The presumption is that only these people are capable of meeting their repayment options without default. Therefore a mortgage is fixed for those people who have annual or monthly salary and their important criteria for assessment are based upon the amount that is earned and most lenders are only interested in those people. This presumption in the mortgage industry is creating problems for contractors or freelance workers to obtain credit easily.

The credit lenders are afraid that there is no continuity of work because they are reluctant to provide finance for contractors and their money will be at risk because without this continuity there is a risk that the client will default on the repayment. Here are a few lenders who are willing to provide mortgages comparatively on high rates of interest for contractors. This high rate of interest given for credit loan facilities put a big burden on contractors it comes to finding finance. Even though the some employed workers they can earn more money with many self employed.

When applying for credit is proving how much they earn there the self employed faced the main hurdles. This is very difficult that to find that which would obviously reduce the repayment risk if that they will continue to receive this money in the future. You first need to prove your employability, that is, the present work you are performing in order to avail mortgages for contractors. Your past performance, they will also assess you on the basis.

The lender will evaluate your market reputation and profile characteristics of their customers, but also potential income and creditworthiness. These are all related to the future and have a certain level of uncertainty. A few lenders tend to exploit these issues and offer mortgages, but with much higher rates and processing fees, the borrower therefore forced to pay very high interest rates. Lenders give reason for this injustice on the basis of risk involved in returning the service providers. Special and difficult criteria are provided for mortgages for contractors.

But now the situation has changed and many lenders have decided to provide funding for contractors at a reasonable rate and level of interest without having to spend much on processing fees. They have made the procedure much more simple so that there is no need to submit accounts of the company, or expensive to borrow to pay your mortgage.