Credit Ratings - how long do they take to clear?

ferris_3

I've managed to get myself into a bit of a financial mess over the last two years or so, to the point that I now owe a fair chunk of cash. However, I'm determined to get it sorted, and have budgeted to have it cleared within a year (fingers crossed!).

The problem is, my credit rating is completely trashed. I have several credit cards which I no longer use, which I will try to close down - I have my Experian report, so even though I don't know which company they're with, I do have the parent company, if that makes sense.

I've gone over my overdraft limit several times, and have missed one payment on a credit card. Otherwise I pay the minimum each month.

My question is this: how long will it take for my credit rating to return to "normal"?

I don't have any court judgments or anything - I'm hoping the fact that I owe about £8,000 on various cards and overdrafts, and that I've applied for numerous credit cards (to take advantage of the interest free balance transfers) and been rejected are two of the reasons I've been unable to get those cards.

Thanks a lot in advance!

edindie

Non-derogatory data (Searches, # active accounts etc) stay on your file for 2 years, whereas derogatory data (CCJs, Defaults etc) stay on for 6 years.

ferris_3

Thanks a lot, that's really helpful to know.

Out of interest, am I right to assume that a default is a single missed payment, or where you go over an overdraft limit?