If you are thinking about applying for a mortgage, but have bad credit history, then understandably you might be unsure about how this could affect your eligibility. There are many myths and untruths bandied around about how CCJs can impact applying for a mortgage. In particular, whether you can apply for a mortgage with a CCJ from 2014. Here’s our answer:
Yes, it is possible to get to a mortgage with a CCJ from 2014. A CCJ will remain on your credit file for 6 years. Even if that time hasn’t passed yet, there are specialist mortgage lenders that are prepared to lend. Even with non-paid CCJs there could be options available to you.
How our advisers can help
Our panel of mortgage advisers are specialists in helping applicants with CCJs. They work with a wide variety of lenders who are able to accept applications from people with bad credit. To see how our advisers help with CCJ mortgages, click here.
If you have a CCJ from 2014, then you will have mortgage options available to you, and the fact it’s older than 3 years puts you in a very good position.
However, you still might find it hard to get accepted by the traditional high street lenders. This is where our specialist mortgage advisers can help you.
Our advisers have an in-depth knowledge of how the bad credit mortgage market works. They also know which lenders will best suit you in order to find mortgages for those with CCJs from 2014.
To find out how we can help and take advantage of some free advice, please call us or complete a quick enquiry form for some initial free advice on what your options are.
Can I get a mortgage with a CCJ from 2014 or not?
Mortgage lenders review applications on a case by case basis. They will assess a range of factors, which can include but are not limited to the following:
- Why did one of the joint mortgage applicants have a CCJ issued?
- How many CCJs have been registered against one of the joint mortgage applicants?
- What was the value of the CCJ?
- Has the CCJ been satisfied?
The most important factor from those listed above will be the date of the CCJ, and the point in time at which it was registered against your name.
If the CCJ was registered more than 3 years ago, there will be some mortgage lenders more inclined to let you borrow. If you have CCJs on your credit file that are newer than that, then it can be trickier, but our advisers should be able to come up with some options.
If you paid and satisfied the CCJ, then that will demonstrate to lenders that you have worked to get your finances in order, which will be another positive tick in your favour.
Despite that, there will be some lenders who specialise in bad credit mortgages, so even if you haven’t paid off the CCJ, you could still get a mortgage.
What kind of mortgage can I get?
Our advisers can help you get a mortgage with a CCJ from 2013 in a wide range of scenarios including:
- Shared ownership mortgages where you have a CCJ against your name
- Joint mortgages if you, your partner, or both have CCJs
- Buy to let mortgages
- Self-employed mortgages
- First time buyers
What is a CCJ?
CCJ is an acronym for county court judgement and will be registered against your name if you have not kept up payments on a loan or financial agreement.
The institution that you failed to repay will apply for a CCJ, at which point you will get a letter from the county court, detailing the claim being made against you.
Receiving a CCJ notification is worrying, but if you do settle the debt inside of 30 days, it could mean it’s very quickly removed from your name, and you can move on.
However, if you can’t pay within 30 days, you will need to go onto a repayment plan, and that CCJ will be registered against you for 6 years, even if you do pay and satisfy it.
How will a CCJ from 2014 affect my credit file?
Your credit file can be affected by a range of scenarios. For example, if you have a CCJ against your name, then there will also be defaults listed against you too, as those apply before a CCJ is registered.
CCJs remain on a person’s credit file for 6 years, even if you satisfy and pay it off. Lenders will be able to search publicly available registers to check your status.
But once that 6-year period has elapsed from the date the CCJ was issued, your details will be expunged from the public register as well as your credit file. Your name will also be removed at the 6-year point even if you didn’t pay off the debt from the 2014 CCJ.
A CCJ can negatively affect your credit rating and worthiness.
There are many lenders in the market who won’t lend money to you, but the adviser at Specialist Mortgage Online have access to the lenders where this won’t be as much of an issue.
To find out how our advisers can help you, contact us today for some initial free advice on how a CCJ from 2014 could impact your mortgage chances. They are specialists in helping people with bad credit get a mortgage.
How long do CCJs stay on your credit file?
As we’ve already explained, a CCJ will stay on your credit file for 6 years, unless you pay it off inside of 30 days of receiving the notice letter.
This 6-year term applies even if you pay the debt off in full after agreeing a payment schedule. That means satisfied CCJs, despite being paid, will still be on your file for a 6-year period.
Can I remove a CCJ from my credit file?
Yes, it is possible to have the CCJ removed from your credit file.
The simplest way to get it removed, is to make sure you pay if off in full during the first 30 days of it being issued. If you can do that, it won’t appear on the public register and credit file for the next 6 years.
You will need to show proof of payment when applying for a certificate of cancellation from the County Court. It will cost a small fee to arrange, but those on low incomes can sometimes have this fee waivered.
Once the County Court has seen the evidence of payment inside the month of the CCJ being issued, it will be removed from the public register.
If you are unable to pay the CCJ debt inside of 30 days from the point the judgement was issued, it will not be removed. You can repay the debt over time, and once you do, apply for a certificate of satisfaction again.
This will show anyone searching the public register that you have satisfied the CCJ, at which point lenders will be more inclined to lend to you.
Facts about CCJs
There are some common myths about CCJs. We aim to answer a few of those below.
- CCJs are registered against a postal address, not the person – UNTRUE
- Ignore the CCJ, don’t pay it, and it will go away – UNTRUE
- If you move to a different country the CCJ won’t affect you – UNTRUE
What to do next…
Talk to us today if you are looking to get a mortgage but have a CCJ from 2014. In quick time our specialist advisers will ask for some initial details from you, in order to produce more detailed analysis and options. You might also be interested in our mortgage calculator for CCJ applicants which can help us get more information from you quickly.
Calls into our team our free, and you will benefit from an initial free consultation where you can get some information on what your mortgage options are.