Your Credit Rating: How it works and How to improve it Discussion Area

KingPin_2

does a Identification: Generic Check lower your credit score do other lenders see this when searching your file.

just trying to understand how this all works

isabella123_2

I have various credit cards and a mortgage which all have excellent repayment history and up until today I have had an above average credit rating with a history of no missed payments. I have another card which was set up a number of years ago with the address being a p o box and no connection to my home address. There was over 2k outstanding on it which I just kept paying £100 a month towards. Meanwhile because mail kept going missing from my p o box, I stopped it. Therefore no statements were received although the card was still registered to the p o box. However I continued to keep paying the £100 a month - the plan being to pay this until it was paid off. I know I would probably have been late with some payments as I did not have any statements showing the date to be paid and just paid the £100 per month approximately every month when I went to the bank. However, now this card is showing for the first time against my credit history against my home address and has a default notice against it. What can I do? Can I offer to pay the outstanding balance (about £2k) off in total in exchange for them lifting the default notice to just read 'several late payments'. Any advise is appreciated as I do not want a bad credit rating. My rating is now at poor. Help!

Orlando_Virgin

isabella123 wrote: »

I have various credit cards and a mortgage which all have excellent repayment history and up until today I have had an above average credit rating with a history of no missed payments. I have another card which was set up a number of years ago with the address being a p o box and no connection to my home address. There was over 2k outstanding on it which I just kept paying £100 a month towards. Meanwhile because mail kept going missing from my p o box, I stopped it. Therefore no statements were received although the card was still registered to the p o box. However I continued to keep paying the £100 a month - the plan being to pay this until it was paid off. I know I would probably have been late with some payments as I did not have any statements showing the date to be paid and just paid the £100 per month approximately every month when I went to the bank. However, now this card is showing for the first time against my credit history against my home address and has a default notice against it. What can I do? Can I offer to pay the outstanding balance (about £2k) off in total in exchange for them lifting the default notice to just read 'several late payments'. Any advise is appreciated as I do not want a bad credit rating. My rating is now at poor. Help!

I know you don't particularly wanna hear this but getting rid of a default can be extremely difficult. Even if you pay the full amount, the default will just be changed to satisfied. Whilst considerably better than outstanding, unfotunately some companies see the word "default" and will reject you for credit immediately - especially in the current climate.

Search these forums and the Consumer Action Group ones for more info, or PM me I will try and help.

Orlando_Virgin

Just had a default removed recently, does anybody know how badly a default actually affects your score points wise, and how much it should rise after removal of the default?

Also, because of this removal the score has risen to 927 out of 1000, in good, but not quite excellent. I am shortly going to apply for a mortgage for my first house and as you all probably know credit rating is monumental in the rate I get, as well as desposit. I only have a £1000 overdraft and no other debt, what's the best way to raise my score, I'm on the electoral roll at my current address. My other half mentioned a good way is to get a credit card, use it for something like petrol and pay it off in full at the end of each month, is this good advice? Anything would be appreciated on any of the questions. Thanks in advance.

OV

Owen_More

I have an MBNA Credit Card (status withdrawn), that has been on a direct debit paying off the minimum amount for the last 2 years, the total amount to be paid off is currently £6,581.

My latest statement is for £169.17 of which £163,91 was actual interest!!

I have recently had an insolvency with my business and currently only live on working tax credits, so I cannot continue to pay this amount of interest.

I phoned MBNA, to discuss my situation to negotiate a reduction in interest and was refused point blank!

I tried to reason with the representative, until I had to make him aware of the Banking Code Of Conduct, and this made no difference either, so after insisting i speak to his manager, I finally was put through to the "retention" dept.

They then agreed to a 10% reduction, but as my interest rate was at 34.9%
the reduction still offers me no realistic way of affording the repayments, I do not want to incur a default,

Does anyone know how or if I can get a freezing of the interest (I think they have earned enough out of me now anyway) so that I can try to pay the actual debt off, the card is no longer issued to me anyway, so this is not now a credit card service, it is a loan or debt to me. I do not want to be issued with a default if possible, maybe there is no other way? - Any suggestions or help would greatly appreciated.

gmadkour

CLAPTON wrote: »

probably your best bet is to try your bank as you already have a good relationship with them

A mortgage broker may help because assures the faithful of a mortgage broker, including proper accounting for the funds that it receives. This bond protects the public against default, fraud, misrepresentation, or other wrongful acts by a mortgage broker.