Halifax re-mortgage with historical adverse credit history.

onthemend88

Hi everyone. I wondered if anyone could give me any insight into our remortgage application and whether it appears to be going in the right direction. 

We bought our home in August 2020 using HTB. At the time, we were placed with Precise due to our credit history. We are now at the point of going through a remortgage and our MA has placed us with Halifax on a 5 year fixed term deal, staircasing the HTB loan and paying it off completely. 

Currently, our LTV stands at 76.5% (Looking to borrow £248k with house being valued at £325k. 

So far, our MA has advised we have passed all initial checks with Halifax including credit check and affordability and also Halifax instructed the survey the day after the credit check had been completed. Furthermore, E-Surv came to survey the house today and the surveyor advised all would be looking good from their perspective. 

However, me being me can't help but feel something is going to go wrong and we will be declined. 

"All" that is remaining on our credit reports now are:

2 x Settled defaults (Both April 2016) so due to drop off next month
3 x Satisfied CCJ (1 x December 2016 - £1400 and 2 x March 2017 - £600 and £1200) so all respectively >5 years old and paid several years ago. 

We have had no further credit issues since March 2017 and pay everything on time. 

The possibility of us being placed with a high street lender is completely alien to us but our MA has every faith we will get an offer. So, my question really is, would we have got this far into the process with Halifax if we were going to be declined?

kingstreet

onthemend88 said:

Hi everyone. I wondered if anyone could give me any insight into our remortgage application and whether it appears to be going in the right direction. 

We bought our home in August 2020 using HTB. At the time, we were placed with Precise due to our credit history. We are now at the point of going through a remortgage and our MA has placed us with Halifax on a 5 year fixed term deal, staircasing the HTB loan and paying it off completely. 

Currently, our LTV stands at 76.5% (Looking to borrow £248k with house being valued at £325k. 

So far, our MA has advised we have passed all initial checks with Halifax including credit check and affordability and also Halifax instructed the survey the day after the credit check had been completed. Furthermore, E-Surv came to survey the house today and the surveyor advised all would be looking good from their perspective. 

However, me being me can't help but feel something is going to go wrong and we will be declined. 

"All" that is remaining on our credit reports now are:

2 x Settled defaults (Both April 2016) so due to drop off next month
3 x Satisfied CCJ (1 x December 2016 - £1400 and 2 x March 2017 - £600 and £1200) so all respectively >5 years old and paid several years ago. 

We have had no further credit issues since March 2017 and pay everything on time. 

The possibility of us being placed with a high street lender is completely alien to us but our MA has every faith we will get an offer. So, my question really is, would we have got this far into the process with Halifax if we were going to be declined?

Probably not.

RelievedSheff

We remortgaged to the Halifax last year from Kensington and at the time I had a satisfied CCJ and an unsatisfied CCJ that were over 5 years old. 

We got the mortgage offer within 3 days of submitting the application.

Like you we were concerned about our previous credit history but we needn't have been. We have bee with the Halifax for coming up for a year now and are paying much more off the capital each month due to the much lower interest rate. (Mind you we did shorten the mortgage term by 8 years at the same time.)

onthemend88

RelievedSheff said:

We remortgaged to the Halifax last year from Kensington and at the time I had a satisfied CCJ and an unsatisfied CCJ that were over 5 years old. 

We got the mortgage offer within 3 days of submitting the application.

Like you we were concerned about our previous credit history but we needn't have been. We have bee with the Halifax for coming up for a year now and are paying much more off the capital each month due to the much lower interest rate. (Mind you we did shorten the mortgage term by 8 years at the same time.)

That is good to hear. Sounds like it was a really straightforward process for you. I hope we get our offer, it is so difficult to relax when you have adverse credit history isn't it. 

We are awaiting the Land Registry to update as this hasn't been done due to backlogs caused by Covid, even though we bought the house in August 2020. I think this will be the only thing holding up the application now which is a bit of a pain. 

Flick85

I got a DIP with Halifax with a historic (unsatisfied) default. My mortgage broker spoke to them before we did the full application, to check if they did a 6 year credit check for DIP or not as he was concerned it was only 3 years, so my big default wouldn’t have shown. They said, provided the broker selected the box saying there are credit issues in the history, their system will look into the full history and not just 3 years. So, if you pass DIP, you’re usually set, So, we applied on that basis, and the mortgage offer came through pretty quickly afterwards.