Can You Get a Mortgage with a Default?

If you have a default on your credit file, you might be wondering if you can still get a mortgage. The short answer is yes — it is absolutely possible, but the outcome depends on the age of the default, whether it’s been satisfied, your deposit, and your recent financial behaviour.

In this guide, we explain everything you need to know about getting a mortgage with a default, including lender rules, deposit requirements, and what you can do to improve your chances.

Let’s break it down clearly.


Can you get a mortgage with a default?

Yes — many lenders will consider applicants with defaults, even recent ones.
However, the type of lender and deposit required will depend on:

  • How old the default is
  • Whether it’s satisfied
  • The amount of the default
  • Your overall credit history
  • Your income and affordability
  • Your bank statements

While many high-street lenders decline applications with recent defaults, specialist lenders are far more flexible.
This is something we help clients with every day at Mortgage Bridge.


How old is the default?

This is one of the biggest factors.

Defaults less than 12 months old

Lender choice is more limited, but mortgages are still possible — usually with a larger deposit.

Defaults 12–24 months old

Options improve. Some specialist lenders begin opening up, especially if the default is satisfied.

Defaults 2–3 years old

Most adverse-friendly lenders will consider your application.

Defaults 3–6 years old

Your options widen significantly, especially if you’ve had clean credit since.

Defaults older than 6 years

Defaults drop off your credit file entirely, and most lenders will treat you like any other applicant.

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Where your default sits in these brackets makes a big difference to your available choices.


What types of defaults do lenders consider?

Lenders look at both the type and the context of your default.

More flexible (often accepted):

  • Communications defaults (phone, broadband)
  • Old, low-value defaults
  • One-off issues caused by life events (illness, redundancy, separation)

More sensitive:

  • Banking-related defaults
  • Credit card defaults
  • Loan or finance defaults
  • Multiple defaults across different accounts

Some lenders treat smaller communications defaults more lightly, especially if older than 12 months.


Do defaults need to be satisfied?

Not always — but it helps.

Satisfied defaults

These often open more lender options and may reduce the deposit required.

Unsatisfied defaults

Some lenders still consider them — especially if the default is older than 12–24 months.

If you’re unsure whether paying off the default will help your mortgage chances, we can advise on the best approach based on your situation.


How much deposit do you need if you have a default?

Deposit requirements vary depending on how old the default is and your overall profile.

Typical deposit ranges:

  • Defaults under 1 year old: 15–25%
  • Defaults 1–2 years old: 10–20%
  • Defaults 2–3 years old: 10–15%
  • Defaults 3–6 years old: 5–10%
  • Older than 6 years: Standard 5%

Can you get a mortgage with a default from 5%?

Yes — some lenders accept defaults with a 5% deposit, especially if:

  • The default is over 2–3 years old
  • It’s small
  • It’s satisfied
  • Your recent credit history is clean

This is important:
Bad credit mortgages can start from 5% deposit in the right circumstances, though many lenders begin at 10–15% for more recent issues.

If you’d like us to calculate your likely deposit bracket based on your credit report, we can help.


What if you have multiple defaults?

Multiple defaults don’t automatically mean a decline.

Lenders will look at:

  • The total number of defaults
  • Their combined value
  • How old they are
  • Whether they’re satisfied
  • Your overall affordability and stability

It’s not unusual for clients with several defaults to secure a mortgage, especially if the issues are older or caused by a single event (e.g., redundancy or separation).


Can you get a mortgage with a default and other credit issues?

Yes — but lender choice becomes more specialist.

Additional credit challenges may include:

  • CCJs
  • Missed payments
  • Debt Management Plans
  • Payday loans
  • Previous IVA or bankruptcy

If this applies to you, options still exist, but the deposit and interest rates may be higher.
See our guides on DMPs and bankruptcy for more detail.


Does the size of a default matter?

Yes — lenders take the value into account.

Under £300

Many lenders are more relaxed.

£300–£1,000

Still acceptable to many specialist lenders.

Over £1,000

More difficult with high-street lenders, but specialist lenders remain an option.

Multiple large defaults

Deposit requirements will rise, but it’s still possible.


How do lenders assess your application if you have a default?

Lenders focus on:

1. Your bank statements

They want to see:

  • Sensible spending
  • No repeated overdraft reliance
  • No recent missed payments
  • Stability in income and outgoings

We cover this in detail in our bank statements guide.

2. Your current credit behaviour

Recent missed payments carry more weight than an old default.

3. Your deposit

A larger deposit reduces risk and increases lender choice.

4. Affordability

Your income must comfortably support the mortgage repayments.


Can you get a mortgage with a default on one income?

Yes — affordability is assessed the same as any other applicant.

You may find our guide on getting a mortgage on one income helpful if this applies to you.


Should you wait before applying?

Not always.

Sometimes waiting six months for the default to age can help.
Sometimes applying now with a specialist lender makes more sense — especially if rates or house prices may rise.

We can help you work out the best timing based on your circumstances.


Key Takeaways

  • It is possible to get a mortgage with a default
  • The age of the default makes a big difference
  • Many lenders accept defaults older than 2–3 years with a 5–10% deposit
  • Recent defaults are still possible but need larger deposits
  • Satisfied defaults usually give you more options
  • Lender choice increases significantly the older the issue becomes

Final Thoughts

A default doesn’t need to stop you from getting a mortgage. With the right lender and the right preparation, many people secure approval even with recent credit issues.

At Mortgage Bridge, we specialise in helping applicants with defaults, credit challenges and complex situations.
We’ll guide you clearly and confidently through each step.

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