Bad Credit Mortgage Remortgage UK Loan

Bad Credit Mortgage Remortgage UK Loan | Meeting The Criteria

If you're planning on applying for a bad credit mortgage remortgage UK loan you will need to understand the criteria that a bad credit mortgage remortgage UK lender will need you to meet. This will help you to see how your circumstances match the lenders' requirements and what you may need to provide in order to get a bad credit mortgage remortgage UK deal.

One of the criteria you may have to meet for a bad credit mortgage remortgage UK deal is a minimum or maximum age requirement. For example, some bad credit mortgage remortgage UK lenders set a minimum age of 18 for a bad credit mortgage remortgage UK deal and a maximum age of 70. However, in some cases the maximum age limit may be waived if the borrower's proposed loan to value is less than 75 per cent or if the income meets certain requirements.

Income is another key factor for bad credit mortgage remortgage UK lenders. Lenders will have differing rules for what they regard as acceptable income for a bad credit mortgage remortgage UK deal. However, some of the types of income they might consider include:

regular overtime payments
earnings from commission, especially for a job where you have a record of commission earnings over a couple of years
company directors' dividends
maintenance payments or benefits, with evidence that these have been paid
proposed increases in salary if these have been confirmed
earnings in the last trading year for self employed applicants

All of these can serve as income to be considered for a bad credit mortgage remortgage UK loan. In most cases, employed applicants will have to prove their income through payslips, though no income proof may be required for self certification applicants for a bad credit mortgage remortgage UK product.

Purpose Of The Bad Credit Loan

Lenders also vary in what they permit as the purpose of the loan. In addition to standard mortgages and remortgages, some lenders may also allow a bad credit mortgage remortgage UK loan for let to buy and for raising capital - in other words releasing some of the equity in your home. This can be done for a number of purposes and may be done to pay off debts. This is one reason why a bad credit mortgage remortgage UK loan is often used as a debt consolidation product.

When applying for a bad credit mortgage remortgage UK product, applicants may find that the level of adverse credit determines the loan to value they are able to get. For example, a lender might be prepared to lend up to 95 per cent loan to value to a near prime applicant, while an applicant with heavy adverse credit may be eligible for a maximum loan to value of 75 per cent. A near prime borrower taking a low loan to value ratio may be able to borrow £1 million, while a heavy adverse applicant at the same loan to value may be limited to a maximum of £400,000. While the figures may vary from lender to lender, the principle remains the same and borrowers should be aware of the bad credit mortgage remortgage UK criteria.

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