advice on repairing credit rating... I have 5 defaults though...

tracey_02

I didn't have a clue where to start, I might wait a few months yet and once I've made a few payments to each see how my credit score looks then. I have no idea what it might be at the moment, likely close to 0! But I suppose it can only improve with time. I was hoping that always paying everything on time would help to dilute the situation but looks like I will be waiting until everything is satisfied and the defaults are dropped from my credit history, which is my own fault really

Tracey

Mowgli87

Dont feel too bad about it, the important thing is youre working towards improving it now...but it wont happen over night! Like Tixy said, dont worry about your Credit score for a while as it wont dramatically improve for a few years... I only do it because Im obsessive and see at as a game!! Its be no means advisable, I was just sharing my experience. Your defaults will drop off in 3/4 years and theres nothing that can be done about that, in the mean time focus on what CAN be done and make sure you keep up to date with payments and pay off as much as you can and ofcourse... dont take out any more credit!

Tixy

The thing is the score doesn't matter. Its only a score generated by the credit reference agency - and they don't lend people money. It isn't something that a potential lender will see - they will see your credit report as you have seen and they all have their own lending criteria and take into account many things that are not taken into account by the CRAs credit score (such as your employment status, your income, the industry you work in, how long you have been in your current job etc etc).

Paying for a credit score from the CRAs is money down the drain (that you could be using to pay off your debts)

Mowgli87

Tixy wrote: »

Paying for a credit score from the CRAs is money down the drain (that you could be using to pay off your debts)

Yeeeeahh... I know Im silly for doing it. Ive only done it twice, but watching the number go up (however irrelevent it is) makes me feel like Im making some sort of progress and gives me a little bit of pride in an otherwise prideless situation... does that make sense?

tracey_02

Just a wee query... I am in Scotland, so my defaults are with me for 5 years, but will they still show on my report for 6 years? This bit confuses me too!

Tracey

KingElvis

Mowgli87 wrote: »

Yeeeeahh... I know Im silly for doing it. Ive only done it twice, but watching the number go up (however irrelevent it is) makes me feel like Im making some sort of progress and gives me a little bit of pride in an otherwise prideless situation... does that make sense?

Excellent comment there, like your spirit

Tixy

Mowgli87 wrote: »

Yeeeeahh... I know Im silly for doing it. Ive only done it twice, but watching the number go up (however irrelevent it is) makes me feel like Im making some sort of progress and gives me a little bit of pride in an otherwise prideless situation... does that make sense?

I do sort of understand why - but didn't want tracey (or anyone) to feel they needed to buy it!

tracey_02 wrote: »

Just a wee query... I am in Scotland, so my defaults are with me for 5 years, but will they still show on my report for 6 years? This bit confuses me too!

Tracey

Defaults stay on your credit file for 6years regardless of where you live in the UK.

DVardysShadow

Mowgli87 wrote: »

Yeeeeahh... I know Im silly for doing it. Ive only done it twice, but watching the number go up (however irrelevent it is) makes me feel like Im making some sort of progress and gives me a little bit of pride in an otherwise prideless situation... does that make sense?

No, it does not make sense. It is things like seeing your debt to your friend coming down which should give you pride. Every £1 you spend on a credit score is a £1 delayed in repayment to your friend.

gambit27

tracey_02 wrote: »

Just a wee query... I am in Scotland, so my defaults are with me for 5 years, but will they still show on my report for 6 years? This bit confuses me too!

Tracey

Hi Tracey, I'm the same as you, in Scotland, and paying off defaulted debts I've another 2 years till the defaults drop off, but they do show for 6 years, it should tell you at the bottom of each debt how long it will stay on your file.

I've written off applying for any debt at all till after the defaults have dropped off, after that, I plan to apply for a credit card to get my credit score a boost, so I can think about getting a mortgage again!

I also save with the credit union by standing order, and should hopefully have a nice little nest egg to help towards a deposit by the time I'm default free. Some may say I should pay the extra towards the debt rather than savings, but I'm not paying interest, and to be honest, it would be totally depressing to spend all my spare cash on debts when right now, that little bit of savings going up and up gives me such a boost to know it'll be there when I need it I think it would be different if I was paying interest, but I'm not, and this is what works for me. It also allows me to take out a loan for xmas every year based on my savings, and I know if I don't pay it off by November, I won't be able to get money out for xmas again! It also keeps my savings safe as I can't touch them while I have a loan out. My savings right now are more than the loans I take out from them, but I'm used to putting the money away each week, and my savings still grow while I pay back the money.

Just another thought as you seem to have the same goals as me, get debt free, get rid of the defaults, get a mortgage