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

hwflyer7

Deleted_User wrote: »

Multiple bank accounts shouldn't be an issue, unless they all have mammoth overdrafts attached to them.

Check your files to ensure the data held is correct.

Do NOT pay for or check your score.

Hi thanks, what do you mean by "do not pay or check your score"?

[Deleted User]

Your score is meaningless and of no value. So ignore it.

hwflyer7

Deleted_User wrote: »

Your score is meaningless and of no value. So ignore it.

ok got it,

so when you said "Check your files to ensure the data held is correct. "

Did you mean to check to ensure the data submitted to open the account is correct?

[Deleted User]

No. I mean check your files at the CRA hold the correct info - ie no accounts that aren't yours, registered at electoral roll, etc.

GJones15

Hi

I was wondering if someone could help?
I have a poor credit score at the moment with a debt of only around £2k. I am looking to pay off my debts in the new year in the form of a lump sum.
I was just wondering how long my credit score would roughly take to reach a good score. Is 18 months achievable with no defaults or applications for credit or will I be looking at a longer period of time?

Thanks in advance.

Chaykin

I have a question about overdraft - would having an overdraft (without really using it, i.e. going under £0) improve, deteriorate or have no effect on my credit rating/score/file etc.?

I currently have few current accounts (from/for switching bonuses etc., better interest on savings, cashback, rewards etc.) and a credit card, but never had an agreed overdraft in my life as I don't really need it (and probably won't need it for foreseeable future) but was wondering if it's worth having one? I recall I read a few times it might be beneficial to credit rating?

Superscrooge

Chaykin wrote: »

I have a question about overdraft - would having an overdraft (without really using it, i.e. going under £0) improve, deteriorate or have no effect on my credit rating/score/file etc.?

I currently have few current accounts (from/for switching bonuses etc., better interest on savings, cashback, rewards etc.) and a credit card, but never had an agreed overdraft in my life as I don't really need it (and probably won't need it for foreseeable future) but was wondering if it's worth having one? I recall I read a few times it might be beneficial to credit rating?

If you are borrowing money via an overdraft the bank will charge you interest. If you spend on a credit card always paying the balance in full each month there is no interest to pay.

The usual advice is to just regularly use a credit card to build up your credit history

revolu

GJones15 wrote: »

Hi

I was wondering if someone could help?
I have a poor credit score at the moment with a debt of only around £2k. I am looking to pay off my debts in the new year in the form of a lump sum.
I was just wondering how long my credit score would roughly take to reach a good score. Is 18 months achievable with no defaults or applications for credit or will I be looking at a longer period of time?

Thanks in advance.

A debt of 2k should not mean poor credit, if you paid that off then usually in 1-2months your score would improve.

missed payments could be an issue and not on electoral roll, I would try noddle credit checker its free to get a better idea

peter.odare

I have checked my report on Equifax and it as listed as poor (just!)... potentially due to me not changing my address on the electoral role before checking (I have moved in the last 3 months).


I have now changed my address on the electoral role and I am aware that it takes a while for this to change as my local office will have to update the register etc.


My question is what will be expected impact of this when I re-run the report after 6 weeks or so?


I have a clean history with credit and have never missed cards payments since having them (last 3 years). Is there anything else that I have missed which would be impacting the report?


I've checked my score on Noddle also and I got excellent??????

Thanks!

[Deleted User]

The impact will be that lenders will be more confident you are who you say you are and that you live where you say you live.

Which is good.