Specialist lenders exist for exactly this reason. With the right advice, many people with poor credit — even recent missed mortgage payments — can still get a mortgage. If you’ve been turned down by your bank, it’s easy to assume the door is closed. It isn’t. High street lenders use strict automated scoring, but a whole market of specialist mortgage lenders looks at the story behind your credit file: what happened, when, how much, and what your finances look like now. Use our free mortgage finder →
What counts as “bad credit” for a mortgage?
“Bad credit” covers a wide range of situations — from a single late phone bill to bankruptcy. Lenders treat each one differently, and how recent it was usually matters more than what it was.
| Credit issue | What it means | Mortgage outlook |
|---|---|---|
| Low credit score | Often caused by thin credit history, high card balances or not being on the electoral roll. | ✓ Often fixable quickly |
| Late or missed payments | Payments made late or missed on cards, loans, phone contracts or utilities. | ✓ Many options, especially if 12+ months ago |
| Defaults | An account closed after several missed payments. Stays on file for 6 years. | ⚡ Depends on size, age & if satisfied |
| CCJs | County Court Judgment for unpaid debt (Decree in Scotland). Stays on file for 6 years unless paid within a month. | ⚡ Specialist lenders likely |
| Missed mortgage payments | Arrears on a current or previous mortgage or secured loan. | ⚡ Specialist — timing is key |
| Debt Management Plan (DMP) | An informal agreement to repay debts at a reduced monthly amount. | ⚡ Some lenders accept, even if ongoing |
| IVA | A formal, legally binding agreement to repay part of your debts. | ⚠ Limited — options grow once completed |
| Bankruptcy | A legal process to write off debts you can’t repay. Stays on file for 6 years. | ⚠ Limited — improves after discharge |
| Payday loans | Short-term, high-cost loans — even if repaid on time, some lenders dislike recent use. | ⚡ Usually fine if 12+ months ago |
Recency matters most
A default from five years ago is viewed very differently to one from five months ago. Most lenders care most about the last 12–24 months — and every month of clean payments since your last issue strengthens your application.
Looking for a mortgage with defaults, a mortgage with a CCJ or a mortgage with late payments? The same rule applies: the older, smaller and better explained the issue, the more mortgage lenders for bad credit you’ll have to choose from.
Can I get a mortgage with a low credit score?
Yes. Your credit score is a guide produced by each credit reference agency — but mortgage lenders don’t use that number. They look at the detail on your credit file and run their own scoring. That’s why one lender can decline you while another approves you on the same day.
| Agency (range) | Very poor / Poor | Fair | Good | Very good / Excellent |
|---|---|---|---|---|
| Experian (0–999) | 0–560 · 561–720 | 721–880 | 881–960 | 961–999 |
| Equifax (0–1,000) | 0–438 | 439–530 | 531–670 | 671–810 · 811–1000 |
| TransUnion (0–710) | 0–550 · 551–565 | 566–603 | 604–627 | 628–710 |
Bands as published by each agency — the numbers aren’t directly comparable. Mortgage lenders don’t see these “scores”; they see the data on your credit file and apply their own scoring. A “poor” score is not an automatic no.
A low credit score mortgage is often more achievable than people think, particularly if the low score comes from a thin credit history or high card usage rather than missed payments. Small, quick fixes — like registering on the electoral roll — can make a real difference.
Getting a mortgage after missed mortgage payments.
Missed mortgage payments (mortgage arrears) are the credit issue lenders take most seriously — because they show difficulty paying the very thing they’re lending on. But it is not the end of the road — a mortgage after missed payments is still possible. Lenders look closely at four things:
| What lenders consider | Why it matters |
|---|---|
| How recent | Arrears in the last 12 months narrow your choice. Beyond 24 months, many more lenders will consider you. |
| How many | A single missed month is viewed very differently to a long run of arrears or a pattern of late payments. |
| Are you up to date now? | Bringing the account up to date and keeping it clean since is one of the most powerful things you can do. |
| The reason | Redundancy, illness, bereavement or relationship breakdown — a clear explanation and evidence of recovery can help your case with specialist lenders. |
Remortgaging with mortgage arrears?
If your current deal is ending and you’ve missed payments, don’t let your mortgage roll onto a high standard variable rate without checking your options. Specialist lenders may consider you, and a remortgage with bad credit can still be possible — speak to an adviser before your deal ends.
How much deposit do I need with bad credit?
With good credit you can often buy with a 5% deposit. With adverse credit, a larger deposit reduces the lender’s risk and opens up more choice — and usually better rates. As a rule of thumb, the more recent or serious the issue, the more deposit you’re likely to need.
Indicative minimum deposit ranges by credit profile — every lender sets its own criteria. Illustrative guide only. How recent the issue is, how much it was for, whether it’s been settled and your overall affordability all matter. Some applicants will find options outside these ranges — this is where specialist advice makes the difference.
Rates on bad credit mortgages are usually higher than high street deals. The good news: many borrowers move to a mainstream lender at a lower rate when their fixed term ends, once their credit file has recovered.
Nothing is impossible: example scenarios.
Every credit file tells a different story. These illustrative examples show how situations that look hopeless at first can still have a route forward.
“I missed three mortgage payments after being made redundant.”
Arrears 18 months ago, now in a new job and fully up to date since. Several specialist lenders may consider this, particularly with a clear explanation and 15% equity or deposit.
“I have a £600 default from an old phone contract.”
Registered three years ago and now satisfied. Small, older, satisfied defaults can be accepted by a range of lenders — sometimes including mainstream ones.
“My score is ‘poor’ but I’ve never missed a payment.”
Often caused by a thin credit history or high card balances. Getting on the electoral roll and lowering card usage can quickly improve things — and some lenders will consider you now.
“I’m on a Debt Management Plan and have a CCJ.”
Some specialist lenders consider applicants with an active, well-conducted DMP, especially with a larger deposit. A satisfied CCJ usually counts in your favour.
Illustrative examples only — not real client cases. Outcomes depend on your individual circumstances and lender criteria.
How to improve your chances of approval.
- Check all three credit reports — Experian, Equifax and TransUnion. Lenders may use any of them.
- Correct any errors and make sure old debts are marked as settled or satisfied.
- Add a notice of correction to explain a one-off problem such as illness or redundancy.
- Register on the electoral roll at your current address.
- Build a clean track record — every month of on-time payments since your last issue helps.
- Keep card balances low and avoid payday loans and buy-now-pay-later.
- Don’t apply to lender after lender — multiple hard searches and declines can make things worse.
- Save a bigger deposit if you can — it widens your choice of lenders.
- Speak to a specialist adviser first — they can match you to the right lender before you apply.
Why use Mortgage Locator to find a bad credit mortgage broker?
Many specialist lenders only work through mortgage brokers, so going direct can mean missing the very lenders most likely to help. Mortgage Locator connects you with qualified, FCA-regulated bad credit mortgage brokers who understand adverse credit and know where to look.
Adverse credit experts
Get matched with an adviser who deals with missed payments, defaults, CCJs, DMPs and arrears every day.
Specialist lenders
Advisers can reach lenders that don’t deal directly with the public — the ones built for poor credit.
Fewer declines, less damage
Your adviser researches lender criteria first, so you avoid collecting hard searches and rejections.
An honest assessment
Understand exactly where you stand today — and what to do if you need a few months to get mortgage-ready.
Your story, told properly
An adviser presents your circumstances and explanation to the lender, not just a number.
A plan for the future
Start with a specialist deal and plan a move to a lower rate once your credit has recovered.
Your credit history is part of your story — not the end of it. Let Mortgage Locator help you write the next chapter.
Poor credit mortgage FAQs.
Can I get a mortgage with bad credit?
Can I get a mortgage after missing mortgage payments?
Will a bad credit mortgage cost more?
Can I get a mortgage with a CCJ or defaults?
How long after bankruptcy or an IVA can I get a mortgage?
Will checking my mortgage options hurt my credit score?
Can a first time buyer get a mortgage with bad credit?
Which mortgage lenders accept bad credit in the UK?
Should I use a bad credit mortgage broker?
Your home may be repossessed if you do not keep up repayments on your mortgage.
This guide is for general information only and does not constitute financial advice. Credit score bands are as published by Experian, Equifax and TransUnion. Deposit ranges and scenarios are illustrative and not guarantees of lending; every lender applies its own criteria, affordability checks and credit scoring. Rates for adverse credit mortgages are typically higher than standard products. Think carefully before securing other debts against your home. If you are struggling with debt, free and impartial help is available from MoneyHelper and StepChange.