The application process for mortgages is simplified to ensure that it’s as simple as possible. The 5-star ratings and results of our service show how we can help people who have missed or defaulted on payments find competitive mortgages. Our team of expert mortgage advisors, case managers and pre-underwriters will increase your chance of finding default lenders in the UK.
When a lender shuts down your account due to missed payments, a default will appear on your report. The default will appear regardless of the amount you owed at the time your account was closed. A default usually occurs if you have missed payments for 3 to 6 month, but this depends can you get a mortgage with a default on your specific credit terms.
Your lender will give you a notice of default for credit that is governed by the Consumer Credit Act. This includes credit debts. A default notice gives you a maximum of ten days to make up your past due payments. A default notice does not show up on your report. If you can pay the amount specified in the notice, you’ll avoid the default showing on your report.
Mortgages and secured loan arrears are more important to lenders than missed mobile phone payments. Arrears on mortgages are a high priority and you should avoid them and contact your lender immediately if you have any doubts about your ability to pay. You should pay off any arrears first if you are in the position to do so.
You can still get a home loan despite defaults. It’s important to consider the kind of defaults you may have made in the past. Your ability to get a loan will depend also on factors like your income as a household and your deposit. Simply Adverse has a wide range of lenders, including bad credit lenders who specialize in mortgages and traditional lenders. We can therefore offer the best deal and have many mortgages that were successful with defaults.
The default will remain on your report for six years. Whether or not your debt is paid, the default will remain on your report for six years. The default will be removed once the six-year mark has been reached, regardless of whether you still owe money to the lender. Although your lender cannot re-register a default after it has been removed, they can still apply for CCJs, which will appear on your report, if you fail to pay back the debt.
Some lenders may be more flexible if the default has been paid. This varies depending on the lender. It is best to consult a mortgage broker who specializes in adverse credit, such as those from Simply Adverse. They can give you better advice based on your financial situation.
It is still possible to obtain a mortgage despite defaults. However, it will be harder than it would be if your credit was clean. There are lenders who may view borrowers with defaults as a greater risk. This can lead to higher rates of interest or even rejection for mortgages. Some specialist lenders are familiar with defaulting borrowers. Some lenders may accept higher deposits or more flexible conditions to reduce risk.
