Adverse Credit Mortgage

Adverse mortgages are known by many names, depending on the lender. Within the mortgage trade they may be known as non-conforming or sub-prime mortgages, in contrast with the standard mortgages for people with no credit problems. You will also hear an adverse credit mortgage called a credit impaired mortgage, a non status mortgage, a bad credit mortgage or a non standard mortgage. They all indicate the same kind of mortgage product - a mortgage that was designed for people with impaired credit.

If you are applying for an adverse credit mortgage, the chances are that you will have previous mortgage arrears or rent arrears in your credit history. You may have had County Court judgements (CCJs). You may have entered into an individual voluntary arrangement (IVA), or your credit history may include bankruptcy.

There is also another group of people who qualify for an adverse credit mortgage. If you are self employed, self cert mortgages may be the only possible way for you to obtain a mortgage for your home, and this type of mortgage is often considered under the same banner as the adverse credit mortgage