The Sub Prime Credit Thread - Part V

Brian1966

izools wrote: »

You're right, mostly.

One thing to remember though is just because you get lots of accounts building green zeros doesn't mean your credit is getting better. Taking out several accounts in a short timeframe (i.e. within a year) will make you look desperate for credit. I made this mistake this year.

It is important not to take on board any more than one new credit commitment every six months or so if you want to optimize your credit score and try to avoid holding more than five credit accounts at any one time (Loans, cards, catalogues. Mobile Phones and Bank accounts don't count towards your five as these aren't credit accounts).

More than five credit accounts and / or more than two accounts taken out in the last year could put you in a worse position than where you started in the eyes of some creditors' scoring models (MBNA in paticular).

NEW accounts are actually viewed far worse than having several which are 18 months plus. Many lenders are more than happy (NatWest included) to see around 10 ACTIVE accounts if established,( more than 18 months payment history)
The main key factor is available credit/salary ratio, ie is the proposed credit affordable and will it indeed be used.
I got turned down last year by Barclaycard purely on the basis of having opened a Next account and available credit. Told quite catagorically to re-apply after a period of 12 months had elapsed (not 6) as they normally state. Same with Tesco in April, on appeal told to re-apply in Oct 12 months following last new account subject to no adverse during same period.
I'm going to wait now until Sept 2011 by which time I have 3 years flawless history then slowly close down accounts before going for further mainstream cards

BugsyBrowne

Brian1966 wrote: »

How on earth can you say that catalogue searches are a waste of time :mad:
ANY credit account be it card, full bank account, catalogue or mobile phone will always help as regards building POSITIVE payment history.
UP TO DATE green zero's can make or break an application regardless of where they come from.
I have 2 PRIME cards coutesy of payment history as still have 2 old defaults, also have a sub-prime card with a £3k limit so all positive history helps no matter what.
Obviously other factors come into play, salary, available credit but unless lenders can see evidence of repaying borrowings you can earn 100k a year and it will count for very little in the way of automated decision making.

Another one who has took the post the wrong way.

telecomengineer

never-in-doubt wrote: »

To avoid any confusion, if I want to log-in and make posts I will.... I have no need to use an AE, i've just spent an hour or so reading all the latest gossip.....

iZools = cheers my man - good job! :beer:

Hope to see you all around, you know where i'm at if you wanna chat! Just click my name and select website.... :beer:

Thanks for stopping in, I'll register at your new place for a chat;)

fairmorn308

Hi guys

Does anyone know of someone that knows about tax?

big_Daddy_Dave

quick question

does anyone know how often littlewoods up their limits?

never-in-doubt

big_Daddy_Dave wrote: »

quick question

does anyone know how often littlewoods up their limits?

anytime they see fit, monthly after cais update usually so just before statement is due.... some do it monthly others do it randomly and others just dont bother! lol

never-in-doubt

fairmorn308 wrote: »

Hi guys

Does anyone know of someone that knows about tax?

Try the tax man matey :beer:

---> http://www.hmrc.gov.uk/index.htm

big_Daddy_Dave

never-in-doubt wrote: »

anytime they see fit, monthly after cais update usually so just before statement is due.... some do it monthly others do it randomly and others just dont bother! lol

ahh

thanks, but whats CAIS?

never-in-doubt

big_Daddy_Dave wrote: »

ahh

thanks, but whats CAIS?

Experians credit data sharing

http://www.experian.co.uk/www/pages/why_experian/our_information_source/our_information_source_consumer_information.html

CAIS - Credit Account Information Sharing

Comprehensive and timely information on credit accounts, including their status

Equifax use Insight - https://www.econsumer.equifax.co.uk/consumer/uk/sitepage.ehtml?forward=gb_cpo_casample

Click this insight button towards the top.

big_Daddy_Dave

thanks alot