If you have ever missed a payment or defaulted on the repayment of debts or credit. If you have ever had to manage your debts by reaching an Individual Voluntary Arrangement (IVA) with your creditors. And especially, if you have ever declared bankruptcy - you are likely to struggle to get a mortgage.
In the circumstances described, you are said to have adverse credit – and that is what makes getting a mortgage more difficult. Any lender will look to your record of managing debt and other lines of credit as a measure of your responsibility and reliability towards any new lending in the shape of a mortgage. This is a measure of your creditworthiness.
Indeed, the industry’s regulator, the Financial Conduct Authority (FCA) advises its registered members on the need to conduct creditworthiness checks.
The biggest impact if you are in search of a mortgage is that you are going to encounter more difficulties, fewer lenders prepared to entertain your a…