Advice needed - AIP with Halifax withdrawn due to previous DMP, need another lender asap

Breadline_Bettie

Hello,
Can anyone advise me please .....
Myself and my husband have had our AIP withdrawn by Halifax, our broker was 90% sure we would get the mortgage but it's the third time this week that Halifax have withdrawn from one of his clients this week as they just don't seem to have the appetite for any risk.

We are selling my husbands house, buying a house jointly and will have an 77.5k deposit from sale of house, looking to borrow 160k over 16 years.
My husband has a very high credit score but mine needs work as I was with the charity Step Change and had a DMP which was paid in full approx 3 years ago (on 24/08/20).
So it is my score that is affecting us, we have a combined annual salary of 85k, in secure jobs as a Teacher and Civil Servant and have a monthly income just shy of 5k with around 10k of debt between us.
Is there any lender that might take us on ? we need to move fast otherwise we may lose our dream house.
Any advice would be greatly appreciated. 
Many thanks

MovingForwards

What has your broker suggested as an alternative plan?

Ignore the credit scores and ratings, they are not seen or used by financial institutions. What's showing on your credit history? Late / missed payments? Defaults?

Breadline_Bettie

He phoned this evening and asked for our scores from Experian and Equifax as he has another lender in mind that may take us on dependent on scores.
The only thing is the DMP which will be 3 years old on 24/08/20 and a 20.78 payment 'missed payment' which occurred very recently when I switched my current account from Lloyds to HSBC and I didn't realise I was overdrawn and couldn't get through on the phone to Lloyds to pay it due to lockdown. Is is showing as settled now as complained.

MovingForwards

Halifax are part of Lloyds.
Halifax are also getting very tight with their criteria.

Did your broker actually ask for your credit scores or the credit reports?
Where did you find this broker?
Have you ever provided him with your credit reports?

MovingForwards

Did you owe Lloyds / Halifax or any of the other parts of the banking group money and paid them through the DMP?

Breadline_Bettie

The broker asked me to do a statutory report through Equifax which he went through in minute detail, he didn't ask for credit scores, he is a random broker at the mortgage centre in the town where I live, he was very confident that we would be accepted, my husbands mortgage is with Nationwide who flatly refused us from the off. 
I don't recall that I owed Lloyds or Halifax anything on the DMP.
Can you advise on next steps for us ? 

MovingForwards

Yes, find a better broker.
A good broker asks for all credit reports to check the information, then looks to place you with the most appropriate one.

Credit reports are free from:
Clearscore
MSE credit club
Credit karma

Not all lenders report to all the credit reference agencies and so the information will differ, that's why all need to be provided to a broker.

@ACG is a specialist adverse credit broker, who has a lot of clients without adverse history (I used him for my mortgage)

@haras_n0sirrah is also a broker, who also has clients with adverse history. 

Both comment on a lot of threads, so you can read what they post and how they come across. You can approach them, they cannot approach you if you want to discuss your position; you can send a message.

There are other brokers on the forum.

Breadline_Bettie

Many thanks for the advice, I appreciated it, I will await the outcome from the broker I am with and if we have no joy I will approach them.

Thrugelmir

Avoid any lender you defaulted on as part of the DMP.  Lenders at the best of times are disinclined towards borrowers that previously defaulted. Internally you will be "black marked".  Lenders share data between companies in the same group.  

May be questions as to why £10k of debt on a £5k salary. How much of the debt is yours? 

haras_n0sirrah

Off the top of my head Halifax wont accept a dmp in the last 6 years I believe. Other lenders are a bit more lenient.

Breadline_Bettie

@Thrugelmir I have 3k left on a loan which finishes in May (£386 a month)
£3200 on CC's (will be paid in full by Sept).
Husband has £6k on cards paying off £500 a month and could clear if we got the £160k we need. No other debts or OD.
Debts accrued as we were both struggling single parents in one wage households until I moved into his house 4 years ago.