If you have a poor credit history, you may feel that getting a mortgage is impossible – but that’s not necessarily the case. While it can be more challenging to secure a mortgage with bad credit, an experienced mortgage broker can often help you find lenders who are willing to consider your circumstances.
In this article, we’ll explain how a mortgage broker can support you if you have bad credit, what steps you can take to improve your chances, and how Helen Ferneyhough Associates can help you secure the right mortgage deal.
What is Considered ‘Bad Credit’?
Bad credit refers to a history of financial difficulties that could affect your ability to borrow money. Common factors that may damage your credit score include:
❌ Missed or late payments on loans, credit cards, or utility bills
❌ County Court Judgments (CCJs)
❌ Bankruptcy or Individual Voluntary Arrangements (IVAs)
❌ Defaults on previous financial agreements
❌ High levels of outstanding debt
❌ Frequent credit applications in a short space of time
Lenders use your credit history to assess how risky it is to lend to you. While some mainstream lenders may decline your application, there are specialist lenders who cater to applicants with poor credit histories.
How Can a Mortgage Broker Help if I Have Bad Credit?
A qualified mortgage broker can help improve your chances of finding a suitable mortgage deal in several key ways:
✅ Access to Specialist Lenders: Many lenders who specialise in bad credit mortgages are not available directly to the public. Brokers have access to these lenders and can identify those most likely to approve your application.
✅ Tailored Advice: A broker will review your credit history, financial situation, and homeownership goals to recommend lenders that best suit your circumstances.
✅ Application Support: Submitting an incomplete or poorly prepared application can lead to delays or rejection. A broker will guide you through the paperwork to ensure your application is presented in the best possible way.
✅ Improved Mortgage Terms: Brokers can compare deals across multiple lenders to help you secure the most competitive interest rates and terms available to you.
At Helen Ferneyhough Associates, we specialise in supporting clients with bad credit. We understand the challenges involved and have the expertise to help you improve your chances of securing a mortgage.
Steps to Improve Your Chances of Getting a Mortgage with Bad Credit
While a mortgage broker can help you find suitable lenders, there are also steps you can take to strengthen your mortgage application:
1. Check Your Credit Report
Start by reviewing your credit report with agencies like Experian, Equifax, or TransUnion. This will allow you to identify and correct any errors that may be impacting your score.
2. Improve Your Credit Score
Simple steps to boost your credit score include:
✅ Registering on the electoral roll
✅ Paying all bills and credit commitments on time
✅ Reducing outstanding debts where possible
✅ Avoiding multiple credit applications in a short space of time
3. Save a Larger Deposit
A bigger deposit reduces the lender’s risk, which can increase your chances of approval. While most lenders require at least a 5% deposit, those with poor credit may need to provide 10–15% or more.
4. Show Evidence of Financial Stability
Lenders will look favourably on evidence that shows you’ve improved your financial habits. This may include steady employment, regular savings, or paying rent on time for an extended period.
5. Consider a Guarantor Mortgage
In some cases, a family member may be able to act as a guarantor, agreeing to cover your mortgage payments if you are unable to do so. This can improve your chances of securing a deal, but both you and the guarantor must understand the risks involved.
What Types of Mortgages Are Available for People with Bad Credit?
While applicants with poor credit may face limited options with mainstream lenders, there are specialist mortgage products designed for individuals with imperfect credit histories. These include:
🔹 Adverse Credit Mortgages: Specifically designed for people with previous credit issues
🔹 Subprime Mortgages: Aimed at applicants with a poor credit rating
🔹 Specialist Lender Mortgages: Provided by lenders who specialise in helping clients with CCJs, IVAs, or past defaults
Although these mortgages may have higher interest rates than standard deals, they can still offer a route onto the property ladder or allow you to remortgage if your credit history has improved.
Why Choose Helen Ferneyhough Associates?
At Helen Ferneyhough Associates, we understand that bad credit doesn’t define your financial future. Our experienced advisors can:
✔️ Assess your financial situation and identify lenders that are more likely to approve your application
✔️ Provide practical guidance to help improve your credit score before you apply
✔️ Offer ongoing support throughout the mortgage process to ensure you feel confident and informed
We specialise in helping clients with complex credit histories secure mortgage deals that suit their circumstances.
Take the Next Step
If you’re concerned that bad credit may stop you from securing a mortgage, don’t hesitate to get expert advice.
📞 Contact Helen Ferneyhough Associates today to discuss your options and take the first step towards achieving your homeownership goals.
Important Notices
There may be a fee for mortgage advice. The precise amount of the fee will depend upon your circumstances but will range from £195 to £1500, and this will be discussed and agreed with you at the earliest opportunity.
Your home may be repossessed if you do not keep up repayments on your mortgage.
