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What if I have a poor credit rating?

No problem, many people are afraid to look for a remortgage deal because they think there is no possibility of arranging finance due to adverse credit. This may be due to County Court Judgments or rent or mortgage arrears that occurred through any number of reasons like divorce, redundancy, sickness or a failed business venture. We are able to provide non-judgmental and sympathetic advice in these circumstances and can help find you the best mortgage to suit your circumstances.

Can we help?

We have access to a wide variety of lenders who can help in this area so do not despair, whatever your circumstances help may be at hand – just complete our enquiry form . There is no obligation and we will be only too happy to offer remortgage advice.

Mortgage Arrears

This describes the amount the borrower is behind in their mortgage repayments schedule. The amount is usually measured in months. If the arrears have occurred in the last 12 months this will decrease your chances of being successful in applying for a 'High Street' mortgage or loan. The lenders we use are specialised in this market and therefore consider applications on an individual basis. We have helped many people with minor or even severe credit difficulties including pending repossessions. When the arrears have occurred in the last 12 months the mortgage rate will generally be slightly higher than it would be otherwise.

How can you repair your credit?

Just as a poor credit rating can be developed through your actions, so can a good credit rating. In fact, even if you were previously bankrupt or owed thousands of pounds you couldn't pay back there is still hope for you. All you need to do is show that you have changed or that the behaviour that got you into trouble was not typical behaviour for you. The way to do that is to rebuild your credit profile. To start rebuilding your credit all you need to do is manage your bank account, mortgage, credit cards and loans in an orderly manner.. Never miss a payment or make late payments. That means don't take on more than you can manage in the first place. Once you have done this for a year or so you will start to look like a more attractive borrower and may even be able to move back to a mainstream mortgage company to enjoy lower rates. If you keep it up then your credit will eventually be completely clean as previous incidents disappear from your record after 6 years.

Can I Consolidate My Debts?

Remortgaging can assist with debt consolidation – helping to re-organise your financial affairs, and sort out your finances by transferring debts with high rates of interest to your mortgage - the cheapest way to borrow. Your new monthly repayments are likely to be considerably less than from all your existing debts. The high interest charged on credit cards and bank loans is a strong incentive to re-mortgage.

County Court Judgement (CCJ's) and Defaults

This is an adverse ruling by a County Court against a person, who has not settled their debt payments to their creditors. Once the ruling has taken place it will be recorded against the persons credit history and will appear every time a credit search is done until you have it removed or it drops off through age (this takes years).

County Court Judgements

Failure of an individual to make payments on a credit facility at the correct time or to not complying with the lender's requirements. CCJ's & Payment Defaults will not stop you getting a Mortgage or Loan. It is generally accepted, that if a person has a Payment Default or County Court Judgement against them it will have to be satisfied before they can get a mortgage or loan. This is not strictly true, as there are some lenders that specialise in providing mortgages and loans to those with varying degrees of adverse credit, including CCJ's. It is true, however, that the mortgage rate will generally be slightly higher than it would be otherwise.

Bankruptcy

A bankrupt person is relieved from paying all debts once assets have been surrendered to an appointed third party designated by the court. Whilst in Bankruptcy you are not permitted borrow money via conventional sources. Even when you have been Discharged from Bankruptcy it will still restrict your chances of obtaining finance, in some cases for many years. We have lenders that consider Bankrupts once they have been Discharged. If there are Cautions, ex-creditors interests, registered against the property it may be possible to clear these by way of a re-mortgage. This will depend on the amount of equity in the property and the amounts outstanding. Depending how long you have been Discharged, the mortgage rate will generally be slightly higher than it would be otherwise.