Mortgages with CCJs
Obtaining a mortgage with a CCJ (County Court Judgment) can seem daunting, but it’s not impossible. Several specialist lenders are willing to offer mortgages to individuals with CCJs, provided certain criteria are met.
Adverse mortgage brokers are able to help you understand the steps to take, the options available, and how you can improve your chances of being accepted for a mortgage, even with a CCJ.
Can I get a mortgage with a CCJ?
Yes you can get a mortgage with a CCJ on your credit file. A CCJ (County Court Judgment) is one of the most serious credit issues and as such will naturally have an impact on a mortgage application. Getting a mortgage from a high-street lender with a CCJ would be incredibly difficult.
However, several specialist lenders are willing to lend to those with a CCJ. The details of the CCJ, such as when it was registered, the reasons for it, and whether it is cleared, will determine your chances of success when applying for a mortgage. In general, the longer ago the CCJ was registered, the better. You’re also more likely to be accepted if your CCJ has been cleared before applying or is due to be cleared before the completion date, however, this is not necessary with the majority of lenders.
Which lenders can provide a mortgage with a CCJ?
I work with a handful of specialist lenders who can provide a mortgage if you have a CCJ, each with their criteria regarding the details of the CCJ, such as when it was started and whether it is cleared.
Most lenders for CCJ mortgages will only consider applications that come via a broker, and each has their lending criteria. This is why it’s best to get advice from a specialist broker before attempting to apply directly where a CCJ is considered, or any major credit issue in general.
How will a CCJ affect my mortgage application?
As with most bad credit issues, having a CCJ registered on your credit file will hurt your mortgage application, and for most mainstream lenders will result in an automatic decline.
This is why having prior knowledge of which lenders are likely to approve your application with a CCJ, and exactly what their lending criteria are – both around CCJs and in general – is incredibly important. Otherwise, you may be applying with lenders who would not accept applications with a CCJ and make the mistake of registering a series of application rejections, which would also harm your credit rating.
I know exactly which lenders will provide mortgages with CCJs, as well as each of their lending criteria. This means you will only ever apply with lenders where you fit the criteria and are likely to be accepted the first time.
Do you have to declare a CCJ on your mortgage application?
Yes. Any debts must be declared when applying for a mortgage. It is a legal requirement to be completely truthful when applying for a mortgage. In addition, the lender’s credit checks will almost certainly identify any debts registered to you, including the CCJ, if one is in place.
How long after a CCJ can you get a mortgage?
Like most credit issues, the longer ago the CCJ was registered, the better chance of success you’ll have with your mortgage application. Whether the CCJ is cleared or not will also be a key factor. If you can pay your CCJ within one month of it being registered, you can request that the CCJ be removed from your credit file completely.
If you have a more recent CCJ and need to apply for a mortgage, there are a small handful of lenders who will consider your application, with some even willing to lend to those who have a CCJ registered within the last 12 months.
The timing of your CCJ will not only impact your chances of success, it will also be a key factor in the type of mortgage you are offered in terms of the required deposit and interest rate. I can talk you through your options and help you decide when might be the best time to apply for a mortgage with a CCJ.
Common Myths About Mortgages with CCJs
1. You Can’t Get a Mortgage with a CCJ
Reality: While mainstream lenders may be hesitant, many specialist lenders are willing to provide mortgages to those with CCJs, depending on the details and age of the judgment, and how accurate your application is.
2. You Need a Perfect Credit Score
Reality: A perfect credit score is not necessary. Lenders look at various factors, including income, employment stability, and how recent and severe the CCJs are.
3. All CCJs Are Treated Equally
Reality: Lenders differentiate between CCJs based on the amount owed, the date of registration, and whether they have been satisfied. Older and cleared CCJs are viewed more favorably.
Does your CCJ need to be cleared before you can apply for a mortgage?
No it doesn’t, but if your CCJ can be cleared before applying for your mortgage, or on track to be cleared before completion, this will improve your chances of success. Some lenders won’t consider a mortgage until your CCJ has been cleared for a few years, but I work with many others who will.
The amount on the CCJ will also play a big part in your application. For example, a small CCJ of £500 which is not cleared may be seen as less of an issue compared to a larger CCJ of £10,000 which has been cleared.
What are the lending criteria for a mortgage with a CCJ?
Every mortgage lender will have their unique lending criteria for mortgages where a CCJ is on the applicant’s credit file. Some lenders will only consider applications where the CCJ has been cleared for several years, while some are happy to lend to those with a more recent CCJ being registered.
Accessing Specialist Lenders for Mortgages with CCJs
Not all lenders view CCJs the same way. I have access to specialist lenders that are more flexible and with the correct application are willing to consider applicants with a CCJ. These exclusive lenders understand that life events can lead to financial difficulties and offer products tailored to those with adverse credit histories. As an adverse mortgage broker, I can help you identify these lenders and match you with the best options for your situation.
How much can you borrow with a CCJ?
The main things lenders will consider in terms of how much you can borrow with a CCJ will be your income and affordability. The CCJ itself doesn’t typically impact the overall amount you can borrow.
Having a CCJ when applying for a mortgage will impact the loan-to-value (LTV) which is the percentage of the property that you can mortgage against, with the deposit making up the rest of the amount.
Mortgage rates for CCJs
Getting a mortgage with a CCJ, as with most credit issues, will typically result in higher rates. The rate offered by the lender will depend on personal circumstances.
What deposit will you need for a mortgage with a CCJ?
The offered LTV and deposit amount required will primarily come down to the specific circumstance of your CCJ, as well as other factors on your application. Generally, the longer ago the CCJ was registered on your credit file, the lower the required deposit will be. If your CCJ is cleared, this will improve your deposit options.
Different lenders will have their own rules around required deposits for mortgages with a CCJ, but the figures below are what you might typically expect to see:
| Deposit | LTV | CCJ Status |
|---|---|---|
| 5% | 90% | No CCJs in the past 18 months |
| 20% | 80% | Up to 8 CCJs within 24 months but none in the last 3 months. Or no CCJ’s in the past 6 months. |
Getting a Right to Buy mortgage with a CCJ
Buying your council house via the Government Right to Buy scheme is possible, even if you have a CCJ. Lenders will have their criteria for Right to Buy mortgages where a CCJ is considered. I work with several lenders who will consider a Right to Buy mortgage where a CCJ is yet to be cleared.
Take a look at our dedicated Right to Buy mortgages with bad credit guide for further information, or get in touch and I can discuss your specific circumstances and let you know whether a lender is likely to accept your application.
Getting a Shared Ownership mortgage with a CCJ
Shared Ownership mortgages are a good option for getting onto the property for those with a smaller deposit. I work with several lenders who will consider applications for Shared Ownership mortgages with a CCJ. As with standard mortgages, the status of the CCJ will impact the chance of acceptance and the deal offered.
If you have a CCJ and are considering a Shared Ownership mortgage, see our dedicated guide to Shared Ownership mortgages with bad credit, or get in touch to discuss your requirements.
How a mortgage advisor can help with CCJ
The role of a mortgage advisor, particularly for applications with a CCJ, is to match the buyer with the best lender depending on their circumstances and how that matches with lending criteria. This requires a full understanding of lending criteria, both around CCJs and in general.
I have decades of experience in helping those with CCJs to get a mortgage and ensuring they get the application right the first time, as well as getting the best deal available for them.
For more information or to discuss your application, please call me on 01494 526 400 or complete my online enquiry form today.
Mortgage with a CCJ Questions (FAQs)
What is a CCJ?
A County Court Judgment (CCJ) is a court order against an individual or business relating to a debt that needs to be paid. Where a CCJ is registered against an individual, it usually means other attempts to recover the debt have been unsuccessful and the lender has had to go to the courts to request the debt is settled.
How long will a CCJ stay on my credit file?
A CCJ, like many other credit issues, will stay on your credit file for 6 years from the date it was first agreed. If you clear the amount owed on the CCJ before the 6 years is up, it will remain on your credit file but be marked as ‘complete. If you can clear the CCJ within 1 month of it being registered, the CCJ can be removed completely from your credit file.
What is a CCJ mortgage?
The term ‘CCJ mortgage’ is typically used as an umbrella term to refer to mortgages available to those who have a CCJ registered on their credit file.
CCJ mortgages do not automatically accept applications from those with a CCJ. Acceptance will depend on the specific details of the CCJ amongst other considerations such as salary and affordability.
Can I remortgage with a CCJ?
Yes, several lenders will consider mortgage applications from someone looking to remortgage with or after a CCJ. The rules and lending criteria will not differ greatly between those looking to remortgage and those looking for their first mortgage with a CCJ.
Can I get a mortgage with a CCJ and other credit issues?
It’s still possible to get a mortgage if you have a CCJ as well as other credit issues, such as having a CCJ and a default. As with most credit issues, the specific circumstances will determine how difficult it may be.
Can I get a mortgage if my partner has a CCJ?
A CCJ is a serious credit issue and you should consider the impact of applying for a mortgage with your partner if they have a CCJ registered on their credit file. Any joint financial application can link you both in terms of your credit file and has the potential to negatively impact your credit report.
It is possible to get a mortgage if your partner has a CCJ. The chances of a successful application will largely depend on the specific details of the CCJ, such as when it was registered, for what reason, and whether it is cleared or not.
Your home may be repossessed if you do not keep up repayments on your mortgage.
You may have to pay an early repayment charge to your existing lender if you remortgage.
Will My Partner’s Good Credit Offset My CCJ in a Joint Mortgage Application?
While your partner’s good credit can positively influence a joint mortgage application, lenders will still look closely into your CCJ. It’s important to discuss your situation with a mortgage broker who can find lenders that will consider the overall financial picture and potentially offer more favorable terms.
What Documents Will I Need to Apply for a Mortgage with a CCJ?
When applying for a mortgage with a CCJ, you will need to provide the following documents:
- Proof of Identity: Passport or driver’s license
- Proof of Address: Utility bills or bank statements
- Proof of Income: Pay slips, tax returns, or employment contracts
- Credit Report: A detailed credit report showing your CCJ and other credit history
- Bank Statements: Recent bank statements showing your financial transactions
Having these documents ready can streamline the application process and improve your chances of success.
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A quick overview of the topics covered in this article.
- Can I get a mortgage with a CCJ?
- Which lenders can provide a mortgage with a CCJ?
- How will a CCJ affect my mortgage application?
- Do you have to declare a CCJ on your mortgage application?
- How long after a CCJ can you get a mortgage?
- Common Myths About Mortgages with CCJs
- Does your CCJ need to be cleared before you can apply for a mortgage?
- What are the lending criteria for a mortgage with a CCJ?
- Accessing Specialist Lenders for Mortgages with CCJs
- How much can you borrow with a CCJ?
- Mortgage rates for CCJs
- What deposit will you need for a mortgage with a CCJ?
- Getting a Right to Buy mortgage with a CCJ
- Getting a Shared Ownership mortgage with a CCJ
- How a mortgage advisor can help with CCJ
- Mortgage with a CCJ Questions (FAQs)
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October 11, 2024
October 11, 2024
October 11, 2024
Mortgages with CCJs
Obtaining a mortgage with a CCJ (County Court Judgment) can seem daunting, but it’s not impossible. Several specialist lenders are willing to offer mortgages to individuals with CCJs, provided certain criteria are met.
Adverse mortgage brokers are able to help you understand the steps to take, the options available, and how you can improve your chances of being accepted for a mortgage, even with a CCJ.
Can I get a mortgage with a CCJ?
Yes you can get a mortgage with a CCJ on your credit file. A CCJ (County Court Judgment) is one of the most serious credit issues and as such will naturally have an impact on a mortgage application. Getting a mortgage from a high-street lender with a CCJ would be incredibly difficult.
However, several specialist lenders are willing to lend to those with a CCJ. The details of the CCJ, such as when it was registered, the reasons for it, and whether it is cleared, will determine your chances of success when applying for a mortgage. In general, the longer ago the CCJ was registered, the better. You’re also more likely to be accepted if your CCJ has been cleared before applying or is due to be cleared before the completion date, however, this is not necessary with the majority of lenders.
Which lenders can provide a mortgage with a CCJ?
I work with a handful of specialist lenders who can provide a mortgage if you have a CCJ, each with their criteria regarding the details of the CCJ, such as when it was started and whether it is cleared.
Most lenders for CCJ mortgages will only consider applications that come via a broker, and each has their lending criteria. This is why it’s best to get advice from a specialist broker before attempting to apply directly where a CCJ is considered, or any major credit issue in general.
How will a CCJ affect my mortgage application?
As with most bad credit issues, having a CCJ registered on your credit file will hurt your mortgage application, and for most mainstream lenders will result in an automatic decline.
This is why having prior knowledge of which lenders are likely to approve your application with a CCJ, and exactly what their lending criteria are – both around CCJs and in general – is incredibly important. Otherwise, you may be applying with lenders who would not accept applications with a CCJ and make the mistake of registering a series of application rejections, which would also harm your credit rating.
I know exactly which lenders will provide mortgages with CCJs, as well as each of their lending criteria. This means you will only ever apply with lenders where you fit the criteria and are likely to be accepted the first time.
Do you have to declare a CCJ on your mortgage application?
Yes. Any debts must be declared when applying for a mortgage. It is a legal requirement to be completely truthful when applying for a mortgage. In addition, the lender’s credit checks will almost certainly identify any debts registered to you, including the CCJ, if one is in place.
How long after a CCJ can you get a mortgage?
Like most credit issues, the longer ago the CCJ was registered, the better chance of success you’ll have with your mortgage application. Whether the CCJ is cleared or not will also be a key factor. If you can pay your CCJ within one month of it being registered, you can request that the CCJ be removed from your credit file completely.
If you have a more recent CCJ and need to apply for a mortgage, there are a small handful of lenders who will consider your application, with some even willing to lend to those who have a CCJ registered within the last 12 months.
The timing of your CCJ will not only impact your chances of success, it will also be a key factor in the type of mortgage you are offered in terms of the required deposit and interest rate. I can talk you through your options and help you decide when might be the best time to apply for a mortgage with a CCJ.
Common Myths About Mortgages with CCJs
1. You Can’t Get a Mortgage with a CCJ
Reality: While mainstream lenders may be hesitant, many specialist lenders are willing to provide mortgages to those with CCJs, depending on the details and age of the judgment, and how accurate your application is.
2. You Need a Perfect Credit Score
Reality: A perfect credit score is not necessary. Lenders look at various factors, including income, employment stability, and how recent and severe the CCJs are.
3. All CCJs Are Treated Equally
Reality: Lenders differentiate between CCJs based on the amount owed, the date of registration, and whether they have been satisfied. Older and cleared CCJs are viewed more favorably.
Does your CCJ need to be cleared before you can apply for a mortgage?
No it doesn’t, but if your CCJ can be cleared before applying for your mortgage, or on track to be cleared before completion, this will improve your chances of success. Some lenders won’t consider a mortgage until your CCJ has been cleared for a few years, but I work with many others who will.
The amount on the CCJ will also play a big part in your application. For example, a small CCJ of £500 which is not cleared may be seen as less of an issue compared to a larger CCJ of £10,000 which has been cleared.
What are the lending criteria for a mortgage with a CCJ?
Every mortgage lender will have their unique lending criteria for mortgages where a CCJ is on the applicant’s credit file. Some lenders will only consider applications where the CCJ has been cleared for several years, while some are happy to lend to those with a more recent CCJ being registered.
Accessing Specialist Lenders for Mortgages with CCJs
Not all lenders view CCJs the same way. I have access to specialist lenders that are more flexible and with the correct application are willing to consider applicants with a CCJ. These exclusive lenders understand that life events can lead to financial difficulties and offer products tailored to those with adverse credit histories. As an adverse mortgage broker, I can help you identify these lenders and match you with the best options for your situation.
How much can you borrow with a CCJ?
The main things lenders will consider in terms of how much you can borrow with a CCJ will be your income and affordability. The CCJ itself doesn’t typically impact the overall amount you can borrow.
Having a CCJ when applying for a mortgage will impact the loan-to-value (LTV) which is the percentage of the property that you can mortgage against, with the deposit making up the rest of the amount.
Mortgage rates for CCJs
Getting a mortgage with a CCJ, as with most credit issues, will typically result in higher rates. The rate offered by the lender will depend on personal circumstances.
What deposit will you need for a mortgage with a CCJ?
The offered LTV and deposit amount required will primarily come down to the specific circumstance of your CCJ, as well as other factors on your application. Generally, the longer ago the CCJ was registered on your credit file, the lower the required deposit will be. If your CCJ is cleared, this will improve your deposit options.
Different lenders will have their own rules around required deposits for mortgages with a CCJ, but the figures below are what you might typically expect to see:
| Deposit | LTV | CCJ Status |
|---|---|---|
| 5% | 90% | No CCJs in the past 18 months |
| 20% | 80% | Up to 8 CCJs within 24 months but none in the last 3 months. Or no CCJ’s in the past 6 months. |
Getting a Right to Buy mortgage with a CCJ
Buying your council house via the Government Right to Buy scheme is possible, even if you have a CCJ. Lenders will have their criteria for Right to Buy mortgages where a CCJ is considered. I work with several lenders who will consider a Right to Buy mortgage where a CCJ is yet to be cleared.
Take a look at our dedicated Right to Buy mortgages with bad credit guide for further information, or get in touch and I can discuss your specific circumstances and let you know whether a lender is likely to accept your application.
Getting a Shared Ownership mortgage with a CCJ
Shared Ownership mortgages are a good option for getting onto the property for those with a smaller deposit. I work with several lenders who will consider applications for Shared Ownership mortgages with a CCJ. As with standard mortgages, the status of the CCJ will impact the chance of acceptance and the deal offered.
If you have a CCJ and are considering a Shared Ownership mortgage, see our dedicated guide to Shared Ownership mortgages with bad credit, or get in touch to discuss your requirements.
How a mortgage advisor can help with CCJ
The role of a mortgage advisor, particularly for applications with a CCJ, is to match the buyer with the best lender depending on their circumstances and how that matches with lending criteria. This requires a full understanding of lending criteria, both around CCJs and in general.
I have decades of experience in helping those with CCJs to get a mortgage and ensuring they get the application right the first time, as well as getting the best deal available for them.
For more information or to discuss your application, please call me on 01494 526 400 or complete my online enquiry form today.
Mortgage with a CCJ Questions (FAQs)
What is a CCJ?
A County Court Judgment (CCJ) is a court order against an individual or business relating to a debt that needs to be paid. Where a CCJ is registered against an individual, it usually means other attempts to recover the debt have been unsuccessful and the lender has had to go to the courts to request the debt is settled.
How long will a CCJ stay on my credit file?
A CCJ, like many other credit issues, will stay on your credit file for 6 years from the date it was first agreed. If you clear the amount owed on the CCJ before the 6 years is up, it will remain on your credit file but be marked as ‘complete. If you can clear the CCJ within 1 month of it being registered, the CCJ can be removed completely from your credit file.
What is a CCJ mortgage?
The term ‘CCJ mortgage’ is typically used as an umbrella term to refer to mortgages available to those who have a CCJ registered on their credit file.
CCJ mortgages do not automatically accept applications from those with a CCJ. Acceptance will depend on the specific details of the CCJ amongst other considerations such as salary and affordability.
Can I remortgage with a CCJ?
Yes, several lenders will consider mortgage applications from someone looking to remortgage with or after a CCJ. The rules and lending criteria will not differ greatly between those looking to remortgage and those looking for their first mortgage with a CCJ.
Can I get a mortgage with a CCJ and other credit issues?
It’s still possible to get a mortgage if you have a CCJ as well as other credit issues, such as having a CCJ and a default. As with most credit issues, the specific circumstances will determine how difficult it may be.
Can I get a mortgage if my partner has a CCJ?
A CCJ is a serious credit issue and you should consider the impact of applying for a mortgage with your partner if they have a CCJ registered on their credit file. Any joint financial application can link you both in terms of your credit file and has the potential to negatively impact your credit report.
It is possible to get a mortgage if your partner has a CCJ. The chances of a successful application will largely depend on the specific details of the CCJ, such as when it was registered, for what reason, and whether it is cleared or not.
Your home may be repossessed if you do not keep up repayments on your mortgage.
You may have to pay an early repayment charge to your existing lender if you remortgage.
Will My Partner’s Good Credit Offset My CCJ in a Joint Mortgage Application?
While your partner’s good credit can positively influence a joint mortgage application, lenders will still look closely into your CCJ. It’s important to discuss your situation with a mortgage broker who can find lenders that will consider the overall financial picture and potentially offer more favorable terms.
What Documents Will I Need to Apply for a Mortgage with a CCJ?
When applying for a mortgage with a CCJ, you will need to provide the following documents:
- Proof of Identity: Passport or driver’s license
- Proof of Address: Utility bills or bank statements
- Proof of Income: Pay slips, tax returns, or employment contracts
- Credit Report: A detailed credit report showing your CCJ and other credit history
- Bank Statements: Recent bank statements showing your financial transactions
Having these documents ready can streamline the application process and improve your chances of success.
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Steve & Sue were professional throughout the whole proceed. Would have no hesitation in recommending their company.Hentschel – 29th May 2024
We experienced difficulty in finding our original mortgage and Steve and Sue were instrumental in helping us purchase our first home. Likewise, when it came to remortgaging 2 years later they were pivotal in finding us a suitable mortgage rate with a new provider.Henschel – 27th March 2024
Thank you to both Steve and Sue for all the hard work and patienceAnon – 22nd March 2024
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Anon – 4th March 2024
Steven and Sue have been absolutely wonderful throughout the whole mortgage application process. Even when we were unsuccessful with our first application which left us panicking, Steven remained calm and professional, informed us there were plenty of other options and worked quickly on a new application suited to our needs. Steven would answer his phone efficiently and if he missed us, he would call back immediately, something which can be quite rare these days. We would recommend Steven and Sue to anyone that maybe struggling with the whole mortgage process, especially the self employed, they took all the stress from us and deserved every single penny we payed them. We will absolutely be returning to Steven and Sue in the future and only wish we had found them sooner. We found them to be invaluable and an absolute pleasure to deal with, they are the reason we can finally sleep well at night! Thank you both again.Oldham – 22nd February 2024
Helpful and helped us in finding mortgage with suitable interest rates given our adverse credit at the timeKunda – 15th February 2024
I have used Steve twice now and both times he has been professional and has always listened to me, which was very reassuring when I was considering not buying anymore and giving up on the process.Anonymous – 6th February 2024
Steve and Sue have been fantastic, they worked hard to get our application pushed through before Christmas and were on hand and very responsive to any questions that we had regarding our mortgage application. I would highly recommend.Martin – 2nd January 2024
I have felt very well looked after throughout this process, and advocated for, to meet my individual financial needs. The communication between Steven, Sue and I has been of the highest standard, and I could not have asked for more. I was treated without prejudice, and with understanding, and I am so happy that I have been able to buy a home which my daughter and I can now settle into, and start a new chapter. Thank you so much Steven and Sue!Hentschell – 21 November 2023
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