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  • FIRST POST
    • Col81
    • By Col81 15th May 18, 2:59 PM
    • 67Posts
    • 2Thanks
    Col81
    Credit rating causing my a big problem
    • #1
    • 15th May 18, 2:59 PM
    Credit rating causing my a big problem 15th May 18 at 2:59 PM
    Hi, I own a property and all my details are registered their. My driving licence, bank, passport etc. My mum has lived in the property for around 10 years on her own and claims housing benefit which the council are fine with and she pays that to me towards the mortgage. I have lived all over the place various friends/familys/partners houses and have never registered anywhere for council tax. My mum gets the single persons rate at the house i own.



    The problem is i need to register on the voters roll at the house i own in order to get credit but i do not live their. What implications will this have on me or my mum? i am worried as i have never paid council tax to anyone but have stayed all over the place. Please advise my best option? Thank you
Page 2
    • Col81
    • By Col81 15th May 18, 4:43 PM
    • 67 Posts
    • 2 Thanks
    Col81
    Yes i have tried however i do have a couple of defaults from 4 years ago so i suspect this is the issue so i am going to have to wait the 6 years for them to drop off it seems. I was told if i was on the roll it would be better as it makes me look more stable. Thank you for a good response Gary
    • Col81
    • By Col81 15th May 18, 4:44 PM
    • 67 Posts
    • 2 Thanks
    Col81
    i am still in the DMP and it is going well £19k is now down to £11k. However i need a new car for work as i travel 70 miles a day and don't have cash for a used car so finance is my option
    • BoGoF
    • By BoGoF 15th May 18, 4:47 PM
    • 3,138 Posts
    • 2,427 Thanks
    BoGoF
    You do realise you asked an almost question a year ago

    https://forums.moneysavingexpert.com/showthread.php?t=5613219

    Hoping for different answers this time?
    • Gary_Dexter
    • By Gary_Dexter 15th May 18, 4:47 PM
    • 1,156 Posts
    • 648 Thanks
    Gary_Dexter
    The defaults won't help - neither will the £11k on your DMP = that's £11k less credit you're likely to get.

    Why not just get a run-around car to get you to and from work?

    Or a bike? Moped?
    • BoGoF
    • By BoGoF 15th May 18, 4:50 PM
    • 3,138 Posts
    • 2,427 Thanks
    BoGoF
    As an aside, if you do have a car just now, I hope for your sake it's not insured at your mums address.
    • Col81
    • By Col81 15th May 18, 4:51 PM
    • 67 Posts
    • 2 Thanks
    Col81
    Hoping for better advice which Gary is giving. I don't need you advice Bogof. I will just have to carry on with the public transport and go from their. Its seems i have no choice. The votors roll is a dead end
    • BoGoF
    • By BoGoF 15th May 18, 5:02 PM
    • 3,138 Posts
    • 2,427 Thanks
    BoGoF
    Only a dead end because it ends your little scam.....and you're not prepared to do that.
    • BoGoF
    • By BoGoF 15th May 18, 5:23 PM
    • 3,138 Posts
    • 2,427 Thanks
    BoGoF
    The facts as you call them are on your other threads.....not the first time such an accusation has been made against you.
    • Gavoo7
    • By Gavoo7 15th May 18, 6:36 PM
    • 10 Posts
    • 8 Thanks
    Gavoo7
    Your Mum needs to be very careful. She shouldn’t be claiming housing benefit for a house that you own (or any close family member).
    • DCFC79
    • By DCFC79 15th May 18, 7:28 PM
    • 31,676 Posts
    • 19,977 Thanks
    DCFC79
    Why not register for CT where you currently reside the most, if thats where your mum lives then just suck it up and pay the extra money if need be.
    Can people stop loaning money/being a guarator to family/friends, it rarely ends well and you lose out as your money is gone or you get shafted with being a guarantor.
    • ViolaLass
    • By ViolaLass 15th May 18, 7:47 PM
    • 5,356 Posts
    • 7,403 Thanks
    ViolaLass
    Why are you renting your house to your mother for £350 a month if the mortgage is £600?

    Why are you subsidising her when you are in debt and struggling?
    • twhitehousescat
    • By twhitehousescat 15th May 18, 8:00 PM
    • 1,287 Posts
    • 1,742 Thanks
    twhitehousescat
    I would suggest that you register at the same location your driving licence , credit cards and mail goes to and throw your percentage of the community charge/counsil tax into the kitty

    If you register at your mothers location , you are stating that you LIVE there and by doing so , not only will the housing benefit for your mother stop , but the 25% off for single person will stop

    in another world , they come down on claimants co habiting and claiming single allowance
    Time pretending I was asleep whilst under his desk , has given me insight to this sordid world
    • Sncjw
    • By Sncjw 16th May 18, 8:42 AM
    • 1,778 Posts
    • 1,049 Thanks
    Sncjw
    You say it!!!8217;s costinf you to allow your mum to live there. If she wasn!!!8217;t living there it would cost you more.

    You do realise doing interest only mortgage you will need to find the money at the end of the interest mortahe to buy the house or risk losing it.
    • MEM62
    • By MEM62 16th May 18, 10:48 AM
    • 1,575 Posts
    • 1,196 Thanks
    MEM62
    no it isnt a buy to let mortgage ive had the mortgage for 15 years and it is interest only. Look guys i am after advice thats all not a argument i can have one of them anytime with my partner...... credit cards registered at my mums but my credit score is 60 and ive been told if i go on the electoral roll it will go up and i can then lease a car
    Originally posted by Col81
    I appreciate that you are trying to find a solution for your situation. You should also understand that it is not my intention to be argumentative. I have no such intention. Where OP's are looking at a course of action that has consequences that it would not appear they have considered then many respondents will point these out. (And being an public forum some are more direct than others in the way that they word things.)

    My assumption was that, as you are renting your property out, that you were doing this legitimately and therefore had a BTL mortgage. I therefore pointed out that potential issues that you may have with your mortgage lender if you were to go on the ER in case you had not considered this.

    It appears that you don't have a BTL so that raises other risks for you as you are in breech of the normal terms of a residential mortgage by renting the property to your mother.

    This point, as with many other points raised by other posters that are not necessarily a direct answer to your question, are intended to be helpful in that they are pointing out risks that you have potentially not considered. It is very easy to get tunnel vision in respect of dealing with a particular issue without looking at the wider consequences of what you are proposing. The positive part of forums such as this is that you benefit from thinking outside of your narrow parameters.

    If you are already financially stressed then it is even more important that you consider doing things above board as the consequences of falling foul of the likes of you mortgage lender (and maybe the tax man if you are not declaring the income you derive from your m other?) can be serious and would make an already difficult situation even worse.
    • Col81
    • By Col81 16th May 18, 3:04 PM
    • 67 Posts
    • 2 Thanks
    Col81
    I do not receive a income i lose £250 a month. Any way it is ok i am seeking financial advice from a solicitor in order put put things right and try to sort out my situation. I may just go bankrupt and then rent a cheaper flat for my mum leaving me £250 better off and buy a used car.
    • efes shareholder
    • By efes shareholder 16th May 18, 3:30 PM
    • 58 Posts
    • 72 Thanks
    efes shareholder
    Your Mum needs to be very careful. She shouldn’t be claiming housing benefit for a house that you own (or any close family member).
    Originally posted by Gavoo7
    I was just thinking this - Its certainly the case in my borough
    • Candyapple
    • By Candyapple 16th May 18, 3:38 PM
    • 2,866 Posts
    • 2,194 Thanks
    Candyapple
    Why will she lose housing benefit? i dont live their? and why should i be expected to house my mum? i already do and the fact i have put a roof over her head for years has cause me issues the mortgage is £600 a month and i get £350 off the council so it costs me to keep her housed
    Originally posted by Col81
    If your mortgage is £600 then I'm assuming the going rental rate in your area must at least be this if not higher, how comes your mum's housing benefit is only £350?

    Is that the max the council will allow her? If yes, then why not help your mum look for another cheap house where the rent is £350pm, she's housed and then you can sell your house/start living there and move on with your life.
    I'm a Board Guide on the Credit Cards, Loans, Credit Files & Ratings boards. I'm a volunteer to help the boards run smoothly, and I can move and merge threads there. Any views are mine and not the official line of moneysavingexpert.com
    • tripled
    • By tripled 16th May 18, 3:43 PM
    • 2,453 Posts
    • 1,109 Thanks
    tripled
    Assuming you act purely as a landlord in respect to your property (your mother has a tenancy agreement and you never stay there) then it is not your residential address and you cannot put yourself on the electoral role there. Instead you can register at another property where you spend a substantial part of your time or have some connection, i.e. your dad's or partner's address. For it to benefit your credit history you would probably need to switch your bills/bank accounts over to that address as well.

    If however you just let your mother live in your property for a contribution towards the mortgage, even if you stay away in temporary accommodation most of the time, you could put yourself on the electoral role there. If the council notice the discrepancy (two people on the electoral role at an address with single person discount) it may well trigger an investigation. As you don't have anywhere else permanent they would likely deem it to be your main residence, along with the consequences that entails.
    • ViolaLass
    • By ViolaLass 16th May 18, 4:24 PM
    • 5,356 Posts
    • 7,403 Thanks
    ViolaLass
    I do not receive a income i lose £250 a month. Any way it is ok i am seeking financial advice from a solicitor in order put put things right and try to sort out my situation. I may just go bankrupt and then rent a cheaper flat for my mum leaving me £250 better off and buy a used car.
    Originally posted by Col81
    You DO receive an income but you're not making a profit.
    • mrsw1968
    • By mrsw1968 16th May 18, 8:22 PM
    • 26 Posts
    • 26 Thanks
    mrsw1968
    I do not receive a income i lose £250 a month. Any way it is ok i am seeking financial advice from a solicitor in order put put things right and try to sort out my situation. I may just go bankrupt and then rent a cheaper flat for my mum leaving me £250 better off and buy a used car.
    Originally posted by Col81
    Bankruptcy is the worst the worst thing you can do. The Official Receivers would own all of the beneficial interest in your property and can force the sale in order to clear your debts. You also have to, by law, submit an income and expenditure statement to the Receivers who then go through this statement and tell you what they will allow for expenditure. The Receivers will take any vehicle you have that's worth more than £500 to sell and put towards your debts. Any excess income must be paid to the Receivers for a period of 3 years. You are forbidden by law to enter into any credit arrangements for the period of bankruptcy, usually 12 months. After this your credit file is shot to pieces for the next 6 years.

    Please don't think of bankruptcy as the easier option, it isn't. You will be left with nothing. Take it from someone who's been there.

    I hope you manage to sort yourself out soon X
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