Posted on 21 April 2012 by Lisa
I have bad credit due to miss payments over a number of years. My partner has excellent credit. Between us we earn 62,0000 and have 50,000 saved. Do you think we could get a mortage for 260,000. I don't think I have ccj but have missed three months in a row on some credit. I only have 2,000 of debt left to pay.
I am sure you are aware that it has become more difficult to obtain a mortgage since the start of the credit crisis and one of the areas lenders have clamped down on is missed payments. Any type of credit agreement is a contract between you and the provider and if you have not kept to your side of the contract by making payments when they fall due this reflects badly on your ability and willingness to ensure payments are made.
I expect that you would be declined for a mortgage automatically from everyone apart from some of the smaller lenders who do not use a computerised credit score and specialised lenders who will charge a higher interest rate due to your poor credit history. Whether or not you are accepted by either of these groups will depend on how much deposit you have available? A 25% deposit gives you a far greater personal stake to lose than a 10% deposit and so Lenders can afford to be a bit more accommodating when making their decision.
I recommend that you concentrate on making sure that all your credit payments a made when they fall due and build up a period of at least 12 months since you last missed payment. At the same time the more you can save towards a deposit the better. You should also obtain a copy of your credit file so that you know exactly what is on record:
Equifax Ltd Callcredit Plc Experian Ltd
Credit File Advice Centre Consumer Services Team Customer Support Centre
PO Box 1140 PO Box 491 PO Box 8000
Bradford Leeds Nottingham
BD1 5US LS3 1WZ NG80 7WF
0844 335 0550 0870 060 1414 0844 481 8000
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