Credit Rating: How it works and How to improve it discussion area

Lessbutbetter

you should have read on here that it is not your credit "score" that is important, but the information on your report that is. Your default will drop off your experian report almost immeadiately and equifax may take a little longer. Your report will be alot stronger for it, but dont get yourself down because your "score" isnt as high as you'd like, as there are many people on here who have reported "scores" of over 900 who get refused point blank for credit.

Good luck and well done for workin through your debt

adewa

Hello

I wondering how to begin solving my debt problem.

I defaulted on several credit cards a few years ago, but I have moved addresses several times since then, and have lost track of all correspondance from creditors, collection agencies etc. This has worked to my advantage in so much that I have avoided being hassled to make repayments (- my creditors have also lost track of me!)

But I am now looking to improve my credit rating. If I'm going to come clean (move onto the electoral roll, put my name on utility bills etc) I'm scared I will be pounced on by several creditors and collection agencies. I feel brave enough to tackle them, but I want to lead the initiative. I'd be grateful if anyone could advise me on this double bind and on what steps to take.

Thanks

Tixy

If you request copies of your credit files and if you defaulted on your debts less than 6years ago then it will give you a starting point as to who you owe money to and who now owns your debts in terms of debt collectors etc. But if you request your file it will connect your current address to previous ones and this is likely to start debt collectors writing to chase you.

So I'd be ready with a repayment proposal for them. If any creditors have taken court action against you and obtained CCJs they will be your priority to tackle repayments on. For any creditors who have not obtained CCJs you could either off to pay in installments at a rate you can afford or if you are in a position to do so you could offer reduced full & final settlements to clear the debt.

dman100

Hi,

i am really trying to clean up my credit history as i have a default from barclays currently on my credit file. i opened up a bank account with bsrclays whilst i was at university and opened a student account. however im not sure why my surname was spelt incorrectly (should have been akeredolu but was spelt akerdolu). i went on to default on the account and am happy to settle the account but really want the default wipped from my credit file is there any way this can happen? can i say that the name on the account was never correct so technically the account is void?

please help!!!!!!!!!!!!!!!!!!

Ben8282

Donvito wrote: »

If I have credit cards or store cards which I don't use, can future lenders find out about them if I don't declare them?

Yes. They will appear on your credit report.

Alexk

Hopefully someone can shed some light on my issue.

4 years ago I returned to the UK from living abroad for 20 odd years (British citizen).
I opened an HSBC business account and managed to get a £7.5k business loan and £1k limit credit card operating as a sole trader.

I ran this account as my only UK account (aside from a very old BOS account opened in 2000) until May 2010,
In May 2010 I opened a personal account with HSBC and was given another £1k card.

Given my history (or lack there of) I've always expected a poor credit scoring, but in the last 4 months I've paid off the £7.5k loan and had long term address, plus electoral role etc etc, so decided to look into my credit history.
Nothing prior to to May 2010 is appearing in my report. Not the business account which is in my name (sole trader), nor the credit card, nor the paid off loan. I've spoken with HSBC and they say a: we've passed it on and b: doesn't matter because we know your accounts are linked to you so we can use them for scoring.

Fact of the matter is that I feel like almost 2.5 years of banking history and CC/loan payments have been discarded, so all I've got is a short history with a personal account.

Should my business account show up under my scoring as it's an MrX t/a Superwidgetmaker, or is it totally separate?
Also I missed a payment on my personal card recently which makes that score even worse, any tips on how to best increase my score as a sole trader?
If my business account should be showing up - how do I get it to be passed onto the agencies?

TIA

densol_2

I have never had any HSBC loans / accounts / credit card show up on any credit searches. All other banks and loans companies have always been on there as well as phone companies/ gas etc - but never HSBC for some reason and I checked all of the credit companies.

Denise

Tixy

Alexk - have you searched all your credit reports? if not it might be worth checking if they have been recorded with one of the other agencies. Or it may be that they don't choose to report them because they were t/a business accounts. You can't make them report accounts if they choose not to.

Alexk

Tixy wrote: »

Alexk - have you searched all your credit reports? if not it might be worth checking if they have been recorded with one of the other agencies. Or it may be that they don't choose to report them because they were t/a business accounts. You can't make them report accounts if they choose not to.

I've checked Experian and Equifax - both only show my personal history (i.e nothing attached to my business account) and things like mobile contracts.

I'm starting to think that business accounts aren't passed on, though when I mentioned it last time I was at the bank that didn't seem to be suggested as the case.

Putting that to one side for a moment - I'd like to start building up a good credit history and would appreciate a few pointers.

At the moment I've missed one payment on my current credit card and for the last two months I've been putting between £100 and £150 over and above the minimum with a view to getting it down to clear in the next 4 months or so - it's currently at £690 out of £1000 limit.

What else can I do to improve my rating and build up a good history from my currently fairly poor one?

Jetfire

Hullo, I wonder if anyone can answer a quick question...

I was looking at moving a credit card balance on to a card with 0%, however unsurprisingly (to me!) I've been rejected... I got my credit report from Experian, and it lists some late payments to both credit cards and a store account (mainly due to the payment date changing month to month, so sometimes it fell before pay day).

I realise that this obviously has an effect on my score, but then i've got years and years of perfect payments on loans and other accounts, and previously settled accounts, do these positive aspects really have no effect on your score, only the few late payments??

I'm also financially linked to my girlfriend for some reason, even though we've never had any sort of joint account or mortgage! It was linked back in 2005 by Santander, and she has previous bad credit history... if i get the link removed, is it likely to improve my score sufficiently that i'll be accepted, or am I doomed by those few late payments anyway?
Thanks!