Poor Credit Score

Posted on 21 November 2011 by collette

I have a poor credit score of 650 and earn £5000 per year in part time employment.  My score is low because of the high balance on my credit cards, they are being paid and balance is coming down steadily.  My husband has a mortgage of £68,000 on a property worth around £100,000.  He has also poor credit as he was made redundant 2 years ago, he has since been in constant employment, but when he was made redundant he did fall behind in mortgage payments. He always made a payment and kept in constant contact with them.  The credit report shows he hasn't missed a payment recently and has an overpayment on his account.

We have applied for further borrowing to buy a new house, value of £135,000, with at least a 10% deposit and our application has been sent to the underwriters, the mortagage adviser is away on holiday for the next week and we are left in limbo as too what will be the outcome? 

We would like to clear all our debts while the house is on the market or if the house sells earlier then with the sale of the house and would appreciate your advice as what to do next.


I am not surprised that your application has been referred to the underwriters.  From what you have said it is highly unlikely that your application would automatically pass your Lender's credit score and needs to be looked at in more detail.  You can take heart that it has not been declined and if your husband has kept to all agreements with regards to his mortgage payments and the bank can see your credit balances are coming down this will all stand in your favour.  I note that the mortgage adviser is on holiday, but this needn't mean you are kept in limbo.  I recommend that you speak to their Manager and get them to keep you updated with your applications progress.

If they are not willing to grant you the mortgage, I think you will have trouble getting one anywhere else and you should think carefully about staying where you are and concentrating on reducing your debts.


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