Mortgage and revoked credit card

F

Football2024

New Member
Messages
1
First time poster but wonder if anyone could advise. In the process of applying for a mortgage and received credit report as part of the process. I have a revoked credit card of €2k that I had forgotten about and have now put a plan in place of paying back with BOI. Commencement of this starts this week and I am committed to paying €100 a month. We can pay it all off in one go but don't know if that would help. Can anyone advise if there is any lender who may look at us or are we just completely blacklisted. We are looking to borrow €160k which is what is left on our current mortgage. We tested the market and our house could sell for €340k. My mother is coming in with us and has cash to put toward the sale. Our current home is not big enough for 3 adults and 2 teenagers as we are a 3 bed semi. I understand I have done wrong by not making payment sooner but I would hope some lender may see it was a blip, I have learned and willing to put it right. Both I and husband are in permanent jobs, I am public sector and he is private sector. Have been advised to make contact with our current lender AIB and see if they may be able to help and also to contact Finance Ireland and EBS as they look at applications on a case by case basis. No hate please. Any help or advice would be most welcome as we have our eye on a house local to where we live and would like to make it happen. All else on credit reports are clear. Thank you
 
The revoked credit card has a balance of €2k, and you are paying €100 a month off it. So it will take at least 20 months to pay this off completely, or well over a year and a half. And then it will take a further 5 years for it to drop off your Central Credit Register report. Taking 20 months to pay this off extends by 20 months the length of time for which you will have an impaired credit rating.

In the mean-time, it is unlikely that you will be able to borrow, mortgage or otherwise, with a delinquent credit agreement appearing on your Central Credit Register report. Some lenders might entertain you once 24 months has elapsed after paying the credit card in full, but this is not guaranteed.
 
OP no hate here as I've been in the same boat, but look at it from the lenders point of view, you reneged on a €2k credit card debt but you want them to lend you €160k.

I think it's unlikely that they will lend but since this these credit checks are done automatically it will depend on the codes that they have placed on your report.
 
You forgot about a 2k credit card and want to drip feed €100 a month to repay it in about 2 years (at a probably ridiculously high 20%+ interest)?

Think of how that looks to a lender.


You forgot about a 2k credit card. As soon as you realised it hadn't been paid, you immediately paid it in full and apologised for the error.

Think how that looks to a lender.


If you were a lender, which scenario would you possibly overlook and provide finance to?
 
Football2024 said:
First time poster but wonder if anyone could advise. In the process of applying for a mortgage and received credit report as part of the process. I have a revoked credit card of €2k that I had forgotten about and have now put a plan in place of paying back with BOI. Commencement of this starts this week and I am committed to paying €100 a month. We can pay it all off in one go but don't know if that would help. Can anyone advise if there is any lender who may look at us or are we just completely blacklisted. We are looking to borrow €160k which is what is left on our current mortgage. We tested the market and our house could sell for €340k. My mother is coming in with us and has cash to put toward the sale. Our current home is not big enough for 3 adults and 2 teenagers as we are a 3 bed semi. I understand I have done wrong by not making payment sooner but I would hope some lender may see it was a blip, I have learned and willing to put it right. Both I and husband are in permanent jobs, I am public sector and he is private sector. Have been advised to make contact with our current lender AIB and see if they may be able to help and also to contact Finance Ireland and EBS as they look at applications on a case by case basis. No hate please. Any help or advice would be most welcome as we have our eye on a house local to where we live and would like to make it happen. All else on credit reports are clear. Thank you
Click to expand...
No hate, but I wouldn't lend to someone with such a bad memory.

You might forget you have a mortgage with me.

You currently have a mortgage with AIB. When did you take that out? Presumably you took out the credit card since and subsequently "forgot" about it?

Brendan
 
You must go into your credit card company and clear it in full immediately.

The Central Credit Register will "forget" about it in 2029 and you should be free to get a mortgage then.

You might be able to get a mortgage now from a sub-prime lender like Finance Ireland.

Mortgage Rates - Finance Ireland

www.financeireland.ie www.financeireland.ie

The Progress Plus mortgage allows for a little more flexibility around things like previous credit issues, self-employed income assessment, refinancing and buying a buy-to-let property for example.​


Brendan
 
You must log in or register to reply here.
Back
Top