ARP and Late payment - 5 years ago - Am I worrying

tinribzzz

Hi,

I posted the other day but I think the lack of detail meant I got no response. We have been accepted for an offer of 340,000 for a 2 bed flat in London. Soft searches and AIP's all passed for 314,000 borrowing with 26,000 deposit (about 7-8%ish). It's a joint application, with a joint income of 70,000ish. No dependants, no children etc. Credit scores are useless as I am aware, but my Experian etc all is very high. When I was younger I really got myself into some money issues, I was living out in Ibiza and at uni and quite frankly spent beyond my means. Whilst it was never collosal debt, I would ignore the odd £50 payment and that would then be passed on and end up being like £100. 

Fast forward to now and I have really gotten myself into a financially good situation with extremely limited debts (300 on a credit card with a limit of 2000). Anyways I did a full report the other day using check my file and noticed that in 2016 (from January to April) there were some Arranged to Pay Markers for 2 loans that had been passed on. It's worth noting that the defaults would have been prior to 2016 and thus over 6 years old. The ARP markers were just on my account for 4 months in 2016 and were then settled. There's also a late payment with a 4 next to it with Santander in June 2016. I have been worrying and losing sleep over how great the impact of this will be. The past 5 years there is not a single mark on my file, so I am hoping the lenders can see past this. The Halifax mortgage advisor seemed to think all would be fine if I applied via them and the mortgage broker was the same. Could anyone give me some peace of mind?

Kind regards,

JamieJ89

I don’t think you will get any more peace of mind here than what’s Halifax and the mortgage broker have confirmed. 

These late payments are almost dropping off your file, Shouldn’t cause you much issues. 

[Deleted User]

Certainly sounds like you're worrying.

Missed payments from that long ago are unlikely to be an issue. It would have been better if you had defaulted at the time, rather than going onto an arrangement, as the accounts would now be gone, but it makes little difference at this stage.

tinribzzz

Thank you for the replies. 28 year old me is certainly hating 22 year old me right now! 

Thank you for the responses. Will submit the outcome to here for anyone else in a similar situation.

RelievedSheff

I suspect you are worrying over nothing. Let the mortgage advisors do their job

tinribzzz

Update - we passed the full credit check and application stage for a 95% LTV mortgage with an interest rate of 2.89% fixed at 5 years. 

Next is the underwriting process which I’m sure we will pass as there is no lies on the application. I assume passing the full credit search is a sign things are all fine.

Note to anyone else reading this that’s in a similar position. Get a good broker for the start. Understand your credit history. Lastly, I really had terrible credit in my youth. 5+ years of being sensible will really help. 

tinribzzz

Hi would anyone be able to help on another query.

Both me and my girlfriend have been renting the last 9 months. All documents are registered to the rental address, as is electoral roll, other than my partners bank statements.

Santander cannot change the address or back date it 3 months. The best they can do is change the address from the next statement (next month). 

How likely of an issue is it that my partners bank address is still registered to her parents? We have all utilities, council tax etc registered to here, as well as our joint account.

Thanks in advance.

london21

Maybe complete your application before changing addresses. 

All the best. 

tinribzzz

london21 said:

Maybe complete your application before changing addresses. 

All the best. 

Thanks! We changed address last year, everything is in the new address, other than the bank statements of my partner. For some reason she was a bit funny about having statements sent to a block of flats, so had them sent home then sent on.

Thanks!