Adverse Credit Mortgages

Adverse Credit Mortgages – Expert Advice Across England

Introduction

A poor credit history does not have to mean the end of your mortgage hopes. Whether you have had missed payments, defaults, County Court Judgements (CCJs), or a debt management plan, there are specialist lenders who will consider your application -- if you approach them in the right way. We help people with adverse credit histories find realistic mortgage options and rebuild their financial position.

What Counts as Adverse Credit?

Adverse credit -- sometimes called bad credit or impaired credit -- covers a range of issues: late or missed payments, defaults (where a creditor has given up chasing a debt), County Court Judgements (CCJs), Individual Voluntary Arrangements (IVAs), debt management plans, and in more serious cases, bankruptcy or repossession. Different lenders take different views on each of these issues, and the severity, amount, and how recently they occurred all affect what is available to you.

Can You Get a Mortgage with Bad Credit?

Yes -- but you will likely need a larger deposit (typically 15-25% or more) and will pay a higher interest rate than someone with a clean credit history. The good news is that adverse credit mortgages are a stepping stone, not a permanent sentence. Once your credit record has improved and you have built up equity, you may be able to remortgage onto a more competitive rate in two to three years. We will give you an honest assessment of what is realistically available to you now, and a plan for improving your position over time.

Which Lenders Consider Adverse Credit?

High-street banks typically will not lend to applicants with significant adverse credit. However, there are specialist lenders -- including some building societies and dedicated adverse credit lenders -- who assess each case on its individual merits. We have access to this specialist market and know which lenders are likely to consider your application based on the nature and timing of your credit issues.

Improving Your Credit Profile Before Applying

In some cases, the best advice is to wait before applying for a mortgage and spend six to twelve months actively improving your credit profile. This might involve settling outstanding defaults, registering on the electoral roll, reducing credit card utilisation, or obtaining a credit-builder card. We will advise you honestly on whether you are ready to apply now or whether some preparatory steps would significantly improve your chances and the rate you are offered.

Do not assume you cannot get a mortgage because of your credit history -- speak to us first. We offer a completely confidential, no-obligation consultation and will give you an honest picture of your options. We have helped many clients in exactly your position find a workable path to homeownership.

Your home may be repossessed if you do not keep up repayments on your mortgage.