A default is registered on your credit file when you've significantly fallen behind on payments to a creditor. This typically happens after 3-6 months of missed payments, when the lender closes your account and registers the default. Once registered, a default stays on your credit file for 6 years and can significantly impact your ability to borrow.

A default on your credit report is a formal record that you failed to maintain payments on a credit agreement. When you miss payments for an extended period (usually 3-6 months), the lender issues a default notice and closes your account. This default is then registered with all three UK credit reference agencies - Experian, Equifax, and TransUnion.

Defaults are different from simple late payments. A late payment shows you paid after the due date, while a default indicates the agreement was terminated due to non-payment. Defaults are one of the most serious adverse credit markers, but they don't prevent you from getting a mortgage with the right approach. For detailed information on removal, see our guide to removing defaults from your credit file.

Defaults stay on your credit file for exactly 6 years from the date the default was registered. This 6-year rule applies to all types of defaults - whether for credit cards, loans, mobile phone contracts, or utility bills. After 6 years, the default is automatically removed by the credit reference agencies.

Crucially, the 6-year countdown starts from the original default date, not when you pay it off. Paying a default marks it as "satisfied" on your credit file, which improves how lenders view it, but doesn't remove it early.

For mortgage purposes, the age of a default matters significantly. Defaults over 3 years old are viewed much more favourably than recent ones. Have questions about your specific situation? See our quick answer on getting a mortgage with defaults.

A default causes a significant drop in your credit score - often 100-200 points or more when first registered. This is because credit scoring models treat defaults as one of the most serious indicators of credit risk. Multiple defaults compound the impact.

The good news is that credit scores recover over time. As defaults age and you maintain good financial behaviour, your score will gradually improve. Satisfying the default and keeping current accounts in good standing accelerates this recovery.

For mortgage applications, many specialist lenders look beyond the raw credit score to the underlying circumstances. They consider when defaults occurred, whether they're satisfied, and your recent payment history rather than just a number.

Many specialist mortgage lenders consider applications from borrowers with defaults. These lenders have specific criteria around the type, age, and value of acceptable defaults:

A specialist mortgage broker can match your specific situation to the right lender and present your application in the best light.

Yes, you can absolutely get a mortgage with defaults on your credit file. While high street banks may decline applications with recent defaults, specialist lenders have been designed specifically to help borrowers in this situation. Your eligibility depends on several factors including the age of defaults, whether they're satisfied, and your current financial circumstances.

Many people wonder "will I get a mortgage with defaults?" and the honest answer is that most borrowers with defaults can find suitable options. The key is understanding which lenders will consider your application and presenting your case in the best possible light. A specialist broker can significantly improve your chances by matching you with appropriate lenders.

• Satisfied defaults over 2 years old have the most options
• Recent good credit history strengthens your application
• Larger deposits open more competitive rates
• Specialist brokers know which lenders suit your situation

For a quick assessment of your options, read our detailed guide on getting a mortgage with defaults.

Understanding the relationship between defaults and mortgages is essential for anyone with adverse credit seeking to buy a home. Defaults are taken seriously by lenders because they indicate a period when you couldn't meet your financial commitments. However, the mortgage industry has evolved to recognise that past financial difficulties don't necessarily predict future behaviour.

When assessing defaults and mortgages together, lenders consider the full picture of your finances. They look at what caused the defaults, how you've managed money since, and your current income stability. Someone who had defaults due to unexpected redundancy but has since rebuilt their finances is viewed differently from someone with ongoing financial issues.

• Context matters - lenders consider why defaults occurred
• Your current affordability is equally important
• Stable employment strengthens your application significantly
• Clean credit since defaults shows improved financial management

Explore all your options with our comprehensive bad credit mortgages guide.

Getting a mortgage with defaults on your credit file requires finding lenders who specialise in adverse credit lending. These lenders have criteria specifically designed for borrowers whose credit history isn't perfect. They manually underwrite applications rather than relying solely on credit scores, allowing them to consider the individual circumstances behind each default.

When applying for a mortgage with defaults on your credit file, you'll typically need to provide more documentation than a standard application. Lenders want to understand your current financial position and see evidence that past issues won't recur. This might include bank statements showing regular savings, payslips demonstrating stable income, and explanations for what caused the defaults.

• Check your credit file for accuracy before applying
• Gather evidence of improved financial behaviour
• Be prepared to explain the circumstances of each default
• Consider satisfying outstanding defaults before applying

Learn how to improve your credit file in our guide to removing defaults.

Some high street mortgage lenders do accept defaults, though their criteria tend to be stricter than specialist lenders. Generally, high street banks and building societies will consider applications where defaults are older (typically 3+ years), satisfied, and relatively small in value. Utility defaults are often viewed more leniently than financial defaults.

The advantage of obtaining a mortgage from a high street lender is typically better interest rates compared to specialist alternatives. However, they may require larger deposits and will scrutinise your recent credit behaviour more closely. If your defaults are recent or substantial, you may need to start with a specialist lender and remortgage to a high street option once your credit improves.

• High street lenders prefer defaults over 3 years old
• All defaults must typically be satisfied
• Total default value limits often apply (e.g., under £500)
• Clean credit history required since the defaults

A broker can identify which mainstream lenders may accept your application. See our mortgage with defaults answer page for more guidance.

Choosing the right mortgage lenders for defaults requires matching your specific circumstances to lender criteria. Not all specialist lenders are the same - some focus on borrowers with minor, older defaults while others cater to those with more complex credit histories. The key is finding lenders whose criteria align with your situation.

Mortgage lenders who accept defaults typically fall into tiers based on how much risk they're willing to take. Near-prime lenders offer rates closer to mainstream for minor issues, while heavy adverse lenders accept more significant credit problems at higher rates. Working with a broker who understands these distinctions can save you time, protect your credit from multiple searches, and potentially secure better rates.

• Near-prime lenders: smaller, older defaults with competitive rates
• Specialist lenders: recent or larger defaults accepted
• Heavy adverse lenders: multiple defaults or combined credit issues
• Brokers access lenders not available directly to the public

Discover all your bad credit mortgage options or learn about improving your credit file.