Applicants with Impaired Credit History

Applicants with impaired credit history may be considered under certain circumstances. The rules may be segmented into the following sections:

  1. Unacceptable
  2. Acceptable (for consideration)

Unacceptable Credit History

Where any party to the application:

  • Has an undischarged bankrupt, or has been discharged from bankruptcy within the past 3 years.
  • Is subject to an Individual Voluntary Arrangement (IVA), or has been discharged from an IVA within the past 3 years.
  • Has previously had their property repossessed (including voluntary surrender of keys).
  • Has more than 2 Court Decrees, CCJs or Defaults, even if these have been satisfied or settled.
  • Has had any Court Decrees, CCJs or Defaults within the past 12 months (see below for further clarity).
  • Has one or more Court Decrees, CCJs or Defaults where the total debt was £2,500 or more, irrespective of when it was registered.
  • Has one or more Court Decrees, CCJs or Defaults where the total debt referred to is £500 or more and this/these have been registered in the past 3 years.

Acceptable for Consideration

  • Discharged bankrupts of 3 years or more.
  • Applicants discharged from their IVA for 3 years or more.
  • Applicants who have never been more than 3 months or more in arrears in the past 24 months on any existing secured or unsecured loan, and the account has been up to date for at least 6 months, provided there is a reasonable explanation for the arrears.
  • The Society will require a full explanation on the circumstances surrounding any default/CCJ noted in the credit file.
  • Up to two satisfied Court Decrees, CCJs and Defaults will be considered in accordance with the following table:

Maximum Account

Time Since Registered

£250

< 1 year

£500

> 1 year

> £500 but < £2,500

> 3 years

Voters Roll/Proof of Occupancy

  • Personal status details including inclusion on the Voters Roll will be checked for all parties to the mortgage (including guarantors) at all addresses within the previous three years.
  • Appropriate proof of occupancy is required if the borrower does not appear on the current Voters Roll.
  • Proof of identity, as required by the current Money Laundering Regulations and the Regulator is also required.

Applicants with Other Mortgage Borrowing

The Society will only provide owner-occupier mortgages where the mortgaged property is to be used as the applicant’s principal private residence or as a second home for their sole occupation.

Other mortgage borrowing, either of a commercial nature or on Buy-to-Let should be placed on an appropriate product upon completion of the owner-occupier mortgage.

 

FOR INTERMEDIARY USE ONLY

New Saver Enquiries

0345 600 0585

New Mortgage Enquiries

0345 600 4085

Existing Member Enquiries

To talk to us about an existing savings or mortgage account, contact your local office

Find your local office

Lines open 9-5 Mon to Fri (10-5 Wed) and Sat 9-12. Calls may be recorded and/or monitored.