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Mortgage when one applicant has bad credit rating

(10 Posts)
BatCrapCrazy Mon 10-Mar-14 14:52:24

My DP and I are about to apply for a mortgage. He has a good credit rating but according to CheckMyScore, mine is bad at 642.
This is down to moving house a few months ago and forgetting about a store card (obviously wasn't receiving statements as i wasn't living at the address they had for me). I missed 3 payments by the time they phoned me. I paid it off in full straight away.
I also missed 2 Next Directory payments about 18months ago. Im not on the electoral roll (we are staying with DPs parents in between houses at the moment so didn't bother registering) and I'm only 22. These factors are bringing my score down.

Is it worth applying in joint names or should we apply solely in DPs name?

ishesingle Mon 10-Mar-14 17:38:05

The electoral roll is a big one - you need to get on that asap.

madeitbetter Tue 11-Mar-14 00:57:42

I had/have a poor credit rating so we applied for the mortgage in DH's name only. He ended up being able to borrow more than if we'd applied jointly, partly because of salary multiples and partly due to my credit rating.

Things like missed payments drop off your credit rating in time (can't remember how long) but if they were quite recent then it might be best for your DP to go it alone. Or consult a broker who can compare quotes for both joint and single applications.

You should definitely sort out the electoral roll regardless of what you decide with the mortgage.

Eminybob Tue 11-Mar-14 02:57:01

It's tricky, but if you apply in joint names and are declined due to your credit rating, some lenders won't allow you to try again in your dp's sole name (lender I work for has this rule)
So, it may be better to try in his name initially if the affordability is ok and you could try and be added on a later date when your credit history improves (although that would involve more solicitors and cost)

lizzywig Tue 11-Mar-14 06:03:46

Write to the companies and ask them to clear the marks on your credit file. Martin Lewis used to explain on his website what the proper process for this is.

financialwizard Tue 11-Mar-14 06:08:07

See a broker.

The lender won't clear the missed payments off of your file if you genuinely missed them. You could put a notice of correction on file too.

Pansy2013 Tue 11-Mar-14 20:02:36


My husband and I have never had a joint mortgage, basically because I've never had a good credit rating, whereas his is squeaky clean. So in order for him to get his good rate we've never shared finances. No joint bank account, nothing. He even had to disassociate himself from me one time, in financial terms, in order to get his low credit interest rate! It's pants I know, as people just expect us to share everything, and cannot understand why we do not even have a joint bank account! Especially when we have two children together! But you know, it can't be helped; I was declared bankrupt years before I met my husband!

CookieDoughKid Wed 12-Mar-14 19:18:39

pansy you're not the only one! Im in a similar position but reversed! Its pants I agree but is definitely worth that extra protection and credit security. In my situation, I don't think I could even get married due to the debts on dh side!!

BatCrapCrazy Thu 13-Mar-14 09:40:05

We have spoken to our mortgage advisor and he said my credit rating is literally on the borderline. We are applying solely in DPs name anyway. We are still able to borrow the amount we need and things are more likely to go through quicker

anth71 Wed 19-Mar-14 13:41:06

Message deleted by MNHQ. Here's a link to our Talk Guidelines.

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