Aaron Whybrow explains how mortgage brokers work around court judgments and defaults on your credit file. Call the creditor to negotiate removal, use hardship provisions, or hire a third-party service. Some lenders will still give you a home loan, though it'll cost more.
Court judgments and defaults on your credit file. How do we deal with these as a mortgage broker? Hey, it's Aaron from Diagnostics and Finance. And there's a couple of things that we want to really point on related to credit files. Defaults and judgments are actually not very good. When you go for a home loan application, there are some lenders that will allow them in there, but they do cost a little bit more than the standard everyday big four bank or minor lender. So how do we deal with these? One is we should know what they are when they occurred. And one thing that I like to do is if the client, you pick up the phone and talk to Telstra, for example, talk to Optus, talk to any of the Telco's, power companies, agl, all those people. If you pick up the phone and talk to those guys and ask them what happened, have a look at the history of what's happened to be able to get there. Life happens. And I think most people will understand if you need to make a conversation with them to be able to deal with it. In the event that you are pre getting a default listed on your name, get on the phone and talk to them. People love getting a conversation and go, hey, I just need another couple of days to pay. So if you have a default, great to get on the phone to them free and easy. The other one is if you're just about to have something on there, get on the phone and talk to them, make sure that they don't list it, make sure that they understand the money's coming or whatever you need to do. There are a lot of provisions out there for consumers with hardship and a couple other things which you can enter into to be able to get that right outcome. The other way is if you've got these things listed on your file, there are organizations out there to help you have a look at these a little bit more and potentially go in and negotiate on your behalf to get them released off there. Especially if they've been put on like five, six, seven years ago, there might be ways that they drop off automatically or if they're so close and you need to be able to get it done, they may help you out to get these defaults and judgments off to give you another chance to get you into a better home loan, a better product, less cost and go from there. So there's a lot of protections if they're on there. It's not a good thing, but it's not the end of the world. We do have home loan options if you are just about to have them listed on there. Jump on the phone, give them a chat, and. And you can make provisions of what us as consumers of credit, have to be able to help you out. All right. It's Aaron from Diagnostic Finance. It's a little bit longer video, but have a great day.
