Mortgage with Previous Bad Credit
Typically, traditional lenders such as banks or building societies will review an applicant’s credit rating before granting a mortgage. As a general rule, traditional lenders will not provide a mortgage to those who have, or previously had, bad credit even if they might be able to afford the repayments.
At Fair Mortgages, we have strong links with flexible lenders who are prepared to lend to those with bad credit. We work with lenders who review each application individually and focus on the applicant’s ability to afford mortgage repayments.
If you have had bad credit but you requie finance to complete a property transaction, you may still be able to secure a mortgage.
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Whatever the status of your credit, it is important to gain as much information as possible about the financial products available to select the mortgage that meets your needs. You may benefit from contacting a professional broker to explore your options.
Our Bad Credit Mortgage Service
At Fair Mortgages, our independent mortgage broker service offers:
- Access to the whole market – we can compare most UK lenders who will deal with bad credit ratings.
- Credit repair mortgages – we can source mortgages that will provide the money you need and help you rebuild your credit rating.
- Finance within a short period of time – contact us today and we can secure the funding you need swiftly.
- Financial solutions for raising additional funding on top of an existing mortgage – If you have an existing mortgage that does not cater for your needs, we can help.
Mortgages from Private Lenders
Whether your mortgage is with a traditional lender or a private lender, you will be able to borrow certain amount of finance and make monthly repayments for an agreed time period.
Typically, private lenders require a higher deposit than traditional lenders. If you have bad credit and wish to secure a mortgage with a private lender, you will need a deposit of 25% to 30%.
Before a private lender grants a mortgage, they will usually require:
- Proof of income: A number of pay slips will be requested
- Bank statements: You will need to provide a certain amount of bank statements to prove you can afford the monthly repayments.
- Three years accounts: If you are self-employed, private lenders will request at least three years’ worth of accounts.
How to Check My Credit Rating
If you want to find out your credit rating, you can always get a copy of your report from a credit rating agency such as Experian.
How to get a Mortgage from a Private Lender
If you have, or previously had, bad credit but need a mortgage, call our mortgage team on 0117 313 7780 to discuss your situation or use our Callback form.