Can I Get a Mortgage With a Low Credit Score

 Can I get a mortgage with a low credit score?

 You can check your 'credit score' with multiple credit reference agencies through multiple websites. It is important to understand that each credit reference agency scores you differently.  

While looking at your specific score can help you understand your borrowing potential, simply knowing that your score is ‘600’ might not necessarily be helpful. For example, Equifax scores can go up to 600, which is the best score possible, whereas Experian scores can go up to 999, making 600 a poor score.

Although mortgage lenders look for different criteria when assessing who to lend to, low mortgage rates are reserved for those with excellent credit histories.

Lenders are more interested in your credit history than the number of your credit references, such as missed payments, County Court Judgments (CCJs), or bankruptcies. Multiple applications other lenders have rejected will also appear bad on your file, so it's not a good idea to make multiple applications to different lenders simultaneously.

Therefore, there is no set limit that someone must achieve on their credit score to be able to secure mortgage finance. In general, mortgages are available on a sliding scale so that people with the lowest risk can get lower rates or put down smaller deposits and have a higher credit score. A fair, poor or bad credit score does not necessarily prevent you from getting a mortgage, but it may be more expensive than what someone with a better score could achieve. 

For borrowers with a recent history of severe credit, some lenders offer a selection of specialist mortgages; in this case, many borrowers may be able to find financing if they can put down a sufficient deposit and pass the lender's affordability assessment. 

It can be a good idea to speak to an independent mortgage adviser when you are looking for a mortgage. You can get impartial mortgage advice from an independent mortgage adviser who has been approved by the Financial Conduct Authority based on your specific circumstances. Still, they can also use their expertise and experience to compare the market so you can find the best deal from the lender who is most likely to accept your application based on your credit score and other financial information. 

Smaller lenders, which can only be accessed through independent brokers, offer some specialist mortgages that aren't available on the high street.

Independent Advice

If you are not sure what are the right mortgage options if you have a low credit score speak to our independent mortgage broker team who will be able to offer impartial advice, or you can call us on 0117 403 3464