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  • FIRST POST
    • Killtrox
    • By Killtrox 9th Jan 18, 8:41 PM
    • 5Posts
    • 3Thanks
    Killtrox
    Mortgage with defaults and DIP ??
    • #1
    • 9th Jan 18, 8:41 PM
    Mortgage with defaults and DIP ?? 9th Jan 18 at 8:41 PM
    Hi

    I'm currently trying to apply for a mortgage with my partner and the whole ordeal has me beyond stressed.
    I have a default registered Jan 2013 which was for an overdraft of 3.3k with halifax sold the following year to 1st credit, i have made no payments to 1st credit so the default remains unsatisfied (currently in the process of working out the best cause of action)and my partner has good credit history
    We are applying for a mortgage on a new build with help to buy and the developer is also agreeing to add another 5% deposit so total of 30% deposit according to their advisors we have been given a DIP with Halifax and therefore Halifax and know about the default (via soft search) so I shouldn't worry about the default causing an issue.

    Just wondering if there are any success stories from similar cases and also should the DIP make me feel a little more hopeful ?
Page 1
    • YHM
    • By YHM 9th Jan 18, 9:45 PM
    • 537 Posts
    • 198 Thanks
    YHM
    • #2
    • 9th Jan 18, 9:45 PM
    • #2
    • 9th Jan 18, 9:45 PM
    Halifax work on a credit score basis, so as long as your credit score fits within their benchmarks, you should be fine.
    I am a Mortgage Broker.

    You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice
    • Killtrox
    • By Killtrox 9th Jan 18, 9:54 PM
    • 5 Posts
    • 3 Thanks
    Killtrox
    • #3
    • 9th Jan 18, 9:54 PM
    • #3
    • 9th Jan 18, 9:54 PM
    I'm currently in the fair section on my experian credit score, I hope to God we get an accept and there's no issue with the default at this stage.
    • Thrugelmir
    • By Thrugelmir 9th Jan 18, 9:55 PM
    • 58,914 Posts
    • 52,233 Thanks
    Thrugelmir
    • #4
    • 9th Jan 18, 9:55 PM
    • #4
    • 9th Jan 18, 9:55 PM
    and therefore Halifax and know about the default (via soft search) so I shouldn't worry about the default causing an issue.

    Just wondering if there are any success stories from similar cases and also should the DIP make me feel a little more hopeful ?
    Originally posted by Killtrox
    You've defaulted on the Halifax previously and you are intending to apply for a mortgage with them!

    You've been poorly advised. Unless you've failed to declare this fact to your mortgage advisors.
    Financial disasters happen when the last person who can remember what went wrong last time has left the building.
    • hippychick1
    • By hippychick1 10th Jan 18, 7:53 AM
    • 577 Posts
    • 986 Thanks
    hippychick1
    • #5
    • 10th Jan 18, 7:53 AM
    • #5
    • 10th Jan 18, 7:53 AM
    We had a DIP with Halifax 2 years ago. I had an unsatisfied default of £1800 from 5 1/2 years previous, which Halifax knew about. We were declined on full application due to this. We did only have a 15% deposit though. Perhaps with 30% deposit you will be ok.
    Proud to be dealing with my debts
    • csgohan4
    • By csgohan4 10th Jan 18, 8:05 AM
    • 4,540 Posts
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    csgohan4
    • #6
    • 10th Jan 18, 8:05 AM
    • #6
    • 10th Jan 18, 8:05 AM
    You need a broker who is specialist in adverse credit, but generally expect to pay for them.


    You could get a free broker, but generally you get what you pay for
    "It is prudent when shopping for something important, not to limit yourself to Pound land"
    • Killtrox
    • By Killtrox 10th Jan 18, 10:06 AM
    • 5 Posts
    • 3 Thanks
    Killtrox
    • #7
    • 10th Jan 18, 10:06 AM
    • #7
    • 10th Jan 18, 10:06 AM
    We have been given the details of a mortgage advisor from a family friend who has been successful with said broker in getting mortgages on a couple of their properties whilst having a few defaults against their name so we are seeing him today.
    • GSPGirl
    • By GSPGirl 10th Jan 18, 8:43 PM
    • 78 Posts
    • 17 Thanks
    GSPGirl
    • #8
    • 10th Jan 18, 8:43 PM
    • #8
    • 10th Jan 18, 8:43 PM
    How did you get on ?
    • Killtrox
    • By Killtrox 12th Jan 18, 9:07 AM
    • 5 Posts
    • 3 Thanks
    Killtrox
    • #9
    • 12th Jan 18, 9:07 AM
    • #9
    • 12th Jan 18, 9:07 AM
    Spoke with our advisor last night and he said Halifax have requested payslips however our accountants messed my payslips up and had to re roll them to correct them so I think Halifax are requesting an Employers reference.
    Our MA seems to think all the necessary checks have been done so the default shouldn't be a problem now (hard check also showing on experian).
    Hope it all goes through, feel literally sick sat waiting for the news.
    • Laurascott
    • By Laurascott 31st Jan 18, 3:32 PM
    • 6 Posts
    • 1 Thanks
    Laurascott
    Hi , how did you get on. I want to get a mortgage with my boyfriend but I am with a debt management plan. Even though I pay on time one company has made defaults on my credit file. I have 2k left to pay. A normal mortgage advisor was useless. We are doing the same as you help to buy and 5% deposit. Stuck loosing hope now.
    • csgohan4
    • By csgohan4 31st Jan 18, 6:32 PM
    • 4,540 Posts
    • 2,835 Thanks
    csgohan4
    Hi , how did you get on. I want to get a mortgage with my boyfriend but I am with a debt management plan. Even though I pay on time one company has made defaults on my credit file. I have 2k left to pay. A normal mortgage advisor was useless. We are doing the same as you help to buy and 5% deposit. Stuck loosing hope now.
    Originally posted by Laurascott


    A normal mortgage advisor is not a specialist in adverse credit which you have


    In terms of paying on time, unfortunately your supposed to as your on a debt management plan which is active and that makes you a higher risk


    A specialist adverse broker are not cheap though
    Last edited by csgohan4; 12-02-2018 at 9:34 PM.
    "It is prudent when shopping for something important, not to limit yourself to Pound land"
    • Killtrox
    • By Killtrox 12th Feb 18, 12:27 PM
    • 5 Posts
    • 3 Thanks
    Killtrox
    Hi

    Sorry for the delay, we got accepted with halifax and have received our offer. We are now just waiting for solicitors to do the searches and then exchange of contracts.
    The MA the developer gave us were useless and uninformative but the MA we went with in the end who was recommended by a friend was brilliant.
    • kingstreet
    • By kingstreet 12th Feb 18, 3:38 PM
    • 33,552 Posts
    • 18,192 Thanks
    kingstreet
    Hi , how did you get on. I want to get a mortgage with my boyfriend but I am with a debt management plan. Even though I pay on time one company has made defaults on my credit file. I have 2k left to pay. A normal mortgage advisor was useless. We are doing the same as you help to buy and 5% deposit. Stuck loosing hope now.
    Originally posted by Laurascott
    A DMP will see you needing a specialist adverse credit lender. You will be asked to provide evidence your payments have been made on time for at least twelve months.

    An experienced newbuild broker would immediately know which lender to consider for such a case.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
    • ashe
    • By ashe 13th Feb 18, 5:19 PM
    • 530 Posts
    • 367 Thanks
    ashe
    Just bumping this for some related advice - I consider myself to have excellent credit with no missed payments, but there was an issue few years back where I took out a phone for my ex. She 'took over' the account and changed it to her bank details and address when we split, moved out of the country and then I got a call from a debt agency. Long story short, there was a default of £65 registered on the account - EE apologised and said the agent she had spoken to hadnt given appropriate advice (they had literally told her 'its not your problem!' and they cleared the balance and it is marked as satisfied.

    We have a decision in principle for our mortgage from Nationwide, and my partner and I earn quite good money, but I am concerned now that this is going to throw a spanner in the works over £65!

    my current mortgage is with Nationwide and never missed any mortgage payments, not credit card payments or utilities etc in the past. The address on my credit file is an address I have never lived at or even been to. Would they be aware of this already if we have the DIP or would this only be looked at on full application?
    • chelseablue
    • By chelseablue 13th Feb 18, 5:30 PM
    • 2,419 Posts
    • 2,889 Thanks
    chelseablue
    When we applied for our mortgage with Halifax my partner had a default with Halifax and we were accepted.
    Although his was fully paid off in 2013 and the mortgage was approved in 2015
    Mortgage starting balance £231,000
    Mortgage after Year 1 £225,000
    Mortgage after Year 2 £218,000
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