How Remortgaging Helped This Couple Secure a New Home Despite Adverse Credit

Meet the Clients

A middle-aged professional couple from the South of England recently found themselves at a pivotal financial and personal crossroads. Having successfully sold their previous home and had an offer accepted on a new property, they were ready to move forward — but securing a mortgage with adverse credit history presented a major obstacle. This is where the Barclays adverse credit remortgage came into play.

The Challenge: Obtaining a Mortgage with Credit History Problems

Although financially stable, the couple had a historic adverse credit entry on their file. Their previous mortgage was with Birmingham Midshires, which only offers Buy to Let products and could not assist them with a new residential mortgage. They wanted:

• A 20-year term ending at the husband’s planned retirement age
• A 5-year fixed mortgage product
• Reassurance of working with a reputable high street lender
• Flexibility in case interest rates dropped in the near future

Unfortunately, several top lenders — including Nationwide, HSBC, and Virgin — would not accept their credit profile, and smaller or specialist lenders were seen as less desirable by the couple due to brand unfamiliarity or higher interest rates.

The Mortgage Solution We Provided

After a detailed fact-find and credit assessment, Barclays Bank was identified as the most suitable lender. Their mortgage product met all the couple’s requirements, including criteria around adverse credit. Our solution was not just any remortgage; it was a Barclays adverse credit remortgage that fitted their needs perfectly.

Key Mortgage Features:

• Lender: Barclays Bank
• Mortgage Type: Capital & Interest Repayment
• Interest Rate: 4.16% fixed until December 2027
• Loan Amount: £115,799
• Mortgage Term: 20 years

Importantly, Barclays offered a flexible mortgage with no fees for arrangement or valuation. The product also allowed 10% overpayments per year and could be ported if needed. An early repayment charge of 2% applies until December 2027, but the couple confirmed they do not intend to repay within that period.

Why This Product Was Right for Them

• Affordability: Initial monthly payments of £711.67 were within their budget, even after accounting for future rate increases.
• Lender Reputation: As a well-known high street name, Barclays gave the clients added confidence.
• Credit Criteria: Barclays accepted their profile, where many other comparison lenders did not. The decision to pursue a Barclays adverse credit remortgage ensured their credit history posed no issue.
• Valuation & Legal Costs Kept Low: Legal fees of just £126 and waived valuation fees helped keep moving costs manageable.

Financial Impact:

By selecting a 20-year term instead of shortening it to match their previous 5-year remaining mortgage term, they reduced their monthly repayments significantly. Though this could lead to higher total interest over the life of the loan, it provided the manageable monthly payments they needed to maintain a stable standard of living pre-retirement.

Client Testimonial

“We were worried our credit history would block us from moving into our dream home. The team helped us find a lender that accepted our profile and explained every step in a way that made us feel confident and informed.”

Frequently Asked Questions (FAQs)

Can I remortgage with bad credit?

Yes, but your options may be limited to lenders who specialise in or accept specific types of adverse credit. A Barclays adverse credit remortgage can offer those with diverse credit histories favourable options. We help match you with lenders who consider your full financial situation.

Does remortgaging affect my credit score?

Applying for a remortgage can involve a credit check, which may temporarily impact your credit score. Long-term, responsible repayment may improve your score.

How long does a remortgage take to complete?

A typical remortgage can take between 4–8 weeks. Our in-house progression team works to ensure as fast and smooth a completion as possible.

Can I repay a fixed-rate mortgage early without penalties?

Most fixed-rate deals include Early Repayment Charges (ERCs). In this case, the charge is 2% of the remaining balance up to December 2027. Always check your terms.

What documents do I need to apply for a remortgage?

You will typically need to provide proof of income, bank statements, identification, and details about existing debts and credit history.

Secure Your Ideal Mortgage — Even with Adverse Credit

Whether you’re looking to remortgage to repay debt, move home, or manage repayments better, we can help you find solutions that match your real-life circumstances. Even with credit issues, our team can guide you to a competitive and flexible product.

Ready to explore your remortgage options? Get in touch with our trusted mortgage specialists today.