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[Ramm WANTED $32 Outlaw]

Yeah that will help. I remember getting knocked back on phone contracts twice for no good reason and it pissed me off because i knew it would hurt my credit rating just to get refused. In the vodafone gave me a contract that cost a little more than the 2 id tried to get initially so there’s really no reason other than the shops just didn’t want to honour their deals.

[Pablo5787 WANTED $10 Outlaw]

Mate my credit rating is a bit lower and never seems to go up despite paying mortgage and utilities every month not got a clue how it works

[k6 k6kaysix WANTED $51 Outlaw]

The ‘score’ means absolutely nothing to a lender, don’t concentrate on it

Sadly your credit file will be littered with payday loan records which is the real killer, your chances of getting a mortgage this time next year are slim to none, 2-3 years maybe but it could be up to 6

You need to concentrate on qutting the gambling and paying off your debts before asking to loan probably the biggest and most important loan in your life!

[Li Liberty WANTED $132 Outlaw]

appleman91 wrote:

Hi All,

After a bit of advice please, I’ve had solid advice from here in the past so thought I’d try again. As I’ve mentioned before I got myself in a lot of trouble last year with payday loans etc for gambling, been 8 months gamble free now still in a lot of debt but the payments are manageable. My friend helped me with the payday loans, I’ve since paid him back, just stuck with 12k on credit cards 10% from max limit, and 2k on a personal loan.

I’ve read on the internet that ideally you need to be 70-75% from max limit on your credit cards so it doesn’t have a negative effect on credit rating. Will my credit rating increase before this point?

I’m ashamed to admit my credit rating is 233 out of 700 on clear score, I’ve never missed a payment but due to desperation last year my credit report is littered with searchers from Jun 18 to Nov 18. Will my credit rating increase as the searchers disappear each month? How quickly will it increase? I’d like to get a mortgage this time next year I’m worried my credit rating won’t be anywhere near good enough.

Just to be totally clear from the outset, the number that these sites give you are relatively meaningless unless they are the ones lending you money. Each lender has its own criteria when it comes to lending for mortgages.

When the time comes in your circumstances I’d highly recommend seeing a whole of market broker. They will look at all 3 of your credit files with you and know which high Street lenders will accept someone with your profile. Lots of them hate payday loans for example. They check the last 6 years of your file.

 

Based on what you’ve said I’d expect you to be able to get a mortgage with a high Street lender next year rather than a specialist lender but if you apply to one that doesn’t like your history and they refuse you that will make it harder for the next one to accept you etc.

 

One last piece of advice, once you are accepted for a mortgage (not in principle but after the underwriters have looked and accepted you) don’t apply for any credit (NOT EVEN FOR A SOFA) until you have completed.

If you are on the edge of affordability and they check your file again on the day of completion (and some do) they can cancel the mortgage costing you your deposit.

Carry on doing what you are doing and you’ll be fine. Check out the money saving expert forums for more detailed help closer to the time.

[ap appleman91 WANTED $42 Outlaw]

Thanks for the advice, I’ll just have to hope they don’t look too deep. Affordability won’t be an issue, hopefully they take that into account aswell. I’m 28 still at home, starting to feel a bit of pressure that I should be moving out. My family and friends seem to think I’ve got loads of money, maybe I should come clean. There’s only one mate who knows everything, he helped me out. My brother knows a little bit of it, not to the full extent.

[Li Liberty WANTED $132 Outlaw]

Gambling addiction puts things to scale. My brother earns considerably more than me, a quarterly bonus at one job was more than my yearly wage haha.. He’s sorted himself out now and I assume it’s on the road to buying himself a house.

It’s not just affordability, it’s a package deal…each lender looks at your file and has their own requirements for the borrower so while you might on paper easily afford the repayments if something in your file, such as payday loans, it could be an auto no from some high Street lenders and if you apply to 2 and get refused from both then the 3rd one will ask themselves more detailed questions.

I have my mortgage with first direct, leading rates, great deals, super picky about who they take on as a customer. As you’ve been in a big hole in the last 6 years I’d again recommend a whole of market broker, not an estate agent one, they are crap. A fully independent one. Worst case you pay someone some money to get you the best deal your file is capable of getting. Best case they save you from the dreaded last minute pull out when the underwriters decide you are too risky for their sheet.

 

Good luck on your journey.

[Seedy WANTED $1,244 Sheriff]

Liberty is right a mortgage broker will find you a deal that suits mate they charge a fee obviously but its a one of payment and they do a good job simply because they want you to use them again when you remortgage the house 5 years down the line i’ve used one and the results have always been satisfactory.

[ap appleman91 WANTED $42 Outlaw]

Thanks I’ll have a look into that closer to the time. I’m a long way off, not going to save for a deposit yet, going to concentrate this year lowering my credit card balances so I’m not getting stung as much with interest.

I claimed against the payday loan companies earlier this year and I was advised to ask them to remove anything negative from my credit file, on their replies most of them acknowledged this. What exactly can they remove and will this help me?

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