To think I'll never get a mortgage?

[Liza27]

I'm self employed. I've got myself in to a bit of a financial mess in the last few years because I've been putting almost everything back in to the business.

I had 4 x maxed out credit cards and constantly in my overdraft. My credit rating is terrible and I always had late payments.

I'm starting to turn things around now and I'm really concerned that no one will ever go near me for a mortgage now or ever. People keep telling me this. Surely if I can pay everything off and get my credit score up I'd be okay in a few years? Help!

Don’t give up! I am in my mid-40s. Awful awful credit rating because of working bad jobs for so many years etc. I got a mortgage last year! And at a low interest rate! It is possible. I knew it was now or never (in terms of my age and getting 25 years) and applied with my bank. They were incredibly helpful and reasonable.

Yes your credit rating can massively improve over time but you have to make sure you never miss payments and never apply for anything you might be turned down for that includes credit for a car, a scorecard, a catalogue etc. mine wasn't very good now it's excellent.

I meant storecard obs.

When you do eventually apply use a mortgage broker and they will help you to find a deal suitable for you and your financial history. good luck

Concentrate on keeping payments up to date and reducing the debt, whether thats by consolidation or balance transfers or just plugging away. I had a terrible history due to silly financial behaviour in early 20s but it does eventually drop off. Have a mortgage now and good credit. Just keep paying !

Yes if you pay it off and have no late payments from now on in a few years it will be much better. Your credit score only goes back as far as 6 years, so anything longer than that wont show or affect your score. As negatives get older they affect it less too.

Took me 10 years. It's slow progress but you have to keep to your plans or it will all go to pot.

Thanks everyone.

I'm 28 so hopefully by mid 30s I'll be in a better position. I'm extremely fortunate in that my grandparents have got a deposit for me already, however, it's just so frustrating that even with that I still am not in a position to buy! I feel like I'm just throwing money away on rent.

You’ll be fine. I had a CCJ when I was 23, loads of debt etc. I paid it off sensibly over the following years and got a very good mortgage at 30. I now have an excellent credit rating with both Experian and Equifax.

And don't forget this form...

www.gov.uk/sa302-tax-calculation

Ah thank you smurf