Bad Credit Mortgage UK: How to Get Approved (Even With No Credit History)

Last updated: 11 July 2026

Yes, you can get a mortgage in the UK with bad credit, and yes, you can get one with little or no credit history too. A missed payment, a default, an old CCJ, even a past bankruptcy, none of these automatically shut the door. More than 15 million UK adults have some form of adverse credit on their file, and specialist lenders exist precisely for cases the big high-street banks turn away.

You won’t read that on every high street bank’s website, because the big lenders lean heavily on automated credit scoring, and a low or messy score often earns an instant no. But they aren’t the whole market. If your credit history has picked up a few bruises, or barely exists at all, you’re in very common company.

This guide covers both sides of the coin: getting a bad credit mortgage, and getting one with little or no credit history. What lenders look at, how much deposit you’ll realistically need, how different credit issues are treated, and the practical steps that swing an application your way.

 

Can you get a mortgage with bad credit?

Yes. There’s no minimum credit score you must hit to get a UK mortgage, partly because there isn’t one universal score in the first place. Each lender sets its own rules and its own appetite for risk, so a profile that one bank rejects on sight, another will happily consider.

What bad credit really changes is the shape of the deal, not whether a deal exists. You’ll usually have a smaller pool of lenders, you may pay a higher rate, and you’ll often need a bigger deposit. If your credit issues were minor and happened years ago, a mainstream lender might still say yes. If they’re recent or more serious, a specialist lender is likely to be the route. Either way, buying now rather than waiting means you start building equity sooner, and you can often remortgage to a cheaper mainstream deal later once the black marks drop off.

What actually counts as bad credit?

Not all adverse credit is treated the same. Lenders quietly rank it, from mild blips they’ll barely blink at, to serious events that narrow your options a lot. Roughly in order of severity:

• Late or missed payments on things like a phone bill, credit card, or loan. A late utility payment is minor. A missed mortgage payment is not.
• Defaults, where an account was closed because you stopped paying. How recent, how large, and whether it’s now settled all matter.
• County Court Judgments (CCJs) for unpaid debts. Easier to work with once paid off or older.
• Debt Management Plans (DMPs), an informal arrangement to repay debts over time.
• Individual Voluntary Arrangements (IVAs), a formal, legally binding version of the above.
• Bankruptcy and Debt Relief Orders, the most serious, though not the end of the road once discharged.
• Repossession, which lenders treat cautiously and which takes time and a solid deposit to move past.

Most of these stay on your credit file for six years from the date they’re recorded, after which they drop off and stop counting against you. The three UK credit reference agencies, Experian, Equifax, and TransUnion, all hold their own version of your file, so it’s worth checking each.

How lenders decide: the three things that matter

When a specialist lender looks at adverse credit, three questions drive almost everything:

1. How serious was it? A missed catalogue payment sits worlds apart from a bankruptcy.
2. How recent was it? This is the big one. Many lenders want to see nothing new in the last three to six months, and the further in the past your issues are, the more relaxed they become.
3. How much was involved, and is it settled? A small, paid-off default barely registers with some lenders. Several large, unsatisfied ones are a harder sell.

On top of that sits the same affordability check everyone faces: can you comfortably cover the repayments alongside your other commitments? A strong, stable income does a lot of heavy lifting here and can offset a patchy credit past.

Deposit and rates: what to expect

Be ready for two things with a bad credit mortgage: a larger deposit and a higher rate. Where a clean applicant might get away with 5% or 10% down, adverse credit often means putting down more, sometimes 15%, 20%, or 25%, depending on how recent and serious the issues are. A bigger deposit lowers the lender’s risk, widens your choice of lenders, and can soften the rate.

As a rough steer, the more recent or numerous your credit issues, the more deposit you’ll need to balance them out. With older, settled marks you’ll find lenders willing to work with a smaller deposit. Rates will sit above the best high street deals to reflect the added risk, and they move with the wider market, which is driven largely by the Bank of England base rate. The smart play is often to take a shorter fixed deal with a specialist lender now, then remortgage onto a cheaper mainstream rate once your adverse credit has aged past the point where lenders care. To sketch out the numbers, our mortgage calculators are a useful starting point.

What if you have no credit history?

Here’s the twist that catches people out. Having no credit history can be just as tricky as having bad credit, sometimes trickier. Around one in ten UK adults has little or no credit record, and if a lender can’t see any evidence of you borrowing and repaying, they’ve got nothing to judge you on. A blank file gets the silent treatment.

There are plenty of innocent reasons for a thin file. You’ve just turned 18, you’ve always paid for everything in cash, you live with family with no bills in your name, or you’ve recently moved to the UK, since overseas credit history doesn’t transfer over. None of it means you’re a bad borrower. It just means lenders can’t see proof yet.

With a thin file, expect some lenders to cap how much they’ll lend, occasionally at two or three times your income rather than the usual four and a half to five, and to ask for a larger deposit. The good news is that specialist lenders and smaller building societies often use manual underwriting, where a real person reviews your income, bank statements, and rent record rather than a computer scoring a blank file. Consistent on-time rent, a stable job, and a healthy savings habit all count as evidence you’re reliable. Some newer lenders even use Open Banking to read your account activity directly.

If you’re not in a rush, building a bit of history first pays off. Since your file is nearly empty, even six to twelve months of responsible activity moves the needle. Register to vote at your address, get a credit-builder card and clear it in full each month, put a utility bill or phone contract in your name, and set up direct debits. Keep your card usage well below the limit while you’re at it. One more option worth knowing: a Joint Borrower Sole Proprietor mortgage lets a family member go on the loan (boosting the overall profile) without going on the property’s deeds. (boosting the overall profile) without going on the property’s deeds.

Mortgages by credit issue

A quick tour of how the common issues tend to be treated. None of this is a promise, since criteria vary by lender, but it gives you a feel:

Defaults. Very workable, especially once settled. Some lenders overlook small defaults from mobile providers entirely, and older defaults (typically over two or three years) open up more options, particularly with a 10% to 15% deposit.

CCJs. A paid CCJ is far easier than an outstanding one. The older it is, the less it weighs, and with a reasonable deposit plenty of lenders will still consider you.

DMPs and IVAs. Some lenders will look at you while you’re still in an arrangement, though many prefer it settled or a year or two into good conduct. A specialist adviser will know who does what.

Bankruptcy. Harder, but not permanent. Most lenders want you discharged (usually for a few years) before they’ll consider you, and a larger deposit helps. Once it drops off your file after six years, your options widen considerably.

Repossession. The toughest to move past. Lenders want distance from the event and a solid deposit, but even here specialist options exist over time.

Because the picture shifts so much with recency and deposit, the single most useful thing you can do is pull your credit report and let an adviser tell you exactly where you stand, and when.

How to boost your chances

Whether your issue is bad credit or no credit, the prep is similar and none of it is complicated:

1. Check all three credit reports. Pull your file from Experian, Equifax, and TransUnion and fix any errors. Mistakes are common and can cost you.
2. Get on the electoral roll. It’s quick, free, and lenders use it to confirm your identity and address.
3. Stay on top of everything now. Pay every bill on time, bring balances down, and keep credit usage low. Recent good behaviour counts.
4. Save the biggest deposit you can. This is the strongest lever you’ve got. More deposit means less lender risk, more choice, and better rates.
5. Don’t apply for new credit in the run-up. Avoid fresh credit applications in the three months or so before your mortgage, since a flurry of searches looks like financial stress.

Specialist lenders and why a broker matters

This is where a bad credit application is won or lost. A big share of the most flexible, competitive lenders don’t deal with the public at all; they only lend through brokers. So if you’re applying direct to the high street, you’re not even seeing the lenders most likely to say yes.

Just as important: don’t keep firing off applications. Every rejection leaves a mark, and a string of them makes the next lender warier still. A broker matches your exact situation to lenders whose criteria fit, so you apply once, in the right place. Worth knowing too, every UK mortgage lender is authorised and regulated by the FCA, and you’re protected by the Financial Ombudsman and the Financial Services Compensation Scheme no matter how unfamiliar the lender’s name. An Agreement in Principle also uses a soft credit check, so you can gauge your chances without denting your file.

Struggling with debt? Get free help first

How UK Mortgage Finder can help

Bad credit and thin-file mortgages are exactly the kind of case where the right introduction makes all the difference. UK Mortgage Finder is a free service that connects you with FCA-authorised mortgage advisers who work with adverse credit and no-credit applicants every day, and who know which specialist lenders to approach for your situation.

Rather than guessing, applying, and collecting rejections, you get matched to lenders whose criteria actually fit your credit history, income, and deposit. There’s no cost, no obligation, and no wasted hard searches. If there’s a way to make your application work, an adviser will find it, and if the smart move is to wait a few months and prepare, they’ll tell you that too.

Frequently asked questions

Can I get a mortgage with bad credit?
Yes. There’s no minimum credit score for a UK mortgage. You’ll likely have fewer lenders, a higher rate, and a larger deposit, but specialist lenders work with adverse credit all the time.

What credit score do I need for a mortgage?
There’s no single magic number, and no universal score. Lenders set their own criteria and look at your whole picture, including income, deposit, and how recent your credit issues are.

How long do I have to wait after a default or CCJ?
It depends on the lender, the amount, and whether it’s settled. Older, paid issues are easier, and most marks drop off your file after six years. Some lenders accept defaults from mobile providers almost immediately.

Can I get a mortgage after bankruptcy?
Often yes, once you’re discharged. Many lenders want a few years to have passed and a larger deposit. After six years the bankruptcy leaves your file and your options widen.

Can I get a mortgage with no credit history?
Yes, though you may face a larger deposit and capped borrowing. Specialist lenders using manual underwriting can assess your income, rent record, and bank statements instead of a credit score.

How can I build credit history for a mortgage?
Register to vote, get a credit-builder card and clear it in full monthly, put bills in your name, and set up direct debits. Six to twelve months of responsible activity makes a real difference.

Will a bad credit mortgage cost more?
Usually. Expect a higher rate and possibly higher fees to reflect the added risk. You can often remortgage to a cheaper mainstream deal later once your credit has improved.

Should I apply to lots of lenders to improve my odds?
No. Multiple applications and rejections damage your credit further. Apply once, in the right place, ideally through a broker who can match you to a suitable lender.

Does my overseas credit history count in the UK?
Generally not. If you’ve recently moved to the UK you’ll usually need to build a local credit record, though some specialist lenders will consider overseas reports or focus on your income.

The bottom line

Bad credit, or no credit at all, doesn’t have to keep you renting. The high street may not be your first stop, but the wider market is full of lenders who look past the headline score and weigh up your whole situation. Pull your credit reports, tidy up what you can, save the biggest deposit possible, and, above all, apply through the right lender the first time.

If you’d like to know exactly where you stand and which lenders might say yes, UK Mortgage Finder can connect you with a specialist adviser, for free and with no obligation.One more option worth knowing: a Joint Borrower Sole Proprietor mortgage lets a family member go on the loan (boosting the overall profile) without going on the property’s deeds.

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Further reading

• Can You Get a Mortgage With Credit Card Debt?
• Debt Consolidation Mortgages in the UK
• Self-Employed Mortgages
• Home Mover Mortgage Guide
• Mortgage Calculators