Mortgage Application - Late Payments On Credit Report

Disanon2024

Hello!

I am looking for some feedback as worrying about a pending mortgage application, that we're looking to do in the next 12 months.  I wanted to gauge (from people experience), what the chances of getting a mortgage application approved with some late payments on my credit report over the last few years. 

My Clearscore rating is 800+
My Credit Karma rating is 590+

However I have 6 late payments in 2023 and 13 late payments in 2022. They are all on silly amounts through Very credit account. An oversight on my end, but take full accountability. 

I have passed a couple of high street lender mortgage in principles. We did speak to a mortgage broker that soft searches were ran based on our enquiry and "Most lenders have come back as Excellent or Good and a few as Refer". 

I know this is reassuring, but given that we're looking to relocate, I don't want to waste anyones time, money and effort putting a house on the market if a mortgage application is unlikely. 

Does anyone have any experience with mortgage applications and late payments on credit file. 

For visibility, no defaults, CCJs, late payments on secure loans (mortgage). 

Thank you in advance. 

ACG

Late payments on their own wont prevent you getting a mortgage. 
It really comes down to the details. I did a DIP yesterday for a couple who have a default and a few late payments dotted about - normal high street rates. I will be honest in that the DIP was a bit of a 50/50 hit and hope as the alternative would have been higher rates due to other issues. 

Now we have a DIP, I am 99% sure it will go through. 

I think you will have options based on what you have said but its difficult to be completely confident without knowing the the rest of your situation and seeing your credit report. 

Disanon2024

ACG said:

Late payments on their own wont prevent you getting a mortgage. 
It really comes down to the details. I did a DIP yesterday for a couple who have a default and a few late payments dotted about - normal high street rates. I will be honest in that the DIP was a bit of a 50/50 hit and hope as the alternative would have been higher rates due to other issues. 

Now we have a DIP, I am 99% sure it will go through. 

I think you will have options based on what you have said but its difficult to be completely confident without knowing the the rest of your situation and seeing your credit report. 

Thank you for your advice. That was very helpful and reassuring. 

For reference combined we have an annual gross salary of £135,000. Partner will be completely debt free (excluding current mortgage) before new mortgage application, and I will have £5000 remaining on one loan, potentially less. Neither of us will have any credit card balances or any outstanding finance (online shop accounts etc). 

The mortgage we are looking to apply for is a £400,000 mortgage with £100,000 deposit on top of this (house will be £500,000). 

Thanks for your advice 😊

ACG

Its more to do with the number of late payments, the worst status, how recent, what they were on etc. But at 80% LTV I would ike to think you will be fine. Late payments in the last 6 months might make it trickier but not impossible. 

Disanon2024

ACG said:

Its more to do with the number of late payments, the worst status, how recent, what they were on etc. But at 80% LTV I would ike to think you will be fine. Late payments in the last 6 months might make it trickier but not impossible. 

Thank you, here is a snapshot: 



Shop direct is a buy now pay later very account. I believe the minimum payment would have been £20 - £50. 

Again thank you for your advice. We're still potentially 6 - 12 months away from a mortgage application. I just didn't want to commit to putting our house up for sale etc, if I am not even likely to be able to get a mortgage.