Adverse Credit and Mortgages: More Options Than You Think

10 Sep 2026 · 4 min read

A CCJ or missed payment history doesn't automatically close the door on a mortgage. Specialist lenders exist — and we know who they are.

What counts as adverse credit?

Adverse credit covers a spectrum: a single missed payment, a default, a County Court Judgement (CCJ), an Individual Voluntary Arrangement (IVA), or bankruptcy. Not all of these are equal in a lender's eyes. A missed payment two years ago on a phone bill is very different from a CCJ registered in the last 12 months. The type, amount, recency, and number of items on your credit file all affect what products are available.

Do specialist lenders actually exist?

Yes — and there are more than you might think. Several well-established lenders operate specifically to serve borrowers with non-standard credit histories. They apply their own assessment criteria rather than relying solely on automated credit scores, and they assess the full picture: the explanation for the adverse credit, what has happened since, your current income, and the property. We work with these lenders regularly on behalf of clients.

What can you expect in terms of rates and LTV?

Rates for adverse credit mortgages are typically higher than prime products, though the premium has narrowed in recent years as competition in this market has increased. LTVs are often capped at 75–80%, meaning a larger deposit or more equity (if remortgaging) is generally required. As your credit file improves over time, you'll typically be able to access progressively better deals — we advise on timing for this review.

What can you do to improve your position?

Registering on the electoral roll, closing unused credit accounts, and settling any outstanding defaults or CCJs can all help. An explanation letter — contextualising the adverse credit and demonstrating that circumstances have changed — can be submitted alongside applications to specialist lenders. Getting advice before applying also matters: a failed application leaves a search footprint on your credit file and can make subsequent applications harder.

Have questions about your situation? Our team offers a free, no-obligation consultation — no upfront fees, just straightforward advice.

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