What is a bad credit mortgage?

What is a bad credit mortgage?

There isn’t really such a thing as a bad credit mortgage. There are lenders that offer regular mortgages to those with less than perfect credit rating or have had credit issues in the past.

Sometimes known as adverse credit mortgages, these mortgages can help those with past problems get onto the housing ladder, move or remortgage their current home.

You may find that the interest rates and fees on mortgages available to those with adverse credit ratings will be higher as the lender will see you as a higher risk case – it will be considered that you are a higher risk of failing to pay your mortgage payments on time – and this is factored into the repayments.

There is light at the end of the tunnel, after a couple of years paying your mortgage (on time), your credit rating should improve enough for you to get a regular mortgage at a standard rate.

Please note the content of this blog is for guidance purposes only and does not constitute for professional advice. Contact us today at info@wolseymortgage.co.uk or by calling 01473 216950.

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