Your chances of approval will depend on what sort of credit problems you have experienced. Some lenders will disregard minor issues, whereas others will automatically reject any applicant with a credit score below a threshold, so it's crucial to evaluate your situation before making any applications.
Late payments are not uncommon. While some lenders will decline any applicant with a missed payment, most providers will consider offering competitive interest rates. One or two isolated late payments are a much less serious issue than having multiple late payments in the last few months.
Mortgage arrears arise when you owe more than this month's repayments. In most cases, arrears are treated like a missed payment, although serious arrears are more complicated. Many landlords fall into arrears when a rental property is vacant, so if you can appoint a broker to explain the cause, you're more likely to be successful.
Defaults mean that you have missed between three and six payments and issued a formal letter of demand. You can still get a buy to let mortgage in this scenario, depending on how many defaults you have had, when, and for what value.
CCJs are more serious again, and as with defaults, the lender will consider when, why and how the CCJ occurred before deciding whether or not to lend. Having a CCJ several years ago due to expire from your credit report soon is a much easier scenario than having one registered in the last few months.
Debt Management Plans are a way for people to get their debts back under control. Some lenders will refuse any landlord with a DMP history since it can represent poor financial management. Still, some mortgage providers will consider applicants with a DMP, depending on how many, when they occurred and if all the DMP repayments have been made on time.
IVAs (individual voluntary arrangements) are another debt management tool that can impact your eligibility for a buy to let mortgage. There are bad credit lenders who can help, but you might require a higher deposit and will likely be quoted more expensive interest rates.
Bankruptcy means that you must work with an independent broker to have a BTL mortgage approval chance. If this has been discharged, and your broker can make your case and negotiate with the lender, it may be possible to find a buy to let mortgage.
Repossessions can make it very difficult to find any mortgage since, in the past, you have failed to make repayments to the extent that the lender has to sell the property to recoup their losses. Even in this situation, you might be successful if the repossession was some time ago, and you can create a compelling application.