We’ve helped hundreds of customers who have had a bad credit rating or have previously had payment problems such as missed mortgage payments, defaults on credit cards & loans, CCJ's, and customers who have been bankrupt. We are a specialist bad credit mortgage broker based in the UK who has years of experience in dealing with customers who have had bad credit problems.
We have bad credit mortgage advisers available who can advise on how to get a mortgage with bad credit whatever your circumstances, whether you are a first-time buyer looking for a first-time buyer bad credit mortgage or whether you are looking for a bad credit remortgage.
Bad Credit Mortgages are complicated and are a minefield that's why you are in the right place. We are a specialist bad credit mortgage broker who has an array of bad credit mortgage advisers available. Bad credit mortgage lenders like customers who have a large deposit and good income, although this would depend on the severity of the bad credit, you could have a good income and a large deposit however, you could also have multiple defaults and CCJ's and been bankrupt which would make it harder but not impossible.
There are different grades of income when considering bad credit mortgages first of all you could look at a customer who is looking for a bad credit mortgage who has five times their income, this would be hard enough without any bad credit however there are different types of bad credit if you have light bad credit so for example, one or two historic defaults which are satisfied with low balances which are more than three years old then you could probably get a bad credit mortgage at four and half times income, I would expect 15% to 20% deposit in this case, in today's current climate I feel this would be the maximum you could achieve. If your credit rating was worse than this for example perhaps defaults and CCJ's not satisfied, recent credit issues, and larger balances then this could cause a problem especially if you have a low deposit or a high loan to value although this isn't impossible, however the lenders would be stricter on affordability taking this into account you would potentially be looking at three to four times your income depending on your circumstances.
Some lenders when considering bad credit mortgages when you have a good income will look at affordability rather than an income ratio and in these instances, this can be really helpful these lenders tend to have a higher interest rate, however they are able to look at your situation with a bespoke approach. As a bad credit mortgage broker, we will access your situation and recommend a bad credit mortgage lender based on your circumstances and needs.
If you feel this has been helpful, please feel free to call one of our bad credit mortgage advisers who will be available to help you.
Our advisors are available 9am-8pm Mon-Fri and Saturday 9am-3pm and ready to source offers at speed
Our team will provide quality advice based on your personal circumstances, finding a specific product suited to you.
We’ve no tie-ins with certain lenders. As we’re fully independent and unbiased our focus is solely on finding the best option for you.
There's no obligation on the deals we find and we won’t ask for any payment until your mortgage deal is complete
Our team of specialists will guide you through the process of securing a mortgage, buying a home or taking out a loan – finding the very best deals for you and your family.
Here at MortgageKey, we are an industry leading Bad Credit Mortgage Broker that takes the time to compare and search through thousands of deals from leading bad credit mortgage providers.
Even if you have a bad credit history and have been rejected in the past, our bad credit mortgage advisers will find a deal for you.
You can judged to have bad credit for many reasons – it can even be just because you do not have a credit history at all!
A history of late or missed payments on bills or other mortgages can also lead to bad credit ratings, as can county court judgements (CCJs) or being declared bankrupt.
Such factors were previously seen as flaws and you would be refused a mortgage outright. However, lenders are now more open to assessing each case before making a decision and at MortgageKey we have a brilliant track record of finding lenders in these circumstances.
Bad credit mortgages are much like a standard mortgage. The only real difference is that they are designed for anybody with a previously poor credit history or those who have found it difficult to get approved for a mortgage in the past. One of the best things about bad credit mortgages is the variety in which they come. Selecting from fixed rate, variable rate or discounted rates. Rates are adapted according to each individual circumstance and a deal is then packaged to suit.
These are very specific mortgages which are designed for anybody with a previously poor credit history, or those who have found it difficult to get approved for a mortgage in the past. Bad credit mortgages come in a variety of offers, from fixed-rate, variable rate or discounted rates. Rates are adapted according to each individual circumstance and a deal is then packaged to suit your needs.
It is important when seeking a bad credit mortgage to compare all the available offers out there, by doing this you will have a better idea of what kind of mortgage deals are available and therefore you should know roughly what to expect to pay.
Yes, you can take steps to check your credit history and ensure it is accurate. If it is not accurate you should contact the relevant credit agency and advise them of the changes which need to be made.
Check that all outstanding and closed balances are accurate, that there is no record of fraudulent activity against your name which shouldn’t be there, and that your address history is correct. It is also good practice to close off any credit accounts you no longer use, this shows you have been able to repay in the past and close the account, which appeals to lenders. Essentially, lenders look for people who have shown good financial management of their previous loans by paying what they owe each month and living within their means, and not regularly stretching beyond credit limits. Being on the electoral register is also helpful, as it is another verification of your identity. When it comes to the application for a mortgage, have an explanation ready as to why you got into financial trouble and had debts, and what has happened since then to put things on a more stable footing.
Another solution would be to pay off your debts by increasing the minimum payment or paying a lump sum. This demonstrates positive behavior to prospective lenders.
Consolidating your debts into one manageable monthly payment, as part of the Bad Credit Mortgage agreement is another option, however we would advise you to take advice before doing this and make sure the consolidation is appropriate be mindful of consolidating low rate loans with short terms left, again you need to fully look at your circumstances and see if this is appropriate. We have helped many people at MortgageKey, bringing more financial stability to their lives.
This is one of the areas where the advice and help of a specialist bad credit mortgage broker will come in use, as they have access to a wide network of mortgages and second charge mortgages, beyond the well-known High Street names who may not be willing to give you a bad credit mortgage.
At MortgageKey, we have a track record of securing bad credit mortgages with lenders and so have an established reputation of making these types of bad credit mortgages work for both parties. We ensure the application process is as simple and stress-free as possible for our clients, looking to find the most suitable deal and rate for their circumstances. Even if you have a bad credit history and have been rejected in the past, our team of bad credit mortgage advisers are confident of finding a deal for you.
The simple answer is that yes, it is most likely. This is why it's key to consider different options and work with a specialist bad credit mortgage broker who is best placed to do this for you. Interest rates are usually considerably higher than standard mortgages and many lenders will also ask for larger deposits than other forms of mortgages.
You can be judged to have bad credit for many reasons, and it can be for something as simple like not have any credit history at all and have not previously borrowed any money.
A history of late or missed payments on bills or other mortgages can also lead to bad credit ratings, as can county court judgements (CCJs) or being declared bankrupt. It’s also worth remembering that your partner's credit history will be taken into account as well as yours if you are buying a property together, which could have either a positive or negative impact.
A bad credit mortgage is much like a standard mortgage – just perhaps harder to find as it refers to a mortgage being granted even when the applicant has a bad or poor credit rating. If you have had money troubles in the past, or just don’t have any credit history at all, many lenders can be reluctant to support you and may turn you down for a mortgage, as they see you as a risk.
However at MortgageKey, as we listen to the individual circumstances and commit to understanding the detail and requirements of those we serve, and because we work with a large number of specialist mortgage lenders, we have been able to secure mortgages for many people with poor credit history and those who have previously been rejected in the past.
The simple answer is yes. Bad credit Mortgages are complex but you can obtain them, we would always recommend using a bad credit mortgage broker like MortgageKey where the advisers are used to dealing with complex credit histories. At MortgageKey we have full credit search facilities so we are able to look at your credit profile before placing you with a bad credit mortgage lender, this stops us credit searching with other lenders that wouldn't accept you and preventing damaging your credit profile further. We use specialist lenders that are bespoke to MortgageKey and who aren't on other brokers lending panel.
There are many things that you need to consider when getting a mortgage with bad credit, how much deposit do you have? Having a larger deposit will always help you when you are applying for a bad credit mortgage, it obviously depends on the severity of your bad credit but you will be surprised some high street lenders will accept you with a 10% deposit with mild bad credit, certainly if the bad credit is historic or small like a telecoms default or water bill default. If you have had more issues with your credit than you would realistically need 15% to 25% deposit again depending on the severity of your bad credit.
We would, first of all, recommend enquiring with us at Mortgagekey, we have full credit search facilities with Equifax so we can take a look at your credit profile and establish if it is possible to apply for a mortgage. We can also look at your income and we will be able to give you an idea of how much you can borrow.
Secondly, we would see how much money you have as you need at least 10% to 15% deposit before looking at obtaining a bad credit mortgage, you may be able to borrow money from family or friends, most bad credit mortgage lenders accept gifts from families for deposits.
If you are in a position where you can raise the money and you have a good income with a stable job then we should be able to help, your next step would be house hunting.
Representative Example : A mortgage of £150,000 payable over 17 years, initially on a fixed rate of 4.14% for 24 months and then a variable rate of 4.60% for the remaining term, would require 24 payments of £1025.36 per month and then 180 payments of £1057.48 per month. The total amount payable would be £216,907.04. Includes Lender Fee of £999 and Broker fee of £695.
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