FTBs hoping to apply for a mortgage shortly. No adverse but historical use of loans

SpotOn88

Hello

My partner and I are hoping to apply for a mortgage shortly but are concerned that there may not be many options available to us due to our low deposit/high LTV (90%)

Combined annual salary = £60k (£33,079 + £27,700) 

Deposit = £30k 

We would be looking at a 25 year term preferably

We were hoping to borrow somewhere between £240k - £260k 

Neither of us have any adverse credit history in terms of defaults, CCJs, debt repayment plans, bankruptcy etc however I've had a difficult time in the past managing my finances and have taken out a large number of loans with a number of these being payday loans (the majority were not however). I've not had any payday loans in over 2 years and the sole ongoing unsecured personal loan (that I have taken out in the past few years) was paid off in full a month ago. In addition to this I have never missed a payment

My partner has a solid credit history from checking both Experian/Equifax whereas mine although similar has a large number of historical loans as stated above

Currently our only debts are £550 on my credit card and £500 on catalogue (Very). My partner has £300 on her credit card. We don't have any dependents 

We have been recommended a few brokers from friends/family and are definitely going to pursue this however as stated are just concerned about 1) the historical number of loans I have taken out in the past and 2) whether with our low deposit if we did get offered a mortgage if we would only be offered extortionate rates

To get our deposit up to 15% we would probably be looking at another year of saving

If anyone could provide an feedback on the limited information provided above it would be much appreciated 

K_S

1) Based on the limited info in your post, I don't see anything that would necessarily stop you from getting a 90% LTV mortgage from one of the mainstream lenders that offer them.

2) You'll either get a 90% product from a lender or you won't. With mainstream lenders, there is no "interest rate loading" based on individual circumstances. Compared to the same time last year, 90% LTV rates are much higher than they were and 90% products are fewer in number. 

SpotOn88

Appreciate your reply

SpotOn88

Following on from my previous post in Feb '21 my partner and I are due to meet with a broker next week to discuss our options

As per initial post we are both FTBs but are now looking to borrow around £280k with a 10% deposit. Combined income is £63k and no dependents, minimal outgoings + small debt (combined £400 outstanding on CCs). However as mentioned previously I have historical use of personal/payday loans due to financial difficulties I got myself into a number of years ago... 20+ payday loans with the last one settled Feb '19. I had one remaining personal loan (which I had used to consolidate all other debts) which was settled Jan '21

Neither of us have any adverse credit history in terms of defaults, CCJs, debt repayment plans, bankruptcy etc + never missed any payments

I understand the need to discuss with a broker and will do this when we meet with them next week but I am interested if anyone has had any similar cases or been in a similar situation themselves? Would we be looking at high street lenders or is this unrealistic?