Bad Credit

BAD CREDIT

Have you been turned down for a mortgage and don't know where to turn? 
Hearing the word no in any lending aspect is a disappointment, however don't let that deter you from getting a mortgage. 3D Mortgages can help turn NO into a YES. Here are some things to consider...
Speak to an adviser

Why?

Often there are simple reasons for being turned down for a mortgage, you might not have credit for one or you may not be searching up on a voters roll which could lower your credit score. You could also already have past credit issues such as defaults, missed payments, CCJ's, bankruptcy or even be in what is called a debt management plan (DMP) or IVA. All the above could effect your status with some lenders but the good news is there are lenders who will still give you a mortgage subject to status. The first port of call is for you to get an up to date copy of your credit file, this can be done free of charge by visiting Noddle (click on free credit report to access your report). Once you have this most potential reasons "why" you have been turned down can be answered. At 3D Mortgages we will sit down with you and go through the report free of charge to help you understand your situation.

 What!

Now you have your credit report and you have identified "what" is causing the issue you can start to approach the situation or problem at hand. Your adviser will talk to you about all the options you have and will be able to talk you through the next steps.
So what is an adverse or sub prime mortgage? in essence it is the same as any other standard mortgage, the only real differences are that interest rates can be higher than standard mortgage products and it is likely that you will have to put down a larger deposit than a standard mortgage to reduce the risk to a lender. Ultimately the new mortgage could cost more to setup and maintain on a monthly basis however once a mortgage has been maintained satisfactorily for a period of time, your credit worthiness could improve meaning you might be able to renew your mortgage with a standard lender at some point in the future.

How?

So you now understand why lenders can say no and how you can start addressing this by obtaining your credit report. You also know a bit more about what an adverse or sub prime mortgage is which is great but how do you now go about turning the no into the yes you require? Well the good news is there are a rising number of lenders who specialise in these types of scenarios but it is a specialist area so finding an adviser who has access to these lenders and also has experience in dealing with these transaction types is important. At 3D Mortgages we pride ourselves on never saying no until all avenues have been explored for our clients. As this is a sensitive area it is extremely important to give a full overview of any past issues in order for us to help fully. It is also good practice not to keep on applying for mortgages after being turned down as this could have a negative effect on future lending requests. Contact us today for a non obligatory chat.
Your home maybe repossessed if you do not keep up repayments on your mortgage.

Credit Reports - Q&A's

  • I have my credit report but what does it mean?

    Most credit agencies will provide you with a credit score. This score is based on different factors depending on the credit agency you go to. The higher the score the better however there are lots of factors to consider in your report. Contact us today and go through your report free of charge.

  • My score is low but I have no problems with my credit?

    This is a common problem where actually having little or no credit can mean a low overall score. Another common factor is not being on the voters roll at home or having things like bank statements in your correct address. Easily fixable and no need to worry - speak to a professional today to plan ahead.

  • I have had problems with my credit in the past?

    No problem. Having past issues with credit is not necessarily an issue when getting a new mortgage. Specialist lenders are there to help you. Knowing your credit report is crucial though when it comes to this so it is always advisable to obtain your report before you meet an adviser or whilst your with your adviser to help speed up the process.

  • How much does a credit report cost?

    Obtaining a credit report can be done quickly using a computer or even your mobile phone. There are several different credit agencies to chose from, some are free and some charge a monthly subscription charge however you can get a free trial period with most of these. Getting a full copy of the report is key for us to assit you further.

  • I have no credit at all, is this bad?

    Having no credit is a good thing as you owe no money to any creditors. However not having credit means you have no repayment profile of managing a debt. Speak to an adviser today about all your options and plan ahead.

  • I have been bankrupt before, can I get a mortgage?

    Again there are lenders who are able to assist you when it comes to getting a new mortgage. Your adviser will ask some crucial questions to enable them to help you, things like have you been discharged, if so how long for? Understanding the full picture of this situation is critical. Speak to us today and find out more. 

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