Don’t give up because you have been told you can not be helped..!! Many people do.
If the statistics are to be believed then 1 in 4 of us has some sort of black mark on our credit file. This can be as simple as a late payment, through to missed mortgage payments, defaults and country court judgements or CCJ’s. It can even go as far as an IVA or a full bankruptcy.
So many of the high street lenders do not allow for this sort of bad credit entry and concentrate only on those borrowers that are showing them a perfect credit score. Sometimes an unfair approach as the reasons for the entry is varied and often there through no fault of the borrower.
So what options do you have when you need a mortgage and you are unsure who to approach?
The simplest solution is to speak to a Mortgage Broker. It is their job to stay on top of each individual mortgage company and their lending criteria. They can then easily match you to the one that best suits your situation and will speak to them on your behalf.
Why should I just not go direct to a lender?
- The lender you need to speak to will depend on what is actually on your credit file and their lending criteria. Get this bit wrong too many times, and you are going to see unnecessary credit searches dramatically reducing your score at a time when you need it to be as high as it can be.
Many people give up once being told ‘no’ by their own bank.
- Often the lender that is going to do this for you is one of the specialist lenders that you can not approach direct, only via a Mortgage Advisor. These banks will have mortgages that allow for all forms of adverse credit such as defaults, CCJ’s, missed or late payments, even debit management plans.
- Specialist Brokers should be able to speak to the Underwriter who is going to be making the decision directly. This is invaluable if your own situation is a bit different from the norm and it is important that all the facts are in front of the decision maker.
- If you are unfortunate enough to be in a position where there is no current lender able to help you, they will work with you to get yourself back to a position where you can apply and be accepted. It may be that just waiting a few months will bring you back in line with their requirements.
- Taking some initial advice from a specialist advisor leaves you under no obligation to take the enquiry any further. Of course, you are probably going to want to continue to consult with them if they look like the solution to your need for a mortgage.
- The rates a Mortgage Broker can get for you can be exclusive and not available on the high street.
- A Mortgage Broker should be impartial and not tied to any one bank or other lender. This should give you the best advice, and in turn, the best deal.