7 Bad Credit Problems That Won't Necessarily Stop You Getting a Mortgage

Posted by Albion Forest Mortgages on 19th October 2020 -

So you have adverse credit history, you can still get a mortgage!

1. Bankrupt - If this is discharged over 3 years you can still get a mortgage, if less than 3 years, start planning for when you get to 3 years. 

2. Debt Management plans - If you've had or even are in a Debt management plan, depending on your deposit levels you can still get a mortgage.

3. Defaults - You can still get a mortgage with defaults, if its for telecommunications it can sometimes be ignored. Generally if satisfied and less than 4 defaults you have options, if they are low value, i.e. less than £500 you can possibly get a mortgage ignoring them.

4. County court judgements (CCJ) - As long as it's over 6 months old its likely you can still  get a mortgage. Again if its for telecoms it can potentially be ignored.

5. Mortgage Arrears/Secure loan arrears - Obviously lots of lenders don't like mortgage arrears, but as long as none in the last 12 months there are options in the mortgage market, dependent on deposit.

6. Unsecured loan missed payments - As long as you have brought the account up to date and have 2 payments on time following the arrears you have options.

7. Payday loans - Payday loans are not great with Lenders, but as long as you haven't had any in the last 12 months you can get a mortgage.

Lots of things come into assessment for a mortgage, but these things on their own are hurdles you can overcome.