Bad Credit • Remortgage
Wondering how long to wait before remortgaging after a credit blip? The short answer: it depends on the issue, its age, and your equity. Some lenders consider very recent defaults — others want years of clean conduct. Here’s a realistic timeline and what improves your chances.
Pillar guide: For the full picture on products, deposits and lender appetite, see → Remortgage with Bad Credit.
Typical Waiting Periods by Credit Issue
| Credit Issue | When Lenders May Consider |
|---|---|
| Missed Payments (unsecured) | Some lenders ignore minor ones entirely. |
| Defaults | Sometimes even within 6–12 months; wider choice after 1–3 years. |
| CCJs | Occasionally considered immediately, but more options after 1–3 years. |
| IVA | Often 3+ years after completion/discharge; a few allow settlement via remortgage. |
| DMP (active) | Possible with some lenders; more options once settled. |
| Bankruptcy | Typically 3+ years after discharge; at 6 years it falls off your file. |
Why Equity Makes a Difference
- High equity (25–40%) gives lenders security and increases approval chances, even with recent issues.
- Low equity (<10%) makes approval more difficult with fresh adverse.
- Time + equity is the winning combo for better pricing and choice.
Not sure if it’s the right time?
We’ll weigh rate savings vs timing and check suitable lenders today.
Case Studies
Defaults (8 months)
Claire had two small defaults under £500 from 8 months ago. With 30% equity and clean conduct since, a specialist lender approved her remortgage.
IVA (2 years since completion)
Michael finished his IVA two years ago. With strong equity and supervisor confirmation, a specialist lender accepted him.
CCJ (10 months old)
Dan had a CCJ from 10 months ago but 40% equity. He took a slightly higher rate now, planning to switch to a better deal in 2–3 years.
Practical Steps to Improve Your Timing
- Check your credit files – know exact registration dates for defaults, CCJs and insolvencies.
- Mark your calendar – many issues drop after 6 years, but you may qualify sooner.
- Stay spotless – no new missed payments.
- Build equity – overpay where affordable or let time/property growth help.
- Review annually – what’s a “no” today could be a “yes” in 12–24 months.
Check all three credit files in one place
View multi‑agency data. Soft search access won’t harm your score.
FAQs – How Long to Wait
Do I have to wait 6 years to remortgage after bad credit?
No. Many lenders consider cases after 1–3 years, and some accept recent defaults within 6–12 months.
Can I remortgage with recent defaults?
Sometimes. It depends on the size/type of default and your equity.
What about unsettled CCJs?
Some lenders may accept them, particularly if older or small — strong equity helps.
How long after bankruptcy before I can remortgage?
Usually at least 3 years after discharge; at 6 years it drops off your file.
Will waiting longer always get me better rates?
Generally, yes. Older issues + lower LTV = wider lender choice and sharper pricing.
Can I use remortgage funds to settle debts?
Sometimes. A few lenders allow this, especially to settle IVAs or DMPs.
