Mortgage w/ poor credit score, just paid off DDP

whydIdothis2myself

Hello....

Looking for inspiration, advice and similar stories of hope.

I entered into a DPP over a year ago with StepChange. My mum has kindly settled the debt, very privileged and grateful to her.

Obviously the credit score is 'poor'.

I have been given notice and need to move out very soon. I have cash coming from being bought out from ex husband from a house we share. Should have 10-20% for deposit.

I have appointments scheduled to see a few advisers in the coming weeks.

Earning £35-37.5k p/a

Just worried im wasting time.

What are your thoughts, ideas and advice for these coming up meetings i have?

Jemma01

How much are you looking to borrow compared to your salary? Have you checked online to see how much lenders are willing to lend vs the cost of the property?

Remember you're not the only person with poor credit

whydIdothis2myself

The property is £150,000 & I would like to pay 10%, so £15k, mortgage will be £135k

ACG

A DPP (I have had to google this and I do a lot of adverse) seems to be the repayment process of a DAS? (Correct me if I am wrong as I know what a DAS is but never heard of a DPP).

Assuming that is correct, then most mortgage lenders work off the end date of the DAS - and generally need 3-6 years for it to end. Some will work from the registration date but I think those lenders need 6 years from registration.

There are lenders who will consider you from once it ends, but rates are likely to be 7-8%+ and a 30-35% deposit would be needed.

Realistically, I think you are going to be looking at 3 years discharged before you can get something at reasonable rates with a smaller deposit. A DAS is treated the same as an IVA/Bankruptcy etc.

born_again

Score means nothing it is history that counts. Late payments etc.

You would be best going via a broker who should know the best lenders for poor credit history.

whydIdothis2myself

Thank you both.

Yes DPP is through DAS.

I did thinks its probably not worth getting my hopes up for , but im looking at £1k a month for renting so worth checking out.