Paid default almost 5 years ago..

in March 2010 I will have a default of $2900 erased from my Veda file (which was paid back in 2005) and although we had pre-approval and have now got an acceptance on a property, the Commonwealth say the future is not looking bright for me to buy another property. After 28 years banking with them and immaculate repayments and history since. What can I do? Im not keen on higher interest rate lending facilities. Does anyone else have any simillar stories- perhaps with a happy ending :confused:
The land I am purchasing is 200k and the property I currently have is valued at 630k, with 260k owing and we have one more piece of land valued at 400k with just over 200k owing

I think you shouldnt have too much trouble with that lot.

the LVR is mighty low if properly structured.

Has the lender defined that the default is the prime reaso for decline ?

Not declined YET- they were just giving me the heads up that it will be dependant on the reaction from the credit department, (which I will find the outcome of next week apparently) and they thought is wasn't looking too well based on it. After 28 years loyalty and over a million dollars worth of property and savings- if they do not accept I will be looking at withdrawing ALL accounts with them. Its a shame that one lapse of judegement on my own behalf can taint my credit history so bad- goes to show, loyalty means nothing eh :p
Hiya Trashy

Id say its very unlikely that they wont do that deal on the basis of the default.

Has no material effect on the risk to the lender in reality, especilly of your repayments with them have been spot on

Come back and keep us posted please