Kensington Mortgages Bad Credit High LTV Guide

Kensington Mortgages bad credit high LTV options are designed for people who don’t fit traditional bank criteria — whether that’s due to a small deposit, past credit problems or complex income. Kensington is known for its flexible, manual underwriting approach, which means real people assess your circumstances rather than relying on strict automated rules.

In this guide, we break down exactly how Kensington works, what credit issues they accept, how high their LTV products go, and how to improve your chances of approval.

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Why Kensington Mortgages Works Well for Bad Credit and High LTV Borrowers

Kensington specialises in helping applicants who fall outside the “perfect profile” lenders prefer. They regularly support:

• Borrowers with defaults or CCJs
• Applicants with completed or active DMPs
• Credit blips within the last few years
• First-time buyers with small deposits
• Self-employed and complex-income clients
• People declined by high-street lenders

Their flexible underwriting makes them one of the strongest lenders for anyone needing bad credit high LTV solutions.

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How High LTV Mortgages Work With Kensington

Kensington offers some of the most accessible high-LTV mortgages available:

Purchases

• Up to 95% LTV (5% deposit) on selected ranges
• Designed for first-time buyers and people with smaller deposits

Remortgages

• Up to 90% LTV
• Option to switch away from high variable rates
• Potential to consolidate debt in the right circumstances

Gifted Deposits

• Accepted from close family
• Ideal if your own savings are limited

High LTV borrowing is often available even if you’ve had historic credit problems — providing your recent financial behaviour is stable.

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How Kensington Mortgages Views Bad Credit

Kensington is far more flexible than mainstream banks. They consider:

• Defaults (especially if older or settled)
• CCJs (small or historic entries often accepted)
• Arrears (older arrears more acceptable than recent ones)
• Missed payments (depending on type and timing)
• Debt Management Plans (active or completed)
• Thin credit files

Your deposit size, income stability, and recent financial conduct all play major roles in the outcome.

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Deposit Requirements for Bad Credit and High LTV Cases

Here’s a simple rule of thumb:

• 5%–10% deposit: clean or near-clean credit
• 10%–15% deposit: light to moderate adverse
• 15%–25% deposit: recent or more serious credit issues

Even with adverse credit, many borrowers still qualify for high LTV options if the rest of the case is strong.

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How Kensington Assesses Affordability

Unlike automated lenders, Kensington uses manual underwriting — meaning a real underwriter assesses:

• Income consistency
• Employment or business stability
• Bank statement behaviour
• Existing debts and commitments
• Any credit issues and explanations
• Whether your deposit reduces risk sufficiently

This manual approach makes Kensington a strong option for anyone with complex or non-traditional income.

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Kensington Mortgages for Self-Employed and Contractors

Kensington is also known for supporting:

• Sole traders
• Limited company directors
• Contractors
• Freelancers
• CIS workers

They often look at the latest year’s income if things have improved, which many traditional lenders won’t do.

This makes them ideal for people with strong current income but imperfect historic records.

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Documents You’ll Need for a Smooth Application

To prepare for a Kensington application, you’ll need:

• Payslips or tax calculations
• Company accounts (if self-employed)
• Contractor agreements (if applicable)
• Three to six months of bank statements
• Proof of deposit (including gifted deposit documents)
• Explanations for any historic credit issues

Getting these ready early helps avoid delays and boosts approval strength.

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Why Kensington Might Decline an Application

Even with flexibility, declines can still happen due to:

• Very recent defaults or CCJs
• Unsettled arrears
• Large recent unsecured borrowing
• Severe bank statement issues
• Unstable income
• Deposit too small for the level of risk

If you’re unsure how your situation will be viewed, we can review your documents confidentially.

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Who Kensington Mortgages Is Best Suited For

You’re likely a good fit if you:

• Have mild to moderate adverse credit
• Have a 5–10% deposit
• Are self-employed or have complex income
• Are a first-time buyer needing manual underwriting
• Have been declined by a high-street lender
• Need a bad credit high LTV mortgage option

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How to Improve Your Approval Chances

To help strengthen your application:

1. Keep the last 3–6 months of credit behaviour clean
2. Avoid new borrowing before applying
3. Settle any small remaining credit issues
4. Keep overdraft use minimal
5. Save the strongest deposit you can
6. Prepare your documents early
7. Work with a broker familiar with Kensington’s criteria

We can guide you through all of this step-by-step.

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Final Thoughts

Kensington Mortgages is one of the most flexible and fair lenders for anyone needing bad credit high LTV solutions. Whether you’re rebuilding after financial hiccups or working with a smaller deposit, their manual underwriting and wide range of products make them a compelling choice.

This article provides general information only. For personalised guidance, regulated mortgage advice is required.