Mortgages with CCJ

If you have a mortgage problem due to a CCJ, you need to know that you can solve this problem. CCJ mortgages are quite common. If you don’t know what a CCJ is, we’d have to assume it’s a good thing. It’s short for County Court Judgment and even if you don’t have a mortgage problem, you should keep reading because we can save you a lot of hassle later.

A CCJ is a sentence issued by the courts if you do not pay a contractual debt. Unsecured debt can file a CCJ against your home. They ask the court to issue a claim form. You will receive a copy of the CCJ once the court has processed it. It will detail the amount owed and will also detail the payment schedule. There is an appeal process you can file, or you must file an intake form saying you agree you owe the full amount. Never ignore court paperwork.

If you cannot make the payment, you will need to file an application with the courts and a hearing will be scheduled. If you ignore the CCJ, a number of things can happen, such as having such a charge placed against your property. If you pay the amount due, the CCJ will be removed from your property, but if you don’t, you could have a hard time renewing your mortgage and it will show up on your credit file for up to 6 years. However, if you pay off the debt within 30 days, it won’t show up on your credit score.

A CCJ is the only way a creditor can turn an unsecured debt into a secured debt. If you pay the amount due, you will be issued a Certificate of Satisfaction telling all creditors that you have taken care of your debt.

If you believe the CCJ filed in error, you should contact the County Court with the case number that will be on your credit file. If the error is legitimate, a Certificate of Cancellation will be issued. And, of course, as mentioned above, if you pay off the debt in less than 30 days from the issuance of the judgment, it will also be removed from the Registry’s Trust Records.

If there is a CCJ issued against your mortgage, you may have difficulty getting a renewal when it comes time to renew. High street lenders who use computer based credit scoring system will turn you down as a no. Other traditional lenders will not want to issue a mortgage if a CCJ has been placed on your property.

That means you’ll have to look outside of the box. Specialized financial lenders approach loans differently using real loan offers to access the situation, so even with a CCJ it is possible to obtain a mortgage from these institutes.

The biggest problem you face is time. If you know you have a CCJ against your property and you know your mortgage is coming up for renewal, don’t wait until the last minute to get financing. You are creating additional stress and pressure on yourself that you could avoid by applying early.

As mentioned above, you are less likely to be noticed by conventional lenders. However, if you’ve been dealing with the same bank for many years, there’s a chance you’ll get that personal touch. You can make an appointment with your loan officer and see what happens. You might see if they would add the CCJ to the mortgage amount, removing it and giving you a clean slate.

CCJ mortgages are very common because unsecured creditors have become aware of this method of recovering unsecured debt. Don’t let it ruin your credit.

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