17 Apr 2022

How Do I Clear My Bad Credit History for a Mortgage?

Clear My Bad Credit History

Purchasing a home is a financial reality check for homebuyers. Lenders request several pieces of financial documentation. Plus, they examine the applicant’s financial position very closely. To qualify for a conventional mortgage, applicants must provide three months’ worth of bank statements and payslips. Plus, a 20% deposit.  Homebuyers who do not qualify for the conventional mortgage can qualify for others including bad credit home loans.

Home loans for bad credit have higher interest rates. Thus, the homebuyer benefits from improving their credit score leading up to the application process.  

Homebuyers who want to clear my bad credit history can. It takes a few steps and some time. Part of the delay comes from the reporting practices of the credit agencies and creditors. Once the homebuyer starts paying down revolving accounts, paying utility bills on time, and saving, their financial position improves. More importantly, the strategies also improve their credit score.

To clear bad credit history, complete a financial assessment. For example, do you spend less than you make? Next, do you pay your bills on time? Finally, have you maxed out revolving credits available to you?

One way to see your financial position through the eyes of a lender is to use an online calculator. Mortgage House provides several online calculators with no strings attached including our home loan calculator.

Clear My Bad Credit History Conclusion

Mortgage House encourages homebuyers to use strategies that clear their bad credit history. These steps help improve the borrowing capacity and power when they seek to finance a home purchase. To obtain more information, contact our loan specialists today.

Fast track your home loan
Apply Online Book a Call Back
133 144

Why Choose Mortgage House?

Award Winning

Experienced

Approachable

Innovative