Credit Score doesnt seem to be improving despite measures taken?

Craigf560 · 16 April 2017 at 4:47PM

Hi guys, first post here so apologies if this isnt the correct manner in which to be asking this question..

Following several stupid decisions in my late teens and early twenty's, I have had a very poor credit score for almost a decade now. For the last four or so years, i have paid almost all of my accounts off, kept my personal information up to date so always available to any credit agencies and i havent missed any payments since i wised up. I have been paying off a credit card balance for the last year, never dipping in to use it again at all. Last year, i was finally accepted for car finance through a third party credit broker and i have been making large payments each month to that. Ive also been paying my car insurance monthly.

Prior to Apr 2016, my credit score seemed to be improving bit by bit. I log in each month to check and each time there was a slight improvement. Since i took out the car finance, its stayed at the same amount for 12 months! I had the impression that showing my ability to pay such a large figure would bolster my credit file, was i wrong to think that?

Any help would be greatly appreciated!

Kindest regards,
Craig

[Deleted User] · 16 April 2017 at 4:50PM

The score doesn't relate to your credit worthiness (or anything else).

Ignore it, but look to reduce your debts.

Craigf560 · 16 April 2017 at 4:56PM

Thank you.

David555 · 17 April 2017 at 7:16PM

Yes as above take no notice of their score. It's basically a ramdomly number. Mine too is awfully low but everything is up to date, paid in full. Just a 4 year old settled default for £69 for a sim only deal I had in my younger days.

For me I have found the best way of seeing your true credit "score" is by running a soft search on a comparison site https://www.moneysavingexpert.com/eligibility/credit-cards/

I've been running the searches monthly, when I first started off 6 or 7 months ago the chances of getting a credit building card was 10%! Mainly down to never using any credit and having a settled default. Thankfully I ran a loan comparison soft search and my bank showed 90% chance of being accepted where everywhere else was 0% chance. (Must of seen first hand I was fine with handling money) anyway, I took out a £2000 loan and made some monthly payments to build some credit history before paying it off in full. As the months went by my chances of getting accepted for other cards increased monthly so I got a Aqua card to further build up my credit "score", fast forward a few more months the bad credit rating cards are all now at 95%-100% and there's at least 4 normal card companies showing a 80% chance of being accepted. I infact recently got a Halifax clarity card. I don't need any more cards or credit now but it's nice to check back monthly and see the odds of being accepted increase and have new lenders willing to give you cards.

That's basically how I get a look at how good my true credit worthiness is. Mean while my credit score by the credit agency's is still rated as very poor! And I suspect it won't change even in a years time when most lenders are saying I have a 90% chance of being accepted by them.

MoneySaver123 · 19 April 2017 at 8:57AM

OP - sounds like you're doing the right thing, so keep it up.

Have you got a CCJ registered? This may be the reason you've reached the 'ceiling' score with the CRAs.

Grousey29 · 19 April 2017 at 10:37AM

Good morning Craig,

First of all I came on here to start a thread about my situation but thought I would have a search first and found yours. I started to read it and started to laugh as it was exactly what I have been going through and exactly what I was going to write. Then I saw the name and had to think if I had written it a few years ago as my name is Craig aswell. Only the date stopped me from getting myself a doctors appointment lol!!!

Any way, like I said I have done the same as yourself with regards to checking the umpteen credit agencies out there. Each one is different. For example, Barclaycard give you a free Experian score which turns out to be different from the Experian website score (checked when both updated at the same time). Like you I am paying everything off left right and centre, paying almost £300 over the minimum amounts and still my score will randomly drop.

Then on the MSE Credit Club it says that your Account Stability "The average length of your financial relationships is less than six years. Remember, this isn’t just bank accounts, mortgages, loans and credit cards, it can include utilities, mobile phone contracts, broadband and more."

Huh what the dickens???????

We're encouraged both on here and by the government to shop for the cheapest utilities and phone contracts yet we get chastised for it, is this right? Sounds like a Catch 22 situation to me.

I've also noticed that all these companies are very quick to put a mark against when you miss a payment or there is a dispute but when you close an account it can take upto 3 months for it to show, talk about double standards?!?!?!?

Has anyone else encountered the same problems and are there any tips for how to resolve these issues?

Thank you in advance

Craig

[Deleted User] · 19 April 2017 at 11:14AM

Grousey29 wrote: »

We're encouraged both on here and by the government to shop for the cheapest utilities and phone contracts yet we get chastised for it, is this right?

No, that's not right. That's just what the credit scores lead you to think.

Credit Score doesnt seem to be improving despite measures taken?

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