Poor credit score?

james140101

Hi Guys,

I had my bank account closed (Barclays) in May due to a breach in the terms. I had failed around 10 DD in the last 2months with no money at all going in.

I then went to Santander to see what they could offer and I got a basic account opened there and then. 10days later the account was closed.

Halifax basic account did the same.

I checked my credit report and this is the situation: 2 CCJ in last 12months both unpaid. 8 account defaults. one with Lloyds TSB and other ranging from Virgin and o2. My credit score is 137. How poor is this?

I now bank with Think banking and actually had a break last week in that I received £10,000 from my father as a 21st present. I now want to start rebuilding. what would you guys suggest?

MrsTUS

james140101 wrote: »

Hi Guys,

I had my bank account closed (Barclays) in May due to a breach in the terms. I had failed around 10 DD in the last 2months with no money at all going in.

I then went to Santander to see what they could offer and I got a basic account opened there and then. 10days later the account was closed.

Halifax basic account did the same.

I checked my credit report and this is the situation: 2 CCJ in last 12months both unpaid. 8 account defaults. one with Lloyds TSB and other ranging from Virgin and o2. My credit score is 137. How poor is this?

I now bank with Think banking and actually had a break last week in that I received £10,000 from my father as a 21st present. I now want to start rebuilding. what would you guys suggest?

Firstly, start by paying off your debts, offering Full & Finals - would the 10K be enough to clear your debt? I wouldn't bother offerinf full amounts for debts, as the defaults are there regardless now, so try offering 40% of the total figure and negotiate from there and make sure you get it in writing that it will settle the debt in full and they will consider the matter closed, will not chase you for further money in the future nor will they sell the remainder of the balance on..

Then I suggest you steer clear of credit for 6 years until all those defaults and CCJs (hopefully all settled with F&Fs) fall off your credit file and in the meantime you need to learn how to budget your money properly and start saving..

You are in an enviable position. Make the most of it.

lvm

If you post details of all your debt with who the initial debt was for, the current balance, date defaulted and who the debt is currently owned by (if it's been sold on), you may get some helpful advice on full and final settlement offers. In my opinion 40% is quite a big starting point although this depends on who has the debt and when the last payment was made. I offered 1 particular creditor about 20-25% and they agreed on 40%.

MrsTUS

lvm wrote: »

If you post details of all your debt with who the initial debt was for, the current balance, date defaulted and who the debt is currently owned by (if it's been sold on), you may get some helpful advice on full and final settlement offers. In my opinion 40% is quite a big starting point although this depends on who has the debt and when the last payment was made. I offered 1 particular creditor about 20-25% and they agreed on 40%.

Sorry, I had meant to type 30% - fat fingers!!

james140101

MrsTUS wrote: »

Firstly, start by paying off your debts, offering Full & Finals - would the 10K be enough to clear your debt? I wouldn't bother offerinf full amounts for debts, as the defaults are there regardless now, so try offering 40% of the total figure and negotiate from there and make sure you get it in writing that it will settle the debt in full and they will consider the matter closed, will not chase you for further money in the future nor will they sell the remainder of the balance on..

Then I suggest you steer clear of credit for 6 years until all those defaults and CCJs (hopefully all settled with F&Fs) fall off your credit file and in the meantime you need to learn how to budget your money properly and start saving..

You are in an enviable position. Make the most of it.

Current Account from Lloyds Tsb Current Accounts (I)/ XXXXXXXXXX4168 £397

Communications Supplier from Lowell Portfolio 1 Ltd (I)/ XXXXXX6878 £561 was o2

Communications Supplier from Virgin Media Group (I) / XXXXXXXXXX9603 £215

Credit Card from Cabot Financial (Uk)ltd (I) / XXX9532 £223

Communications Supplier from T-mobile (I) / XXXXX6781 £193

Communications Supplier from Lowell Portfolio 1 Ltd (I) / XXXXXX3885 £1,028

CCJ 1 : £647 Will settle at 50%

CCJ 2: £210

All defaulted and nothing communicated as of yet. Be good to hear suggestions. any tips on how to build? The £10,000 will clear and leave some.

Thanks for help guys!

How poor is 137!?

DarnIt_3

james140101 wrote: »

Current Account from Lloyds Tsb Current Accounts (I)/ XXXXXXXXXX4168 £397
Offer £150

Communications Supplier from Lowell Portfolio 1 Ltd (I)/ XXXXXX6878 £561 was o2
Offer £200

Communications Supplier from Virgin Media Group (I) / XXXXXXXXXX9603 £215
£100

Credit Card from Cabot Financial (Uk)ltd (I) / XXX9532 £223
£100

Communications Supplier from T-mobile (I) / XXXXX6781 £193
£75
Communications Supplier from Lowell Portfolio 1 Ltd (I) / XXXXXX3885 £1,028
£400
CCJ 1 : £647 Will settle at 50%

CCJ 2: £210
£100
All defaulted and nothing communicated as of yet. Be good to hear suggestions. any tips on how to build? The £10,000 will clear and leave some.

Thanks for help guys!

How poor is 137!?

So you can get rid of your debts for around £1400.
137 is pretty appauling, but what do you expect with so many defaults and ccjs.

Make sure you have it in writing before settling that you are settling on a lower amount.

MoneyWasting_Expert

Your score is the lowest I have heard off. For sure pay off your debts even if there F&F as your credit file is already !!!!ed. Then learn some life issues, because in the future you may not get a bail out. The one thing that doesnt really sit good on your file, is the fact that you have large defaultes on accounts and they mainly appear to be with communications suppliers. There is no real history of borrowing, and your file looks like someone that gets a phone each time and then cant be bothered to pay the bills.

I have nearly paid my debts sadly though CF looks !!!!ed too despite paying back every penny that is owed. Positive for me was the Barclaycard never revoked my accounts so I still have 2 mainstream credit cards contrbuting monthly to my CF.

I now know Rebuilding Credit History is a long term task, set the goal of being debt free, and paying CC etc in full with no charges and 6 years down the line your CF will look good.