A look at Credit Defaults and the available Mortgage help from Shire Direct!
Credit Defaults occur where contractual repayments have been missed on credit agreements regulated by the Consumer Credit Act.
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Here we take a closer look at Credit Defaults and the Mortgage help available if you have a Credit Default or Defaults registered against you.
Table of Contents:
What is a Credit Default? Credit Defaults explained...
So what are Credit Defaults exactly? Well as we hit upon above a Credit Default takes place when a contractual repayment on a credit agreement regulated by the Consumer Credit Act is missed. The default is registered on the individual data subject's credit file with one or more of the credit reference agencies. This type of credit agreement will generally include:
- Credit and Store cards
- Higher Purchase contracts
- Credit Sale Agreements
- Personal Loans
If I have a Credit Default registered against me, will it affect my chances of getting a Mortgage?
That depends on the attitude of the lender - with some it can. It will also depend on the loan to valuation (LTV) you are looking to borrow. The general rule is the larger your deposit, the greater your chances of getting a Mortgage.
Details of Credit Defaults will usually appear on your credit file for a period of up to six years from the date of registration, so the consequences of having a Default Notice registered against you could affect your credit rating for years to come!
In our experience, many of the traditional high street mortgage lenders, especially those using credit scoring, will often automatically turndown mortgage applications in cases where credit defaults exist!
However, because we at Shire Direct Mortgages specialise in the more demanding and specialist sector of the market place, we have developed a portfolio of lenders who will take a more sympathetic approach to borrowers who have experienced credit difficulties in the past, including credit defaults.
We even have lenders that will ignore credit defaults altogether.
I have a Credit Default, can Shire Direct still help me with a Mortgage?
We certainly can! As we have explained above, at Shire Direct we have an extensive portfolio of mortgage products and lenders within our panels to accommodate this type of problem.
We have the approach and skills to match your circumstances to lenders that will take a sympathetic approach, whatever your financial circumstances. We consider applications on an individual basis, and as professional brokers will place your requirements with lenders who look for reasons to provide you with borrowing facilities.
So if you are considering buying a new home or remortgaging your existing one, and you are worried that you may have defaults registered against you, please do not hesitate to Contact Us.
Call us now, and we'll provide you with a rapid in-principle decision!
Our Mortgage Advisors will assess your requirements, and will usually be in a position to provide you with a rapid in-principle decision. You'll find our service and approach to be friendly and professional. Our professionally qualified Mortgage Advisors are available up until 10.00pm everyday on Freephone 08000 282 281, or enquire online at any time, and we'll be delighted to provide you with an in-principle decision whatever your circumstances!
So a quick call will help to put you in the picture, and we'll be more than happy to discuss your requirements naturally without any obligation. You'll find a warm welcome awaits you when you call, and we pride ourselves in being helpful and avoiding that air of stuffiness that is all too common elsewhere!
We hope we've managed to provide some clarity on Credit Defaults and how having a Credit Default needn't necessarily mean you can't get a Mortgage. If ever you do feel we can be of assistance, we're only a couple of mouse clicks or a freephone call away, and would love to hear from you!
The overall cost for comparison is 9.8% APR.
The actual rate available will depend upon your circumstances. Ask for a personalised illustration. APR variable and based on a usual case. Most customers are likely to receive a lower rate or the same rate as our overall cost for comparison rate - learn more about APR.
There are no upfront broker fees.
However, a fee may be charged on successful completion. An indication is that on conforming cases (straightforward applications with no or minimal adverse credit) a fee may be charged of up to 1% of the amount advanced, typically £795 and will depend on your circumstances.
For non-conforming cases (where case research and processing may be more complex due to adverse credit or unusual circumstances), a fee may be charged of up to 3% of the amount advanced, typically £1,995.
THINK CAREFULLY BEFORE
SECURING OTHER DEBTS AGAINST YOUR HOME.
YOUR HOME MAY BE REPOSSESSED
IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
Adding existing debt to your mortgage will increase the repayment term and overall cost.
Are you worried and becoming stressed because you are having problems getting a mortgage or remortgage? Worry and stress no more! Here at Shire Direct we provide tailor made mortgage solutions to suit you, and can usually help with all kinds of circumstances including...
Remember, we're here to help, and would love to hear from you!
Over £2,000 worth of Argos Vouchers to be won in the Shire Direct Grand Prize Draw 2008! Terms and conditions apply - please read article for full details.
Shire Direct and Shire Direct Mortgages are trading styles of Shire Processing Centre Limited which is
Authorised and regulated by the Financial Services Authority in respect of regulated mortgage products and general insurances.
Registered No: 302389. Commercial funding and Secured Loans are not regulated by the FSA.
Licensed Credit Brokers. Consumer Credit Licence Number: 349999.
Shire Processing Centre Limited is registered under the provisions of the Data Protection Act by the Information Commissioners Office: Registration No: Z6795249. Registered in England & Wales. Company number: 2732202. Telephone calls may be recorded for training, monitoring and security purposes. All applicants must be aged 18-years or over.