Repossession

Posted on 13 May 2012 by ian


Hi I had a joint mortgage ten years ago when the house was repossesed but have recently cleared all my debts via debt management I am now being told that this one mistake ten years ago will stop me from ever getting a mortgage is this true thankyou?

Ian

This statement is not strictly true, but for all intents and purposes it will stop you getting a mortgage for the foreseeable future.

Whilst credit records stay on file for a maximum of 6 years and I suspect your more recent credit history will prevent you getting a mortgage, you will always have to declare the repossession on a mortgage application.  Whether this then results in the application being declined depends on the individual lender.  When I worked for Halifax this question and whether you had ever been declared bankrupt formed part of the questions, but did not directly effect the lending decision and I saw a handful of cases go through to offer and completion.

In the current lending climate I do not know of any lender who would accept an application from yourself and I do not see this changing, if ever,  until the economic climate improves.

Peter

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