Hi,
I'm in a tricky position right now and could use some advice.
I used to be pretty bad with money and about 6 years ago got divorced and took on all of mine and my ex-wife's debt. (looking back this was a stupid thing to do, but I was being a nice guy and thought I could deal with it so she could go off with zero debts), this left me with just over £40k of debt.
I made it my mission from that point to eliminate my debt and never get into that position again.
In 2010 I was made redundant and while I had got rid of most of the debt I still had several credit cards and needed to make arrangements to pay less than the usual minimum amounts for some time while I was out of work.
When I got a new job in 2010 I started back up with the payments paying between £500 and £1000 a month - the final payment to the last card was in January of 2012.
Since then I haven't borrowed any money. I did get a surprise tax bill for around £3500 which I now pay £90 a month to and that'll finish at the end of next year - this is the only debt I have now.
My brother is getting divorced and in order to be able to pay his ex-wife her 1/2 of the house value so that his son is not distrupted by things I was hoping to buy half of the house from him (it's currently completely in his name and with £50k left - house value is around £320k).
I've just been immediately rejected on my first mortgage application on the basis of my credit score/check.
When I look in the experian website - My score is 999 / excellent, but there are 2 red elements:
1 - that I don't have any high credit reserves available
2 - that last credit card, which is marked as 'settled' is showing as delinquent.
This seems to be shutting the door on all of my options for getting a mortgage now, despite the fact that I'm looking to borrow only 60% of the value of the property (which also covers paying the remaining £50k mortgage which there is in my brothers name), and that I have a decent job and a good recent (last year) of credit history.
Is there ANYTHING I can do? or am I destined to have that past problem held against me?
Any advice greatfully received.
Andy
I'm in a tricky position right now and could use some advice.
I used to be pretty bad with money and about 6 years ago got divorced and took on all of mine and my ex-wife's debt. (looking back this was a stupid thing to do, but I was being a nice guy and thought I could deal with it so she could go off with zero debts), this left me with just over £40k of debt.
I made it my mission from that point to eliminate my debt and never get into that position again.
In 2010 I was made redundant and while I had got rid of most of the debt I still had several credit cards and needed to make arrangements to pay less than the usual minimum amounts for some time while I was out of work.
When I got a new job in 2010 I started back up with the payments paying between £500 and £1000 a month - the final payment to the last card was in January of 2012.
Since then I haven't borrowed any money. I did get a surprise tax bill for around £3500 which I now pay £90 a month to and that'll finish at the end of next year - this is the only debt I have now.
My brother is getting divorced and in order to be able to pay his ex-wife her 1/2 of the house value so that his son is not distrupted by things I was hoping to buy half of the house from him (it's currently completely in his name and with £50k left - house value is around £320k).
I've just been immediately rejected on my first mortgage application on the basis of my credit score/check.
When I look in the experian website - My score is 999 / excellent, but there are 2 red elements:
1 - that I don't have any high credit reserves available
2 - that last credit card, which is marked as 'settled' is showing as delinquent.
This seems to be shutting the door on all of my options for getting a mortgage now, despite the fact that I'm looking to borrow only 60% of the value of the property (which also covers paying the remaining £50k mortgage which there is in my brothers name), and that I have a decent job and a good recent (last year) of credit history.
Is there ANYTHING I can do? or am I destined to have that past problem held against me?
Any advice greatfully received.
Andy