Clearing Defaulted Debt & Applying For Mortgage

happy2017 Forumite Posts: 43
Sixth Anniversary 10 Posts Name Dropper


I currently have 11 defaults on my credit file, all of which will drop off towards the end of 2025.


Im looking at First Home scheme to buy my first home, so from now until end of 2025 im looking at paying off my debt and saving for a 5% deposit.


At the moment I pay my debts which are defaulted (have arrangements in place with each creditor, was using Stepchange but now self managing my debt) via Santander account each month, I essentially transfer <£100 per month from my BOS account where my salary goes into.


If I have not managed to pay off all my debt that has defaulted by the time I come to apply for a mortgage in 2026 will this be frowned upon?, the defaults will all be off my credit file by the time i come to apply for a mortgage.

Will paying my debt from another bank account be frowned upon? Just thinking when it comes to requesting my bank statement?

Thank you.


  • summerb64
    summerb64 Forumite Posts: 68
    10 Posts Name Dropper
    If you have 11 different creditors you’d need to make sure you don’t apply to any of them. Also, the individual lender may ask for all of your statements for all accounts not just where your salary is paid, so you couldn’t conceal it if they asked for that info. But they may not…
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