Home Movers with a CCJ

What if I’m self-employed or a contractor with a CCJ? Can I still get a mortgage?

The only difference there is the self-employed or contracting element. Being self-employed or a contractor could influence the lender we choose, but the CCJ criteria won’t change whether you’re self-employed or a contractor.

If you don’t satisfy the lender’s criteria for the CCJ, we’ll move to a lender that does. Only then do we look at you as a self-employed person or contractor. Being self-employed or contracting won’t hold you back – if anything it will be the CCJ.

Will I need a larger deposit for a mortgage as a home mover with a CCJ?

It all depends on the CCJ and the lender we go with. If you meet the criteria with a standard lender – such as the CCJ being registered three years ago and satisfied – you could still get a mortgage with a 5% deposit.

Your Loan to Value could be affected by your credit score, but it all depends on the lender we choose – which is why it’s so important to talk to a broker.

What documents will I need to have ready for a mortgage with a CCJ?

It will be the standard documents for any application. You’ll need payslips if you’re employed or tax calculations if you’re self employed. You also need bank statements, ID and proof of deposit.

As brokers, we’ll need a copy of your credit file to see what’s going on with the CCJ. The lender may want proof of that CCJ, but generally they’ll just look at the credit file. If they need anything else, they would let us know.

Typically, if it doesn’t pass an Agreement in Principle, it doesn’t go any further until your credit file is updated and that CCJ has dropped off the record.

How long does the mortgage application process take for a home mover with a CCJ?

It shouldn’t be any longer than usual. If you’re going with a standard lender, you meet their criteria and you’ve satisfied their requirements around the CCJ, you should get an Agreement in Principle.

You just then move on to a normal application, so it shouldn’t take any longer. The exception is if we need a more adverse lender who may not be as quick as mainstream lenders. Even then, it’s not going to drag on for months, it might just be a week or two more.

You’ve demonstrated throughout how a mortgage broker can help – is there anything else you’d like to add?

As you can see, it’s a bit of a minefield and there’s a lot to consider. We can take all that effort and guesswork away from you.

Without a broker you would probably pick lenders at random and try to get an Agreement in Principle with each one. But once we know the details of the CCJ, we can rule out certain lenders and approach those that can help.

We save you time and all the pain of multiple applications. Ultimately, we save you money as well, by finding you the most cost-effective deal for your situation.

Key Takeaways:

• Getting a mortgage with a County Court Judgment (CCJ) is possible, but success depends heavily on factors such as when the CCJ was registered, the amount, and whether it has been satisfied (paid off).
• Different lenders have varying CCJ criteria, which can affect the Loan to Value ratio and deposit requirements. More severe CCJs may require a higher deposit with a more adverse credit focused lender.
• You can still obtain an Agreement in Principle even with an unsatisfied CCJ, provided a lender can be found whose criteria aligns with the specific details of the judgment.
• Whether you can port your existing mortgage after incurring a CCJ depends on your current lender’s full underwriting process, which treats the porting application as new. Rejection may require seeking a new lender and potentially paying early repayment charges.
• A mortgage broker is essential to navigate the process by assessing the CCJ details, ruling out unsuitable lenders, and approaching those most likely to help, thereby saving time and avoiding multiple applications.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP WITH YOUR MORTGAGE REPAYMENTS.