Buckinghamshire Building Society - Scenario Based Case Study Impaired Credit

28 July 2023

At Buckinghamshire Building Society, we understand that managing your money can be tricky, even more so when difficult life events occur. These situations may heavily impact your financial situation or even mean that bills, mortgage payments and other obligations may be missed or forgotten.

Two years ago, Tomasz’s partner passed away. The pair never married but had two young children together and a home. Unfortunately, due to reduced household income, he was not able to make his mortgage payment and fell into arrears for 6months and defaulted on his unsecured credit accounts.

Eventually, once probate had gone through and Tomasz received the life insurance payout, he was able to set some money aside to cover essential living expenses, clear his mortgage arrears and other forms of debt. Once back on track, Tomasz knew that he ought to look for a new house, nearer his family.

He found a property that he wanted to purchase and needed to secure a mortgage for 70% LTV, so contacted a broker to help him.

Tomasz is employed in a well-paying job and would fit affordability requirements for many lenders, however his financial situation over the last two years was of great concern for many. Tomasz’s broker then suggested that they approached Buckinghamshire Building Society.

His broker knew that the Society offered bespoke underwriting and looked at each case individually. They aimed to enable homeownership for those who otherwise would find it difficult with more “mainstream” lenders.

In assessing this application, the underwriters were understanding of Tomasz’s situation and could ascertain that he was very responsible with his money both prior to and after falling into debt. Our underwriter’s had confidence that he would be able to fit our affordability requirements.

As such, he was granted an offer and the family were able to start afresh in their new home.

If you'd like to find out more about our Impaired Credit range, or any of the mortgage products we offer here at Buckinghamshire Building Society, contact one of our knowledgeable Key Account Managers. You can find yours here...

www.bucksbs.co.uk/intermediaries/find-your-key-account-manager/
intermediaries@bucksbs.co.uk
01494 879500