Ideas for a credit card for someone with poor credit and bankruptcy on credit report?

jmheggie

Ok guys as in the title I was bankrupt a few years back, drops off in 18 months. My credit file from around that time is as you can imagine crap but after that is clean although I only have a bank account and a mobile contract but I have never once gone over limit or missed a payment on these. I started using Experian a few months back and at the time before I changed my address my actual score was just into the good section. I added my new address and it dropped to the average but probably because I have still not been added to the electoral roll. It said way to improve this basically was as I havnt applied for credit more than twice in 12 months.

So I decided I would look into this and both Vanquis and capital one advertise cards for people in my position so I applied for both. My credit score then dropped into the poor section for some reason and I was refused for both. I have since wrote them both a letter to say I did not need the card to survive on a month by month basis it was just to use to improve my credit rating and I planed to make a small purchase each month and pay off in full later that month. So I had expected a card with a small limit and a high intrest rate and I also included a couple of payslips to show on average I take home about £1500 per month. I dont know if they will change there minds but its worth a shot and im still waiting to hear back!

Has anyone got any ideas where I go from here, well apart from give up for a few months then maybe try again? I dont need the credit I just want to work on improving my score.

Thanks guys in advance for any replys

izools

Have you written to all the creditors involved in your bankruptcy advising them of your discharge? All of the accounts integrated into your BR order will still show as having balances owing if you don't.

When I was discharged from BR the first thing I did was to write to the three Credit Reference Agencies (Experian, Equifax, and Call Credit) with proof of discharge requesting they update their records.

I then wrote to all the creditors who showed outstanding balances on my credit files, enclosing proof of discharge requesting they update my accounts and credit files reflecting the discharge.

Finally, I actioned notices of disassociation with each credit reference agency for all of the financial links to third parties they each held.

After 6-8 weeks all of the updates to my three credit files (EQ, EX, CC) had been made and I applied for a Vanquis card which I was approved for at the standard 39.9% APR.

Six months later I was approved for a full bank account with Lloyds TSB. I was also approved for an Aqua card six months after that (so twelve months after discharge).

About two years after discharge (last October) I applied for a HSBC Current Account, which was approved with a £1,000 OD (which I reduced to £500). Around the same time I was also approved for a Capital One Progress card.

I am now in a position where I have a discharged BR on my Experian file and six (satisfied - due to my writing to the creditors concerned) defaults but a plethora of flawless account conduct since and haven't been declined for anything other than an HSBC credit card in the last nine months or so.

I figure you need to do your post-bankrupty credit file cleanup as I did and ensure you're on the ER.

That and keep credit searched applications to under three to four in any six month period and you'll be making good inroads.

Good luck! :beer:

jmheggie

izools wrote: »

Have you written to all the creditors involved in your bankruptcy advising them of your discharge? All of the accounts integrated into your BR order will still show as having balances owing if you don't.

When I was discharged from BR the first thing I did was to write to the three Credit Reference Agencies (Experian, Equifax, and Call Credit) with proof of discharge requesting they update their records.

I then wrote to all the creditors who showed outstanding balances on my credit files, enclosing proof of discharge requesting they update my accounts and credit files reflecting the discharge.

Finally, I actioned notices of disassociation with each credit reference agency for all of the financial links to third parties they each held.

After 6-8 weeks all of the updates to my three credit files (EQ, EX, CC) had been made and I applied for a Vanquis card which I was approved for at the standard 39.9% APR.

Six months later I was approved for a full bank account with Lloyds TSB. I was also approved for an Aqua card six months after that (so twelve months after discharge).

About two years after discharge (last October) I applied for a HSBC Current Account, which was approved with a £1,000 OD (which I reduced to £500). Around the same time I was also approved for a Capital One Progress card.

I am now in a position where I have a discharged BR on my Experian file and six (satisfied - due to my writing to the creditors concerned) defaults but a plethora of flawless account conduct since and haven't been declined for anything other than an HSBC credit card in the last nine months or so.

I figure you need to do your post-bankrupty credit file cleanup as I did and ensure you're on the ER.

That and keep credit searched applications to under three to four in any six month period and you'll be making good inroads.

Good luck! :beer:

Many thanks for the nice long reply! to be honest I have done basically none of the above:( And post bankruptcy I had a massive issue with the tax man and me almost not actually being known by HMRC :rotfl:. It took about four months to sort out but on the plus side the tax that I owed before the order they wrote off which I didnt expect!

I think you have hit it on the nose though as I have 9 defaults I think on my credit report which basically shows as defualted about the time, or some after by a few months after the order, but most of these still so dates as updated in 09 or 2010. I would have thought the default would still be there but would show settled as you said.

The other think I am suprised by is the total shows on my report as defaulted is about £20000, but the order was near double this. MBNA would show a big part of this but cant be seen on there. I did get letters for about 2 years after the order from a company who I belive had brought the debt from them would this explain this?

I also take it payments on council tax, water gas and elec and so on dont share with company like experian?

izools if I could ask as massive favour if you dont mind could you PM me your email address so I can send you a copy of my report for you to look over? you could then if you have time tell me the best way to go about it. I guess the defaults drop off 6 years after the defualt date not the updated but if they go by updated could be 2016 before some is off

izools

Happy to help! Have PM'd you :beer: