Credit report confusion

Rosyglow

Hello, I'm a newbie who is trying to increase/improve my credit rating as I'd either like to get a loan or a low interest until repaid credit card to pay off my £15k of debt.

I used Credit Expert a while ago to check what credit I currently have and ensure it was all correct. However, I noticed a few things which I wasn't sure about.

- Halifax personal loan that I didn't take out in the end
- RBS Credit Card that I applied for but sent card back/didn't sign the agreement for
- Mint card same as RBS as I didn't sign and send back agreement form
- loan for a car that has been fully paid for now for approx 2 years
- New Look store card which I no longer use

if they are appearing on the report does this mean I need to ring the companies to cancel the above or do they just sit on the report because they form part of my credit history?

I've not tried applying for a loan or low interest card yet as I want to ensure I have the best possibility of obtaining one or the other. I'm leaning more towards the card as I usually get two bonuses a year which are a weeks wages and should I do any overtime I'd like to be able to pay more when I have more money, and I won't necessarily be able to do that with a loan.

Thanks in advance

Tixy

Rosyglow wrote: »

Hello, I'm a newbie who is trying to increase/improve my credit rating as I'd either like to get a loan or a low interest until repaid credit card to pay off my £15k of debt.

I used Credit Expert a while ago to check what credit I currently have and ensure it was all correct. However, I noticed a few things which I wasn't sure about.

- Halifax personal loan that I didn't take out in the end is this just the search that shows or does it list the loan details etc. Does it say there is an outstanding balance?
- RBS Credit Card that I applied for but sent card back/didn't sign the agreement for if this is an open account with a nil balance you need to close it by writing to them
- Mint card same as RBS as I didn't sign and send back agreement form if this is an open account with a nil balance then you need to close it
- loan for a car that has been fully paid for now for approx 2 years if this shows as settled then it is correct to still show on your report.
- New Look store card which I no longer use you could write to close this if you wanted.

if they are appearing on the report does this mean I need to ring the companies to cancel the above or do they just sit on the report because they form part of my credit history?

I've not tried applying for a loan or low interest card yet as I want to ensure I have the best possibility of obtaining one or the other. I'm leaning more towards the card as I usually get two bonuses a year which are a weeks wages and should I do any overtime I'd like to be able to pay more when I have more money, and I won't necessarily be able to do that with a loan.

Thanks in advance

To get a new card with a £15k limit is pretty difficult for most people, especially if you already have debts of around £15k showing on your report.
Do you have any missed payments/late payments/defaults etc on your report? How much do you owe in total (excluding a mortgage), how much available credit do you have?
How much do you earn?

Rosyglow

Do you have any missed payments/late payments/defaults etc on your report? How much do you owe in total (excluding a mortgage), how much available credit do you have? How much do you earn?

Yes to late payments but have never fully missed any. Have been two or three days late with some. :embarasse

I don't have a mortgage as still live with parents. I have finance on my car of which £5k is left but other than that it is a total of £17k.

I am awaiting a reimbursement of loss of earnings due to a car accident last August which is at £2500 at the mo so all of that will go towards my debt once I receive it but I still have Physio costs which I am incurring so the total reimbursement amount will be more (my solicitor has confirmed I will receive loss of earnings at least, but compensation is still dubious).

I'm not sure how much available credit I have to date.

I earn approx £24,000 per annum.

Tixy

I suspect you will struggle to get a new life of balance card at all, or if you do you'll be looking at £1k or so limit.

If you already have debt of £17k a potential lender will look at your debt to income ratio and generally at the moment most high street banks do not seem to be giving credit in excess of around 50% of your salary. As you are already over that level the chance of adding £15k on top are really pretty unlikely (in terms of either a loan or a card).
Whilst I know you have said you intend to use the new loan to consolidate old debts as lenders cannot force you to do that they look at the maxmimum exposure which would be the £17k + £15k plus any unused credit you have on existing accounts.