Self employed and Bad Credit
A question that we are often asked is " Can i get a mortgage with Bad credit " and I am Self employed. Bad credit can be in a variety of forms from missed payments all the way through to bankruptcy and repossession... Generally speaking the older the issue the easier it will become. Along with the greater deposit you have available will also open up more lenders, for example there is more specialist lenders that offer mortgages with a 15% deposit than a 5% deposit.
Just because your method of employment is self employed this does not mean you have not got the same access to lenders as an employed person and the same if your credit situation is bad or adverse.
All lenders are different in what they will and wont consider just because one lender has said no or declined it does not mean every lender will be the same. View Finance has specialist brokers with excellent knowledge and can quickly assess and work out what is or may not be possible.
We do not want to damage credit ratings further so its important to understand what the issue may be and the easiest way to find out is to read your credit report. This will detail over that last 6 years how your finances are conducted and a lender will assess this. It will often detail the amount of debt you hold, how you have maintained payments. Where there has been a adverse credit history we will always ask for the report so we can match you credit to a lender that will consider an application - We will then send you this information before you make any decision and this is always free regardless of whether you go ahead or not. All fees and charges will always be disclosed upfront before you make any decisions, this way you have all of the information to make an informed decision.
Do we charge a fee? The answer is yes we do again this will always be disclosed before you make any decisions and fee structure explained on our first conversation, sometimes if a specialist lender is needed there is often more work involved and we have to charge for our time in exactly the same way if you had a leak in your house and called a plumber out to fix this you would expect some sort of call out fee wouldn't you?
The ability to obtain a mortgage will largely depend upon when the bad credit was registered and the value of your purchase. The greater the deposit, the better chance you will have of a lender considering your application.
There are many lenders who are sympathetic to bad credit. As we are a ‘whole of market’ specialist, you can be sure that we will attempt to find the right deal to match your circumstances.
The key to finding the right deal for you comes down to each Banks lending criteria. This is in effect a rule book for mortgage brokers to follow and with the number of different lenders around, it is a bit of a minefield patching together the different information that each lender will need.
View Finance has the knowledge of understanding credit reports, matching them up with the right deal and determining what might be possible.
You should be aware that the terms of a bad credit mortgage are likely to be less favourable than for someone with a better credit score meaning your interest rate may be at the higher. This is to offset the higher risk you are deemed to pose to lenders. You may be asked to put up a higher deposit than with a conventional mortgage.
If you would like to find out whether or not you are eligible to apply for a mortgage, or would just benefit from some more information on Mortgages then contact us today on
Call 0333 320 8658
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Send us an email to [email protected] and one of our advisers will be happy to speak with you.