I dont know what rates will apply, but I would expect you to be able to find a deal where initially you pay less that the 7.64% as part of the offer of the loan.

May be above 7.64 after the introductory period has expired, but hopefully by then you will be better positioned to remortgage to a better rate anyway (or the interest rate may have fallen back down) 

Thanks for your reply. The bank we originally approached havent got back to us as yet regarding the conditions. We contacted London and Country yesterday after being recommended them by a friend and the chap we spoke to said they can find us a mortgage but it will be with a higher interest rate. So we are waiting for them to call back today and find us a mortgage. What i want to know is, what is classed as a 'higher rate'? We have been paying 7.64% as we had a variable mortgage is it likely to be a lot more than this? It doesnt matter if it is because we will be a lot better off after becoming debt free anyway so could probably afford it. London and Country did say though that no high street lender would lend to us while we have a default on our file.

Thanks again for the reply, Sorry for all the questions

Monica x 

Firstly dont be down hearted by being declined for a mortgage, it is much more common than you might think and just becuase one has doesnt mean all will.

the 'conditions' might be that the interest rate might be slightly higher or some such.

Speaking to a broker is a good idea, as they do have more providers to work with, and I am sure one of them will be ok with your history.  

A point of note 24 isnt many - you might do better to find another broker who will search the whole market for you.
 

Hi all! My names Monica hope you are all well.

 Basically, we have debts accumulating to approx £35000 and are needing to move house due to me being pregnant. We have had the house valued at £105000 (we paid £45000) and have approx £60000 equity. The plan is to sell the house and py off our debts. This will leave us with around £29000 of which £25000 will be put down as a deposit for our next house.

 
My husband and i have just been to the bank and have been declined due to 1 default that my husband received on a credit card in 2005. She is referring our application to the head office (it is a high street lender) as she said due to the fact that even with a larger mortgage we will be better off each month plus the fact that all our debts will be paid off and its only 1 default notice which is declining us she thinks there is a small chance they may lend to us but with conditions. What on earth does 'conditions' mean?? So we are now waiting for a decision from them which we will probably not receive until early next week.

I have arranged a meeting with a mortgage broker for Tuesday of next week as he searches 24 lenders so is confident of finding us something. But surely if weve been declined for 1 mortgage we will be declined for them all?

Has anyone been in this situation and been successful? Or does anyone know of anyone who has been successful?

Im feeling really disappointed and fed up now as this would be the answer to our problems. The only other option is to sell and rent for a time until our credit score improves but im not sure how long that takes.

Thanks in advance.

Monica xx