Another Tricky Scenario - Credit defaults
Another Tricky Scenario - Credit defaults Scenario: -Client wanted to purchase an Owner Occupied home at 90% LVR in Sydney. Issues: -Her credit report showed prior home loan repayment issues within the last 12 months. -Credit report actually showed an X, which meant this facility was more than 180 days in arrears. -She had an Investment property with someone else that was in a location that struggled through Covid. It was not tenanted for a long period of time and they fell behind on repayments with their lender. -The property was finally sold and debt cleared but clients credit file was heavily impacted. Solution: -The investment mortgage had been repaid, so there were no debts outstanding. There was no defaults or judgements listed, and some lenders like Bluestone don't credit check any past debts. -This was a Prime lending loan with Bluestone. -She had been renting, so her last 6 months tenancy ledger was provided for character to repay. No statements or history was need...