NatWest Mortgage AIP - 5.5 year old defaults

[alis20]

Hi

Wondering if anyone can give me some advice / share their experience.

We have had an AIP accepted via a broker with NatWest today. We are borrowing 2.6x our income. We earn just over £100k combined and have no children.

Husband has a perfect credit history.

I have 3 defaults, one from Nov 2016, 2 from Feb 2017. They were all settled 2.5 - 3 years ago. Defaults therefore are over 5.5 years old.

I have a few late payments from 2018, so 4 years ago.

Although we've had our AIP accepted, I'm worried about how likely it is that our full application will be accepted. Presumably the mortgage broker will have disclosed all the above about myself.

Does anyone have any experience of this?

Thank you.

You need to speak to Natwest.

Hey, how did it go, did they accept the full application?

Our AIP went in via a broker which was approved. A hard credit check was done at this point, it is for NatWest when done via a broker.

We are STILL waiting to hear back, our full application went in 4.5 weeks ago but we were advised that they are really slow and that it'd probably be 3-4 weeks by our advisor. I guess the problem is worse now with all the turmoil in the markets!

Those defaults will be off soon, they only show for 6 years so your credit history is going to change massively by feb 23, did your broker not suggest waiting? If not he is possibly confident these things won't make a massive differences

It’s it’s worth anything, I called NatWest yesterday, and they don’t worry about defaults and CCJs as long as paid off in full on credit report.

natwest use equifax, have you checked ‘checkmyfile’ they will tell you what’s showing up on equifax. Allot of my credit accounts aren’t even showing up, so may be worth checking to give you peace of mind.

i have also read other forums where a default as old as yours has been fine and their mortbage has been accepted at full app x

Thanks for this both that's so useful to know.

As I said our AIP resulted in a hard credit search, we were told this by our broker and I can see it on my credit report.

Yes we had the discussion with the broker but we had found the house we really wanted and also thought about the trade off in rent. Also bloody good job we did apply then, we got a very decent rate and now the rates are like 6%.

Yes all my defaults were paid off like 3+ years ago I'm pretty sure. I passed the hard credit check with them so unless something changed massively if they do another check then there's no reason they wouldn't approve. As you say, they're near the 6 year mark now anyways.

We also earn £100k between us (no children) and are borrowing just under £300,000 which I think helps as we haven't gone to the max of what we could borrow.

Just for everyone's info as I wanted to know when researching. We are only putting down 5% so it is possible to do.

Just think all the lenders are so busy right now with what's going on which is why it is taking so long.

I'll update if / when full application is approved though. As I said, 4.5 weeks in now!

So just to clarify, NatWest done a hard search on you with the broker for an AIP?

Yes when it's done via the broker they always will. Broker told us this.

It them appeared as a hard search on my credit report.

When the AIP is done online I believe this is different and it's just a soft search.

Oh I see. Mine was done via a broker on NatWest liveTALK system and only a soft search on my credit file. Maybe the hard search won’t show till my next report loads then.

Ah that's strange, I have no idea what system our broker is using. I did read in another forum that via NatWest's website like if I was to do an AIP myself now that it'd just be a softsearch but broker is always hard search

When did your AIPA go in? I had an initial soft search done then I think 3/4 days later the hard search appeared on my report so I'd keep checking. It definitely wasn't there straight away but the soft one was.

Are you in a similar situation to me, credit history wise?

l was recently approved with Clydesdale, I have 1 default with NatWest for about 1.5k paid off and 4 years old.

we were only soft checked with our AIP, but when applied we were hard checked twice. It was only visible on Experian. No hard checks are visible on Equifax. Hope this helps x

@cacarls28

Just to update everyone...

Mortgage approved yesterday!

Oh congratulations 😄wishing you all the best with your house purchase x

For anyone wanting this post for future worries. Although I said mortgage had been approved before that was before the mortgage valuation/survey went ahead so we didn't know fully.

Anyway about 8 weeks on we have just recieved our full mortgage offer !

I had 4 old and settled defaults on my report! They're all, now, at time of mortgage offer 5 years, 11 months and 5 years 8 months old.

We're borrowing c. £299,000 (changed house from original offer we had made) on a joint salary of £100,500 (no dependents) with a 5% deposit, in case anyone interested. House value £315,000.

I know this post is 2 years old know but thank you, I found it really reassuring.