lump sum to bring the monthly payments down from £234. 
I am just wary that Halifax may decline again, does anyone have any advice regarding Halifax and their criteria? I've seen they're one of the more lenient lenders regarding historic issues. Does the AIP pickup on the historic issues etc?
Thanks

NatalieAGC

I think they accept old defaults. If you google ‘Halifax mortgage lending criteria’ it will tell you all about it. 

LRmortgage

Halifax are usually fine with a very historic default. As long as everything has been super clean since then. There is a tick box on the DIP application that needs to be ticked to confirm the previous adverse credit. 

As a broker I’ve only ever had one case declined by Halifax after a DIP has been approved and I do a lot of cases with them. The reason for this decline wasn’t anything to do with the default. 

[Deleted User]

Was the Barclays declined at AIP/DIP or at Underwriting?

Declined at AIP/DIP (before broker puts the application in) isn't really anything to worry about, you just don't meet their criteria and/or credit score.

If it was only declined at Underwriting (after application has gone in), that's more concerning and you should get to the bottom of that before you apply anywhere else.

FirstTimeBuyerLife

Hello, Have you had an update from your mortgage application to Halifax?
If not, when did you submit the application?

Ready2012

Somerset_La_La_La said:

Was the Barclays declined at AIP/DIP or at Underwriting?

Declined at AIP/DIP (before broker puts the application in) isn't really anything to worry about, you just don't meet their criteria and/or credit score.

If it was only declined at Underwriting (after application has gone in), that's more concerning and you should get to the bottom of that before you apply anywhere else.

It was declined at full application, he said it was declined due to the dafault. However, I also had a payrise but not showing in payslips yet but have a letter from HR showing it. He didn't wait until I had this to send off which I think contributed as I didn't think I'd meet affordability without this anyway.
I've checked my credit report and my file is literally squeaky clean apart from that default 5 years and 10 months ago....

Ready2012

LRmortgage said:

Halifax are usually fine with a very historic default. As long as everything has been super clean since then. There is a tick box on the DIP application that needs to be ticked to confirm the previous adverse credit. 

As a broker I’ve only ever had one case declined by Halifax after a DIP has been approved and I do a lot of cases with them. The reason for this decline wasn’t anything to do with the default. 

Okay that has put my mind at ease a bit. I ran through it all with the Halifax mortgage advisor and she asked me about the default and she seemed it would be fine and accepted my payrise through a form of a letter from HR as it doesn't show in my payslips yet. 
I paid off my small cc balance and bought my monthly car payments down to £150 so affordability should be fine. My bank statements show the outgoings though aswell but I can provide statements to show they are all paid off. 
I'm hoping it is all okay, haven't been able to sleep recently worrying to be honest. I was about to approach a adverse credit broker instead but I think I may wait and apply fully through Halifax.

Ready2012

Update...
Application flew through. Valuation was done on Thursday and full mortgage offer received on the afternoon. Full steam ahead now, completion is due end of September but can be earlier depending if developer finishes!
Super excited