You have credit problems and need to learn about your options

A poor credit file can make it harder to get a mortgage...but there are options

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If you've experienced credit problems in the past, keep reading because it's highly likely that you have more options than you may think.

A poor credit history can be anything from bankruptcy, to a late payment on your mobile phone bill.  All of the mortgage lenders have their own criteria about what they will, and will not, accept.

The high street lenders, such as; Halifax, Nationwide, Natwest, etc, tend to be the least lenient when it comes to credit problems.  However, there are still big differences in how they view your credit history.

For example: 

Nationwide will accept  1 x [satisfied] CCJ of no more than £250 vs. Santander, who will not lend to anyone with any historical credit problems.  

Once you step away from the high street, there are many lenders who are far more open with regards a poor credit history.  These lenders tend to be smaller and more specialist, but they lend under the exact same rules & regulations as the big boys and you are fully protected by the Financial Ombudsman Compensation Scheme.

You can expect to pay a higher interest rate than those you will find on the high street -  because they are taking a bigger risk. Depending on the level of adverse credit, rates can be pretty close to the big lenders, or can be quite high.

Many people use these adverse lenders as a spring-board - fix their mortgage at a slightly higher rate and then remortgage away from that lender and to a high street lender, once their credit has improved.  This will generally mean lower monthly payments.

Here's what can be considered:

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County Court Judgements (CCJ's)

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Defaults

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Bankruptcies

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Missed/Late Payments

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Debt Management Plans

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IVA's

If you have any questions, or would like to discuss your options, give us a call.  We’re here to help.

CALL US ON: 01424 440410
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Would you like an expert to go through your credit file for you?

Give us the basics and we'll do the rest

Would you like an expert to go through your credit file for you?

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Give us the basics and we'll do the rest