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Mortgages for Discharged Bankrupts

Getting a Mortgage After Bankruptcy in 2017

UPDATED FOR 2016: We are regularly approached by customers asking ‘can I get a mortgage after bankruptcy?’ and to many of those we can happily say ‘yes!’.

Arranging mortgages after bankruptcy is a scenario we deal with everyday, and we are helping customers find the finance they need where other lenders or brokers have let them down or turned them away. These types of mortgage are certainly trickier to set up which is why many borrowers come to us having been declined elsewhere, but because we have placed so many bankruptcy mortgages already we know exactly which lenders will consider your application before you even enquire – we are the market specialists.

As with any type of bad credit, bankruptcy can cause real problems with many mortgage lenders, who just flat out decline anyone who’s ever had one. The good news is that there are a handful of mainstream lenders (and one or two specialists) that are happy to consider mortgages for people who have been bankrupt. Read on for more information and advice, or fill out the bankruptcy mortgage enquiry form to find out which lenders you may be eligible for.

Pete and the other specialists are currently helping the following borrowers:

  • Mortgages with a bankruptcy discharge from 1 – 6+ years ago
  • Mortgages with a history of bankruptcy and repossession
  • Bankruptcy discharge and just 10% – 15% deposit
  • Bankruptcy mortgage with 5% deposit (NEW for 2016!)
  • Bankruptcy discharge mortgage with a large deposit
  • Buy to let mortgages after bankruptcy
  • Bankruptcy discharge re-mortgage
  • Bankruptcy annulment mortgages and second charges (NEW for 2016!)


Click here to make a full enquiry with one of the expert bankruptcy mortgage advisors. If you would prefer to talk right away please get in touch with the LIVE CHAT balloon on the left, make an application or give us a call.

How soon after bankruptcy can I get a mortgage in the UK?

Post-bankruptcy, many potential homeowners aren’t sure if they can actually get a mortgage, or how much time needs to have passed before it’s possible to even apply. Well, as per the terms of a bankruptcy, you’ll not be able to apply for a mortgage (or any credit) before you’ve been discharged. Usually this is a 12 month period but it can be less depending on the courts’ decision. Once discharged, you may still find it takes months/years of good conduct before lenders will start to trust your creditworthiness again.

In terms of a mortgage application, the exact point at which you’ll become eligible really differs lender to lender. Some are happy to offer you a mortgage at day 1 of discharge – but for these you’ll need to meet very strict criteria, have a huge deposit, and be expected to pay a princely sum on fees and rates.

The longer you’ve been discharged, the more lenders in the market that will consider an application and at higher loan to value ratios. Those discharged over 4/5 years with great credit history may find they can borrow up to 90/95% LTV like any other borrower – and for those eligible there are some main lenders at top competitive rates too. Those recently discharged say in the last 0-24 months will find it much harder, but can still get a mortgage with at least 25% deposit in most cases.

Matrix of mortgages for ex bankrupt people: This table should make things more clear as it outlines the likelihood of you obtaining a mortgage if you’ve been made bankrupt in the past, depending on how long ago you’ve been discharged.

Can I get a…

Bankruptcy registered

Years discharged


Typical deposit required

Mortgage if I’m just bankrupt

0 year ago




Mortgage 1 year after bankruptcy

1 year ago



Min 40%

Mortgage 2 years after bankruptcy

2 years ago



Min 25%

Mortgage 3 years after bankruptcy

3 years ago



Min 25%

Mortgage 4 years after bankruptcy

4 years ago



Min 15% (poss 95% in some cases)

Mortgage 5 years after bankruptcy

5 years ago


Very likely

Min 10% (poss 95% in some cases)

Mortgage 6 years after bankruptcy

6 years ago


Very likely

Min 5%

Mortgage 6+ years after bankruptcy

6+ years


Very likely

Min 5%

In no way does this guarantee you a mortgage, it is simply a collection of info and knowledge from our experienced advisors to act as a guide for anyone wanting to establish the likelihood of being approved by a lender. It doesn’t take into account the numerous other factors such as credit score, income, affordability, or other credit problems since the discharge.

Jump to enquiry: If you’re not sure you’ll be eligible, please get in touch and one of the bankrupt mortgage experts will be in touch. 

Give yourself the best chance of a mortgage approval after bankruptcy

If you’ve been made bankrupt in the past and are looking for a mortgage, there’s a few things you can do to make sure you have the best chance of being approved.

1. Check and correct ALL your credit reports

This is paramount. There’s 3 main credit reference agencies lenders use (Experian, Call credit, and Equifax), and the information on each can differ greatly. Often we have borrowers come to us and the info on their credit files don’t match the date of the bankruptcy discharge and the settlement dates of their credit accounts they once held. This is often due to the creditors not updating their records correctly. As a result, many creditworthy borrowers are declined because it appears as though they have outstanding balances and/or defaults that happened since the bankruptcy. Getting this info updated on all 3 reports is crucial.
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2. Check your eligibility

Make an enquiry with one of the experts and allow them to establish which lenders would consider an application as things stand – if you would qualify now, great. If not then they will advise you on what changes you’ll need to make to be eligible, for instance correcting your report, waiting until your bankruptcy discharge is older, or perhaps saving a little extra deposit.

3. If you’re not eligible now, rebuild your score until you are

Your advisor will point you in the right direction and let you know exactly what steps you need to take to qualify ASAP. If you want more info on rebuilding your credit score then visit this page here.

What is the hunters report?

A common issue: Those discharged over 6 years ago should have no trace of bad credit on their credit files, and may think they can apply with just any lender. They approach their bank and pass the initial credit score, but are later declined after a full application. Why? Usually this is due to the Hunters report…

You may or may not be aware of what’s referred to as the hunters report. It’s a register of anyone made bankrupt in the UK, including those who may have been discharged over 6 years ago. Lenders do check this report, but it doesn’t usually form part of the initial credit scoring, and as a result some applicants find they get accepted at initial application but are later declined when further checks bring the bankruptcy to light.

This can be massively frustrating to borrowers who are handed a decision in principle certificate, and pay for a valuation and make a full application, to then be declined days/weeks down the road.

If this sounds like you, or if you’re thinking of applying for a mortgage having been bankrupt in the past, don’t worry – there’s several lenders that will still consider your application.

Which mortgage lenders accept bankrupts?

Currently there’s about 14 discharged bankrupt mortgage lenders, and as mentioned above, some are mainstream lenders offering top rates and ignoring the bankruptcy once it’s over a certain number of years discharged (usually 4). Specialist mortgage lenders are for bankrupts discharged less than 3 years ago and tend to come with higher fee’s and slightly higher rates.

Because each lender and each customer is different, it’s impossible to say which you’ll be eligible for without knowing more about your situation. Please make an enquiry or make an application today one of our experts will establish the best lender for you.

Buy to let mortgages after bankruptcy

It is possible to obtain a buy to let mortgage if you’ve been bankrupt in the past, depending on your circumstances. Ideally you’ll need to meet the following criteria:

  • have been discharged for 3 years, and had clean credit since
  • have at least a 15% deposit
  • own at least one other property
  • have a personal income (no minimum threshold needed but you do need some form of personal income, whether self employed, employed, or retired.

Repay bankruptcy debt with equity in your home

Raising finance to repay a bankruptcy debt can actually remove the bankruptcy from your record if done in the right way and within a certain timeframe. This practice is seldom exercised, but can often be life changing when it means borrowers are given the opportunity to get their debts back up to date. Depending on the reason for the bankruptcy, finding the right lender can be a difficult process. For example, if you have been maintaining all payments on your personal borrowing (credit cards, loans etc.) but had a bankruptcy forced by HMRC if you’re self-employed and owe a tax bill, your credit report may actually look clean but most mortgage lenders would still decline to lend, there are however some secured loan lenders who would allow refinance to get things settled – which would then allow the borrower to remortgage later down the line with a clean credit file without the bankruptcy.

Conversely, if you have defaulted on numerous accounts and/or had payments missed, the chances of mortgage lenders considering the finance can also be slim, but secured lending with a specialist second charge mortgage might still be a viable option. If you are looking to settle a bankruptcy then it would be worth talking to a specialist, so get in touch!





If you’re ready to make an enquiry please fill out our quick form below and an expert will be in touch ASAP. If you require immediate assistance please give us a call.


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  • Whether you want to know if you're eligible, how much you can borrow, or about any lender criteria or anything else, you can do so here. Our advisers are qualified and experienced and love a challenge, so put them to the test and ask anything!

About Pete Mugleston

Pete is our top financial expert, involved in writing, training and speaking all things mortgages. His presence in the industry as the 'go-to' for specialist finance continues to grow, and he is regularly cited in and writes for publications both locally and nationally. Pete's range of experience covers all manner of areas, in particular mortgages for people with adverse credit, the self-employed, and buy to let investors, as well as specialist types of insurance such as business protection cover for those with pre-existing medical conditions.


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