Recently Settled CCJ Mortgage: Can You Still Get Approved?
A County Court Judgment (CCJ) can feel like a major setback when applying for a mortgage — even more so when the CCJ was only recently settled. While a CCJ is one of the more serious types of adverse credit, many applicants are still able to secure a mortgage once the debt is settled and financial conduct improves.
This guide explains how lenders assess a recently settled CCJ mortgage application, what matters most during underwriting and how you can strengthen your profile. This article provides general information only and does not offer regulated mortgage advice.
Does a Recently Settled CCJ Affect Mortgage Approval?
Yes — a recently settled CCJ will influence lender decisions. A CCJ remains on your credit file for six years, whether settled or not. However, a settled CCJ is always viewed more positively than an unsettled one.
When assessing your application, lenders consider:
- How recent the CCJ is
- Whether the debt is settled
- The size of the CCJ
- Whether other adverse credit exists
- Stability of bank statements
- Affordability and income consistency
A settled CCJ shows responsibility and financial recovery, but recency still matters.
How Recency Affects Mortgage Options
CCJ Settled Within the Last 6 Months
This is the most sensitive period.
Many high street lenders may decline due to recency, but some specialist lenders may consider.
CCJ Settled 6–12 Months Ago
Options improve, but applications may still require specialist underwriting.
CCJ Settled 12–24 Months Ago
Some mainstream lenders may consider depending on the rest of your credit file.
CCJ Settled Over 2 Years Ago
Many lenders see older settled CCJs as lower risk, especially when recent financial conduct is strong.
Why Settling a CCJ Helps
Although the CCJ stays on your credit file for six years, settling it demonstrates:
- Financial responsibility
- Reduced ongoing liability
- Stability and improved budgeting
- Ability to manage commitments
Lenders consider a settled CCJ more favourably than an outstanding one, regardless of age.
How Big Was the CCJ?
The value of the CCJ significantly affects lender decisions.
Under £500
Minor CCJs may be accepted sooner, especially if settled quickly.
£500–£2,000
Moderate CCJs require careful underwriting; recency matters.
£2,000+
Large CCJs typically require more time before high street lenders will consider the application.
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Some specialist lenders may assess large CCJs on a case-by-case basis.
How CCJs Appear on Your Credit File
Credit files show:
- CCJ issue date
- Amount owed
- Whether settled
- Settlement date
Lenders check these details alongside:
- Repayment history on other accounts
- Whether other debts were rising at the same time
- Recent credit behaviour
- Level of financial stability
A clear pattern of improvement helps offset the presence of a recent CCJ.
How Lenders Assess a Recently Settled CCJ Mortgage Application
Lenders consider several key areas beyond the CCJ itself.
1. Your Repayment Behaviour Since the CCJ
Underwriters look for:
- No new missed payments
- Consistent financial conduct
- Low or reducing credit utilisation
- No new adverse entries
A strong recent track record helps balance the CCJ’s recency.
2. Bank Statement Conduct
Lenders review 3–6 months of statements for:
- Overdraft reliance
- Returned direct debits
- Gambling transactions
- BNPL usage
- High discretionary spending
- Irregular payments
If your recent spending is steady and predictable, the CCJ becomes less influential.
3. Affordability Strength
Lenders assess:
- Income stability
- Outgoings and credit commitments
- Repayment-to-income ratio
- Financial margin after bills
A strong affordability profile increases lender confidence.
4. Deposit Size
The larger the deposit, the more flexibility lenders may offer.
Typical lender views:
- 5% deposit: Limited options with recent CCJ
- 10% deposit: Some specialist lenders may consider
- 15–25% deposit: Wider lender choice and improved chances
- 25%+ deposit: Many lenders more accepting of older settled CCJs
A higher deposit reduces lender risk and broadens product availability.
5. Whether Other Adverse Credit Exists
Lenders assess CCJs differently depending on additional issues such as:
- Defaults
- Missed payments
- Arrears
- Payday loans
- High utilisation
A CCJ combined with other recent adverse may require specialist lending.
Can You Get a High Street Mortgage With a Recently Settled CCJ?
It depends on:
- How long ago the CCJ was settled
- The size of the CCJ
- Whether it was an isolated event
- Your current financial behaviour
Many high street lenders require a minimum period between settlement and application — often 1–2 years.
However, some may consider sooner with strong affordability and a larger deposit.
When You May Need a Specialist Lender
A specialist lender may be more appropriate if:
- The CCJ was settled within the last 6–12 months
- The CCJ value was high
- More than one CCJ exists
- Other adverse credit is present
- Income is variable or complex
- Affordability margins are tight
Specialist lenders use manual underwriting and may accept applicants high street lenders decline.
How a Recently Settled CCJ Affects Mortgage Rates
A recent CCJ can:
- Increase interest rates
- Limit your lender choice
- Require higher deposits
- Affect maximum borrowing levels
As the CCJ ages, the impact on rates usually reduces.
Common Scenarios
Scenario 1: CCJ settled 3 months ago, no other adverse
Specialist lenders may consider; high street lenders unlikely.
Scenario 2: CCJ settled 12 months ago, now stable
Some high street lenders may consider with strong affordability.
Scenario 3: CCJ settled 2 years ago, clean recent file
Many lenders may offer competitive products.
Scenario 4: Multiple CCJs but all settled
Likely to require specialist lending, depending on recency.
Scenario 5: Small CCJ settled quickly
Often viewed as lower risk and accepted sooner by some lenders.
How to Strengthen Your Application (General Information Only)
Applicants often choose to:
1. Keep all payments up to date
Recent behaviour is a major factor.
2. Reduce existing credit balances
Improves affordability and reduces perceived risk.
3. Maintain stable bank statements
Avoid overdraft use and irregular transactions.
4. Allow time to pass after settlement
The CCJ’s impact naturally reduces over time.
5. Avoid new credit applications
Reduces the number of credit searches.
6. Build a larger deposit
Expands lender choice and may reduce rates.
7. Check credit reports across all agencies
Ensure the CCJ is correctly marked as settled.
These are general considerations and not regulated advice.
Summary
A recently settled CCJ mortgage application is often still possible, but lender choice depends on:
- Recency of the CCJ
- Whether it was an isolated event
- Size and severity
- Deposit strength
- Financial stability since settlement
- Overall credit profile
Most lenders become more flexible as the CCJ ages, and a settled CCJ is always preferable to an outstanding one.
This article provides general information only. For personalised guidance, regulated mortgage advice is required.
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Important information: Mortgage Bridge provides information only and acts as a mortgage introducer. We do not provide mortgage advice or make lender recommendations. We can introduce you to an FCA-regulated mortgage adviser who can provide personalised mortgage advice.