Remortgaging with bad credit

[Forestfever]

After a period of ill health for both my husband and I, we are sad to say we defaulted on some credit card debt. Period of Ill pretty much over. We have never missed a mortgage payment or paid it late.

Our current fixed rate mortgage is coming to an end next year and we are at a bit of a loss with what to do. It will switch to the SVR which, at the moment, is pretty terrifying with costs going up. We could afford the new rate for now but if rates keep going up we couldn't. I presume we might be better off speaking to adverse credit lenders (via a mortgage broker). But what I really wanted to know is if we remortgage with our current provider, will they credit check us?

In case it's relevant, current property value is about £70,000 more than we paid in 2018.

Thanks in advance for any advice.

I was told by my broker if I remortgaged with existing provider they wouldn’t do credit check (I’m looking at a reduction in salary) but it is probably dependent on who you are you. Suggest finding a local broker who can advise you.

Sorry, I meant to add that our current mortgage provider is NatWest.

I forgot to mention it is NatWest.

I'm hoping they won't as I'm guessing it will be a much better rate with them than with an adverse credit lender. You are right though, it's probably worth speaking to a mortgage advisor

I’m NatWest too so hopefully it would be the same for you

If you are refixing your interest rates with your current bank then you should be fine. Remortgaging is changing provider.

You also have considerably more equity. No guarantees they won't do a credit check but as an existing customer with no payments missed you will be in a better position.

Make enquiries with them, they can't do a check without your permission, so start the process to look at their rates available to you. At some point they will mention a credit check or they won't, won't take long to find out.

You may not need to bother finding a broker etc.

My set term ran out in June. I received a letter in March from Santander offering me various new terms. All I needed to do was go into my online banking and select one. We managed to get 7 years at £60 cheaper than we were paying the previous 5 years. We didn't need to speak to anyone or even sign anything. Hopefully your bank will do something similar.

I am with NatWest too. Our 5 year deal ended in Dec 2021. We were given a range of other NatWest packages to consider and chose one. I bank with NatWest but my partner doesn’t.

Thank you. This is reassuring. We need to logon and do it (frustratingly it says the system is down today).

@PatsyJStone good point on them not credit checking without permission. With my sensible head on I know this is the case! With my panicked head on it seems like we are going to be homeless!

@DialSquare £60 less is a win! I think we may fix for longer if the possibility is there. The economy is making everything seem so uncertain.

I have just been looking at my Natwest mortgage and it's working fine, try it again

I'm not with NatWest but fairly sure when we refixed our rate after our first three years it was choose online and done very simply. No credit checks.

Hope this works out for you.

NatWest don't, very simple and just done online.

Thanks all. You have offered me hope! I will try and logon again when I'm home and get it sorted. DH is away with work for a few days fr tomorrow so I would like to get it sorted now if we can.

As everyone has said. No credit check. Its called a product transfer.

Only be changing lenders would new checks be done

Credit checks/income etc won't come into it when staying with your existing lender and not looking to borrow more. Only if moving to another lender would credit checks apply. You already have the money from your existing lender, not much point in them doing credit checks now!

I've remortgaged with Nat West in January no credit checks. Did it online.

Probably the terms used are confusing, remortgaging is taking out a new mortgage with a different company or taking out a new mortgage with your existing company for a different amount/property. Switching an existing mortgage on same property/same amount/term to a different product such as fixed to variable or vice versa with same lender is not remortgaging.

We're not with NatWest but we've just switched to a new deal with our existing mortgage provider and they didn't do a credit check or even ask if our circumstances had changed, so don't worry! We just told them the rate we wanted to switch to and that was it. Took 10 mins.

We are with HSBC. Just re-fixed our mortgage with them. They advertise that there is no full application or credit check for existing customers. Hope you get sorted x