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Scottish Trust Deed Forum
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Topic starter
05/12/2019 10:50 am
Hi,
Myself and partner both are in trust deeds, due to end April 2021.
I've not long moved from a high rise to a 3-bed house (rented from my father at the same payment rates as council flat) but he's hoping we're able to buy once our finances are in order.
Question I'm wondering is, how easy is it to get a mortgage after a Trust Deed.. as it's only about 18months left of the Trust deed, between myself and my father we've talked about a 5 - 6 year gauge for getting one (including saving a deposit etc).. If it were 5yrs time from today, is that a suitable timeline or should I be aiming for longer? He's reluctant to go longer as he's using this as his retirement for when the time comes.
Thanks,
05/12/2019 1:06 pm
Welcome to the forum gibbo8907.
The longer ago your trust deed ended, the more mortgage products tend to be available (and the better terms they tend to be offered on).
For example, there are very few mortgage lenders that will lend within two years of getting discharged. As you reach the two year point, the three year point etc there are likely to be more mortgage lenders prepared to consider your application.
A completed trust deed is just one relevant factor here. The assessed affordability of the mortgage you want, and size of deposit you can put down, are two more really significant factors. With previous bad credit, mortgage products may demand a larger deposit.
One other thing to bear in mind is that the mortgage market is constantly changing. Attitude to risk and general mortgage availability could be much better or much worse by the time you're ready to apply.
A five or six year plan seems potentially viable though (as things stand currently).
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
05/12/2019 3:26 pm
Hi thanks for the welcome 🙂
Thanks for the information there too.
With the trust deed finished in 18months, I'd be correct in saying that my credit report will be clear off all notice of the trust deed and accounts that were in default?
Thanks,
05/12/2019 4:49 pm
Hi gibbo8907.
If you haven't already, I'd suggest having a read of the following page which covers a number of these issues:
https://www.trust-deed.co.uk/repair-your-credit-rating.html
Anything that goes on your credit file stays there for six years (then vanishes). Your trust deed will no longer be on your credit report six years after it began.
Six years after a default notice has been issued, an account should vanish from your credit report. Default notices should have been issued on dates no later than the start of your trust deed, but often they're issued later. You may have to contact some lenders to require them to backdate any notices issued after your trust deed began.
Many mortgage applications require the disclosure of previous insolvencies, so what's on (or off) your credit report is only part of the picture.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
