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  • FIRST POST
    • scotgal30
    • By scotgal30 12th Oct 18, 11:50 AM
    • 62Posts
    • 26Thanks
    scotgal30
    Bad Credit - Good Mortgage obtained
    • #1
    • 12th Oct 18, 11:50 AM
    Bad Credit - Good Mortgage obtained 12th Oct 18 at 11:50 AM
    Before I applied for my Mortgage with my partner I was going through hundreds of threads trying to work out my chances of being able to obtain a mortgage, stressing out due to our not so perfect credit history past. I thought I would update so anyone who is in a similar boat to us can have some hope!

    My partner and I put a reservation down on a New build in Scotland and arranged a meeting with a free brokers. They were fab, super helpful and very informative.

    Our credit history. We both have not had perfect Credit History between us:
    x1 Credit Card default: Registered & satisfied 2015 = £400
    x1 Telecoms default: Registered & satisfied 2015 = £350
    x1 Mobile Contract Missed payments: Registered 2015
    x1 Telecoms default: Registered & satisfied 2016 = £210

    Current: partner has CC balance of £740 on it and I have a loan i pay back monthly £1995 outstanding. (this is the only credit we have now)
    My partner also had not been registered on the electoral roll register for 1 year!!

    We managed to obtain a mortgage with a 15% deposit on a home worth over 200K. With a 1.69% interest rate. The only condition we have is to clear the CC debt.

    It was stressful, it was worrying but we got there!
    We applied on the 1/10/18 and had our offer back to us by 10/10/18.

    If you have any questions, please do ask. And Good Luck!!
Page 1
    • Frankel17
    • By Frankel17 12th Oct 18, 11:54 AM
    • 11 Posts
    • 2 Thanks
    Frankel17
    • #2
    • 12th Oct 18, 11:54 AM
    • #2
    • 12th Oct 18, 11:54 AM
    Congratulations and thanks for sharing.



    Which mortgage company is it?
    • scotgal30
    • By scotgal30 12th Oct 18, 11:57 AM
    • 62 Posts
    • 26 Thanks
    scotgal30
    • #3
    • 12th Oct 18, 11:57 AM
    • #3
    • 12th Oct 18, 11:57 AM
    Thank you! It was Nationwide Building Society.
    • somethingcorporate
    • By somethingcorporate 12th Oct 18, 12:18 PM
    • 8,991 Posts
    • 8,718 Thanks
    somethingcorporate
    • #4
    • 12th Oct 18, 12:18 PM
    • #4
    • 12th Oct 18, 12:18 PM
    Well done.


    Did you use a broker?
    Thinking critically since 1996....
    • scotgal30
    • By scotgal30 12th Oct 18, 12:24 PM
    • 62 Posts
    • 26 Thanks
    scotgal30
    • #5
    • 12th Oct 18, 12:24 PM
    • #5
    • 12th Oct 18, 12:24 PM
    Yes, we used First Mortgage brokers
    • Frankel17
    • By Frankel17 12th Oct 18, 12:24 PM
    • 11 Posts
    • 2 Thanks
    Frankel17
    • #6
    • 12th Oct 18, 12:24 PM
    • #6
    • 12th Oct 18, 12:24 PM
    That is good to hear. I have applied through Nationwide myself. Got a DIP accepted after referral for £370k a few months ago (someone beat us to that place) so having to apply again for £385k on a place where we have had an offer accepted.

    My credit record isn't perfect, mainly due to a Vodafone work contract getting into areas in 2016 - I had no details so I cancelled direct debit assuming they would get in touch and forgot about it until I checked my credit report - amount was about £150.

    I have a £100k deposit and I believe my affordability is good: £105 - £110k salary (90 basic and rest profit share) so I am hoping that'll help get me through.

    Do you have to send them proof of the cc debt being settled?
    • kwame41
    • By kwame41 12th Oct 18, 1:30 PM
    • 137 Posts
    • 113 Thanks
    kwame41
    • #7
    • 12th Oct 18, 1:30 PM
    • #7
    • 12th Oct 18, 1:30 PM
    Congratulations on getting the Mortgage. Im sure your both very happy.
    Last edited by kwame41; 12-10-2018 at 1:34 PM.
    • scotgal30
    • By scotgal30 12th Oct 18, 1:36 PM
    • 62 Posts
    • 26 Thanks
    scotgal30
    • #8
    • 12th Oct 18, 1:36 PM
    • #8
    • 12th Oct 18, 1:36 PM
    Frankel17- Iím not entirely sure but we will pay it off and ask the CC company to send a statement showing this. And if the mortgage company wish to see proof we will have our solicitor send this to them.

    Good luck with your process
    • somethingcorporate
    • By somethingcorporate 12th Oct 18, 1:40 PM
    • 8,991 Posts
    • 8,718 Thanks
    somethingcorporate
    • #9
    • 12th Oct 18, 1:40 PM
    • #9
    • 12th Oct 18, 1:40 PM
    Yes, we used First Mortgage brokers
    Originally posted by scotgal30

    That's good to know. I only asked because it's good for other people to see how useful they can be, especially if it's a complex/difficult/unusual case.
    Thinking critically since 1996....
    • Boppin
    • By Boppin 12th Oct 18, 3:19 PM
    • 1 Posts
    • 1 Thanks
    Boppin
    Coming off the housing market?
    My husband and I have been in debt for a number of years and it got to the point that I had to take out a DMP which is currently ongoing. Since this my husband has taken ill and has been unable to work, we are just about scraping by on my salary and continuing to meet our commitments however we are tired of how tight it is every month and don't have any fallback for emergencies, literally all my salary goes on bills so there is nothing left for anything else.

    We feel the answer would be to sell the house - this would mean we could pay the remaining debt off in full and also have equity remaining - the big question is - would we be able to get a mortgage again? I know the credit rating is cleared after 6 years but I am 46 and my husband is 52. We are concerned we will never get on the market again.

    Should we just carry on so at least when the debt is paid off we have our house or should we just cut our losses? The big concern is we don't have a pension either so the house was our back up for the future. Any advice is welcomed!
    • scotgal30
    • By scotgal30 12th Oct 18, 8:46 PM
    • 62 Posts
    • 26 Thanks
    scotgal30
    Hi Boooin, I think you would be best advised by going to a mortgage broker, they will be best placed to recommend you. Go with someone who covers whole of the market. I’m not sure where your bases but we used First Mortgage who we didn’t pay for their services (mortgage companies pay them for the introduction) so their really going to try and work hard for what you need.

    Good luck and I wish your hubby a speedy recovery!
    • Samsung_Note2
    • By Samsung_Note2 12th Oct 18, 9:40 PM
    • 684 Posts
    • 317 Thanks
    Samsung_Note2
    Ohhh i was told by my mortgage adviser that Nationwide were very choosy on who they took...esp with negatives on credit file.

    Hence the decision to go with Halifax.
    Its really rather simple...I cant spell and your a Bully..Hang your head in shame.
    • kingstreet
    • By kingstreet 13th Oct 18, 8:06 AM
    • 34,448 Posts
    • 18,709 Thanks
    kingstreet
    Yep. I wouldn't have gone anywhere near Nationwide with this case. The cost of the speculative hard search would have outweighed the chances of success for me...
    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.
    • ACG
    • By ACG 13th Oct 18, 10:04 AM
    • 17,938 Posts
    • 9,720 Thanks
    ACG
    Im not sure I would have tried Nationwide either, although I suppose if you have some history with them and knowing how Natwest and Halifax have tightened up recently it might not be a bad shout.

    Boppin - Speak to a Mortgage broker. They may be able to do a consolidation loan to get your repayments down. Your equity could be eaten up by higher rental payments?
    I am a Mortgage Adviser
    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.
    • Finchy2018
    • By Finchy2018 13th Oct 18, 10:38 AM
    • 84 Posts
    • 50 Thanks
    Finchy2018
    We've just got our mortgage offer for the same rate with Nationwide, also a 15% deposit.

    EE hadn't cancelled my contract with them correctly so I was showing 3 months arrears, luckily a phone call to them and they refunded the balance and closed the account correctly - but that's not showing on my file yet, I was very worried it would mess up my chances. I was so pleased when we did get accepted, the condition of the offer is to clear the £77 balance on my CC which is not an issue at all.
    • scotgal30
    • By scotgal30 13th Oct 18, 5:37 PM
    • 62 Posts
    • 26 Thanks
    scotgal30
    Ive got to say my broker was very confident we would be successful? Maybe just good luck? Obviously she did say that the 15% would help us obtain a mortgage rather than a 10% / 5% which both would be out of bounds for us im positive.

    No extra information was requested, I’m ecstatic.
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