Tme Mortgage Business - credit scoring help?

selectcase

Hi all

sorry its ment to say "T.M.B - The mortgage Business" in the title of the thread

My mortgage advisor is going to apply for a mortgage for me through TMB as i want to do a small self build/barn conversion. He has informed me that these people are my only choice because of my less than perfect credit file (I have 2 defaults registered).

The only think we cant tell is what credit scoring bands they use as on thier website the affordability calculator has 3 bands. credit score a,b or c but no numbers or conditions specified. Has anyone used these people and know if they accept defaults or less than perfect credit scores?

thier apr rate quoted was 7.44 which I can afford as I have 50% capital i can put down and the loan amount is around 85k

HelpWhereIcan

There is no guarantee that they will accept you, but with defaults the best you should expect is a Pass C.

You may get better if the defaults are small and/or old but the rest of your profile (not just credit history) will have to be strong.

That comes down to things like Loan to Value (which is going in your favour), income etc etc

selectcase

To be honest I will be happy just to be accepted,the rest of my criteria is strong as I have cleared all debt and dont owe anyone at the moment plus my mortgage was always paid on time before i settled it- I forgot to add that its a self cert mortgage but I am in full time employment (32k pa)so I was also wandering if I actually qualify for it becuase i am not self employed!

HelpWhereIcan

If you are employed I would be questioning the need for you to self cert at all.

Is your package heavily made up by commission or bonus?

Do you have other income from other sources that need to be used eg rental or other investment income?

If the answer to these is no I would seriously consider getting a second opinion - especially if your defaults are historic and settled.

How much were they for?

How long ago?

How long ago were they repaid?

Also post things like the purchase price/value of the plot, the build cost and the potential final value of the built property and someone may be able to give you an idea if other lenders may be available offering a more suitable deal.

selectcase

ok thanks

I will give the details - I would politly ask that some on this forum refain from the usual comments about my poor financial acumen as thats not what i am asking for!!

I am going through buildstore

I current equifax score is around 630 - it was 750ish but got reduced as we have moved back with parents after selling house and will not be on electoral roll until 5th May - we sold our house on 12 March

credit history

I have 2 defaults registered in sept and oct 06 for a total of 11k at the time we went on to a dmp NOT an iva which is why the defaults were registered - we were not late with payments. They were fully settled in march this year with regular payments every month betwwen these dates

Northern rock have put 1 late payment on in the past couple of months in relation to a personal loan whch I am considering disputing as it was never late but thats besides the point as its still on the report.

the mortgage was with natwest and has always been - never in arrears etc.

we sold in march of this year and I used some of the equity to pay off everything outstanding - mortgage, loans etc. we currently owe nothing and have no credit cards as we destroyed them in 2006. we moved in with parents. My credit report has not been fully updated at the present time but will be in the next 8 weeks. it also has 2 recent searches - 1 for a mobile phone which we naturally now need and 1 for a specialist clothing catalogue as I am a shortass and i can never get any jeans to fit me.

My father has got full planning permission for barn conversion to a 2 bed bulgalow. the barn is 60yrs old and has a new roof and is conventional brick built construction. the barn is 65m square so quite small but in 0.2 of an acre plot. it has full desisgns drawn up with building regs approval. a trial pit has to be dug to assess foundations.

plot price is 100k - just below market price as its my dad

tenders are due in on the 5th may and are estimated to be around the 65k mark to build or 1000 pounds per square metre. All project management to be handled by the builders.

I have 82k to contribute and require around 85 - 95k to cover building costs, plot purchase, stamp, legal fees, etc

I am in permenent employment current job for 8 years (college lecturer), married, 1 child.

My wife also has 1 default registerd at the same time and her wages are unreliable so I am unsure wether to go for a joint application however the advisor said it would be best to go the joint application route

hope thats enough

cheers

will