What is good on your credit file?

debt_mountain_2

I have some things on my credit file but not sure if they are good or bad to keep.

As you know sometimes organisations are slow in updating your credit file but can this also be helpful?

I have a couple of old storecards/catalogues that are still getting a green 0 every month and they have a 0 balance, but 1 has an allowed limit of £900.

should I have these removed from my file or as my many settled defaults drop off will these regular Green 0 benefit me?

Our Barcleycard doesn't even show on our credit files and we have always paid that one (well most of the time anyway).

Should I take out one of these high interest cards and pay it off each month in order to get some current good credit activity on my account. (we can't get a regular credit card yet as the settled defaults we have are still a little too recent.

Thanks

file_wizzard

Difficult question as some factors will outweigh the others

Obviously a (0) mark each month is helpful and shows that theoretically you are honouring your credit agreements.

However if all of these account are for say £1000 and you utilise £0 pounds then a lot of the creditors use decision making software will work out your used credit against your available as a percentage, so in your case you would have 0% utilised credit and hence be viewed as an unprofitable customer. ( their ideal is a constant 60% - 70% utilised with minimum payments made)

With regards to the High APR cards, they are not to fussy about things like this so will probably accept you and this will again help to underpin your “score” as a general rule 4- 5 “clean” accounts are positive, anything more and you could be seen to be over committed, anything less and you are not a profitable proposition for most lenders

debt_mountain_2

You can't really win can you....

Ceri_2

well this kinda answers my question. I have today got my credit report through & as far as I can see it is all good. No defaults, no over limits, but there are still things are there with a credit limit & a zero balance. Some even say when the account was closed.

I got my credit report cos Capital one declined me in october last year & I could not understand why.

I got the report from equifax. And like debt_mountain, there are a few things that are not on there, like my Egg card & my mortgage!

kathfisch

Some credit companies use only one of the credit report companies, so you may have to get more than one to see all of your debts.

debt_mountain_2

kathfisch

I checked both Equifax and Experian and they don't show a car loan I have or the barcleycard.

Not that I am complaining, just strange.

chivers1977

there is another CRA called callcredit http://www.callcredit.plc.uk/home

jay78

debt_mountain wrote:

kathfisch

I checked both Equifax and Experian and they don't show a car loan I have or the barcleycard.

Not that I am complaining, just strange.

Very strange, because if these things were shown it would improve you credit rating. I know that Barclaycard don't report account details to the CRA's. I don't know why. I have a Natwest card and they don't report it either. For some this is a good thing for others not. Perhaps you should try contacting your creditors and find out if they report your account details to the CRA's, and if not why?

Little_Miss_Scrimper

file_wizzard wrote:

Difficult question as some factors will outweigh the others

Obviously a (0) mark each month is helpful and shows that theoretically you are honouring your credit agreements.

However if all of these account are for say £1000 and you utilise £0 pounds then a lot of the creditors use decision making software will work out your used credit against your available as a percentage, so in your case you would have 0% utilised credit and hence be viewed as an unprofitable customer. ( their ideal is a constant 60% - 70% utilised with minimum payments made)

With regards to the High APR cards, they are not to fussy about things like this so will probably accept you and this will again help to underpin your “score” as a general rule 4- 5 “clean” accounts are positive, anything more and you could be seen to be over committed, anything less and you are not a profitable proposition for most lenders

Interesting thread. I have had a problem with my credit file, everything is paid on time and I have no defaults or CCJ's however I've been turned down for 4 credit cards that i've applied for recently. I was surprised when I got turned down for the 1st one, so done a credit report (clean) and applied for another panicked when I got turned down and stupidly applied for 2 more. Which I know now has damaged my credit rating having so many searches in a short space of time. But I was interested to read your reply on credit that is not utilised. I have a few old store cards and accounts with £0 balances on, uptodate passed payments and the comment of settled next to it. Could this have potentially harmed me when I applied for the 1st credit card? How can I remove these old settled debts from my file? Appreciate your advise x

Experian_company_representative

Once accounts are closed (i.e. settled) they no longer count as available credit. As long as the history on closed accounts is positive these can only have a positive effect on your chances of getting credit.