Dreaming of owning your own home but feel held back by your credit history? At The Happy Finance Company, we believe that your past financial challenges shouldn't overshadow your future happiness. We're here to navigate the path to securing a home loan, even if your credit score isn't perfect.

Can you get a home loan with bad credit?

Yes, indeed! Bad credit can be a hurdle, but it's not a roadblock. We partner with specialist lenders who understand that everyone's financial journey is unique. They're ready to look beyond the numbers and explore home loan options that might be right for you.

What is a bad credit score?

In Australia, credit scores range from 0 to 1000 or 1200, depending on the credit reporting agency. Generally, a score below 500 is considered 'bad credit', and a score below 400 is viewed as 'very bad'. These scores are a gauge of your financial history's health, with the average score being around 550. But a number isn't the whole story, and that's where we come in.

Understanding bad credit

In Australia, credit scores range from 0 to 1000 or 1200, depending on the credit reporting agency. Generally, a score below 500 is considered 'bad credit', and a score below 400 is viewed as 'very bad'. These scores are a gauge of your financial history's health, with the average score being around 550. But a number isn't the whole story, and that's where we come in.

Navigating bad credit

The journey through bad credit home loans might seem daunting, but we're here to simplify it. We'll guide you through the various types of loans available, such as:

• Home Loans With Defaults: Designed for those ready to move past their defaults.
• Discharged Bankruptcy Home Loans: For individuals who are now discharged from bankruptcy and looking to start fresh.
• Part IX Debt Agreement Home Loans: Aimed at those who have completed a debt agreement and are on their way to financial recovery.
• Tax Debt Home Loans: If you're facing ATO debt, we can explore options to incorporate this debt into your mortgage.
• Debt Consolidation Home Loans: Ideal for consolidating multiple small debts into one manageable mortgage.

Your borrowing power, unleashed

Concerned about how much you can borrow with bad credit? It's a common concern, but here's a quick overview:

• Small Paid Defaults: You might be able to borrow up to 95% of the property value in some circumstances.
• Larger Paid Defaults or Unpaid Defaults: Various options might be available, each with specific conditions or requiring a specialist lender.
• Judgements or Court Writs: Some lenders may consider lending up to 90% of the property value.
• Remember, each case is unique, and we're committed to finding the right solution for you.

Interest rates: what to expect

Yes, bad credit often means facing higher interest rates, but the picture is more nuanced than that. Rates can vary based on your individual financial situation, the type of loan, and the lender's policies. We're here to help you navigate this, ensuring you understand your options and their implications for your future payments.

Qualifying for a bad credit home loan: our tips

To boost your chances of securing a bad credit home loan, consider:

Why choose The Happy Finance Company?

Opting for The Happy Finance Company means choosing a team that doesn't just understand bad credit scenarios; we specialise in them. We're committed to finding home loan solutions that fit your unique situation. With our comprehensive range of lenders, we ensure that we explore all avenues to find rates and terms that work for you. Plus, our commitment under the Best Interests Duty ensures that your financial well-being is always at the forefront of our efforts.

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