Mortgage with bad credit rating

Confucius say

So I moved abroad for 3 years and never paid off a credit card I had at the time, I thought I owed barely anything on it but it turns out its 400€ or so. Anyway the ICB check I did online showed nothing on record but KBC just rejected my mortgage application over this. I can pay it off now no problem but I guess it will still be on file. Is there any way of getting a mortgage now? Or do I have to wait 5 years after its paid off? My parents said they'll speak with their bank manager when they're in the country and try and go as guarantors or something but is that even a thing you can do? With the current rent prices and trying to do this on my own I'm in a bit of a bad situation don't really have anywhere to live for 5 years! Thanks for reading.

phormium

Is it on your ICB or not, did you get the correct report, all addresses etc? It must be there if KBC have rejected your application based on it.

In this case I would suggest trying a broker who may know which banks would be more open to an explanation of the reasons why it occurred.

I don't think banks are that interested in guarantors any more, maybe if they have big income, not if it is just their house they are putting up as security.

Confucius say

If it goes by address that makes sense as the credit card was registered to a different address back then. But I got a letter after applying online from the icb saying my record was empty. I looked at a couple of brokers online just now but they all say they can't help anyone with bad credit rating! Hard to believe such a small amount can cause these problems!
The rents are so high right now too but I guess I don't have a choice.

phormium

Ring a broker or two, your bad credit is not as bad as it could be, worth a phone call at least.

Confucius say

Ok will do tomorrow. Do you think bad credit is ever excused?

phormium

All depends. Most banks have a fairly strict 'computer says no' policy with any blip on your credit rating. But a broker might know what bank would at least look at one where the blip is as you say what you thought was at most a small balance o/s when you moved abroad. This is a fairly minor infringement if all is as you say.

Although mind you would you not have thought of checking what was owing when you were moving? What did you think was going to happen an outstanding balance? Kind of like you thought it would just be forgotten about! That's the first questions the bank will ask. You will need a good explanation.

Confucius say

I don't really have an excuse. I was 5 years younger and thoughts of mortgages were the last thing on my mind but I thought it was only 80€ or something and it was 5000 at one stage which I paid back. I can't really think of a valid excuse.