I need some positive stories to help me through this negative thinking rut! Story is long so bare with me...
3 years ago I'd finally had enough and got up the strength and courage to leave my DV marriage... During the time we were together there was extreme amounts of emotional abuse, financial coercion and I left with over $50k of sole trader debt in tow that had been accumulated between 2017 - 2020
With the help of a financial counsellor and working with my creditors, plus the introduction of new family and domestic rules relating to financial coercion etc I managed to pay down and even have some of the debts wiped...
Fast forward to the last 7 months.... We've moved to a new town, I've been working really hard at saving money, becoming more financially stable and responsible with the goal of purchasing my own home....
I approached a mortgage broker, he checked my credit file... There was one default that was due to drop off early Oct 2024, from what was found on my Equifax file.. Then my file would be clear again (or so I thought)
We've gone through the process of applying for a home loan, submitted the application to a suitable lender, my deposit amount is healthy and everything was looking really good until my broker called me yesterday saying they had declined my application based on further "commercial defaults" found.... I was in total shock.... I didn't even know those defaults were there...
My broker got me to forward all the documents and emails I had between myself and previous creditors where I had provided supporting letters from counsellors etc and they had agreed to wipe the debt. His plan is to take that information to the current bank to see if they will reconsider their decision to decline me based on the prior circumstances and my current situation now...
To say I am devastated is an understatement... I feel like I'm never going to be able to escape the curse that was my DV relationship... Like it will forever haunt me in some way shape or form....
Am I ever going to be able to achieve my dream of owning my own home and finally get away from my horrible past...
I'm happy on my own and have no plans for another partner, so waiting to find someone who can support me on that journey is null and void. I want to do it on my own!
2 Replies
The bank probably thinks it's a bit sketchy that only 7 months ago you got debt wiped and now you have enough saved for a house deposit? In three years you couldn't pay down all the debt of 50k, but in 7 months you've been able to save how much, 30-50k to buy a house? I don't know, seems like there's a lot of holes in your story. As a single mum, bank demanded a deposit from me of 10% plus expenses, depending where you live, that's a lot and not typically saved in 7 months by a one income household. It's also been such a short time, I'm surprised your mortgage broker decided to proceed and thought it would all be clear.
Also, you only left 3 years ago, defaults on your file and such can take a while, I think you'll need to be patient and get a better broker because being declined is another black mark against you. I'm sure you'll get there in the end, but in the meantime, keep saving.