Bad credit can not stop you from availing a home mortgage loan

Author: Pranav Pratyush Das

Purchasing a home is no longer a difficult task for most of us. There are a number of creditors in the market who provide cheap mortgage loans for the purpose of buying a house. But, the difficulty occurs when you are facing the problem of bad credit record. Lenders hesitate to provide mortgages to people with bad credit history.

Bad credit record essentially means that you have been unable to pay back your loans, you might have credit card dues on you, you might have arrears dues, you might have faced Country Court Judgements (CCJs) or you might have declared bankrupt. In such cases it becomes very difficult to get a mortgage loan. But you do not need to lose your heart despite of all this because there are still many creditors who provide mortgage to bad credit borrowers.

Since a BAD CREDIT MORTGAGE is a kind of secured loan, the rate of interest charged on such a loan is comparatively low. Rather the rates of interest are competitive and the monthly installments are small. It depends a lot on the creditor as to what plan he has offered you. Some creditors have flexible repayment options for bad credit borrowers also.

Even in a bad credit mortgage you have two options available before you. You can either choose a fixed rate mortgage or a variable rate mortgage. The difference between the two is that in the fixed rate mortgage the interest rate once fixed is permanent for the whole life span of the loan. On the other hand in a variable rate mortgage the rate of interest fluctuates with the variations in the base rate of Bank of England.

So, if you are facing a bad credit problem and planning to buy a house, just find a suitable deal on the Internet. By filling an online loan application form you can start the process of procuring the mortgage loan. These days lenders are quite fast in providing loans as some of them give you the loan amount in less than a week's time.

For further reference visit: http://www.first-mortgage-from-c4f.co.uk

About the author: The author is a business writer specialising in finance and credit products and has written authoritative articles on the finance industry.