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

danthemoneysavingman

johnnycash wrote: »

My son tried to open a student account today with The Halifax, but he was refused because he had no credit rating. We have since been told this is because he has never had a bank account, so no rating is available. Has anybody else been in this situation, i.e not being able to open an account because you have never had one?

When this is the case, your son (with your permission of course!) can ask for your credit file information to be considered in his application "as he has a thin credit file" - though I'm not sure if all banks have made this option possible. This would then financially associate you with your son, but he would (assuming your credit rating is good) then get the account. Worth asking before you apply of course...

danthemoneysavingman

chuchutomo wrote: »

when and how will it get better

Your credit score will improve the longer you continue to make your mortgage payments (and not miss any of course). After 6 months you should be in a better position than before your mortgage

danthemoneysavingman

jonnypb wrote: »

I got a credit score of around 660 which is rated as poor :mad:

The only things that have made it this bad is forgetting to pay the credit card on time :rolleyes: and having 1 bank account in the overdraft.

If you're in your overdraft does this go against you?

Whats the best way to get your score back up?

Thanks

set up direct debits to pay your credit card(s), so then you won't forget.

Which agency is your quoted score from? scores from different agencies don't (necessarily) mean the same thing.

Being in overdraft doesn't "go against you" particularly, unless you're always there & pay charges for exceeding your limit.

The best way to improve your score is to borrow money & repay with no missed payments - best plan is with a credit card as you can make sure it costs you nothing.

danthemoneysavingman

Oliuk25 wrote: »

Hi all,

Can anyone help with this?

I always get rejected for credit and was recently rejected for an Alliance and Leicester Premier Account.

I've had copies of my credit report.

Now I have moved around quite a bit (8 addresses in the last 6 years as a renter) and not always been on the electoral roll. I have however been on the Electoral Roll for the last 1.5 years.

I've been with my bank for 13 years only have one credit card which I pay off in full at the end of each month.

Some of the addresses have flagged up on CIFAS section after I have lived there. Could this be an issue?

Also is there anyone I can talk to about my credit report to find out if there are any other issues with it? Citizens Advice Bureau?

Cheers

Oli

Not being on the electoral roll is one surefire way to ensure you're rejected for most credit products. The register is only updated once a year at the bureaux (usu. October I think) - so bear that in mind.

13yrs at bank, one cr card with no missed payments - these are good things.

Your prev. addresses being on CIFAS shouldn't affect you if there are records proving you weren't there at those times - this is why it's important to keep your address up-to-date with your creditors.

CAB may be able to offer advice, but their time is better spent helping those in actual financial trouble - remember they are volunteers so their time is a scarce resource.

Hope this helps

dj_dyse

Can anyone clarify if debts incurred by people living at the same address, or tenants to whom you let property will adversely effect your own credit records? Debt recovery agencies are chasing previous tenants at a property I own, which is registered in my name.

danthemoneysavingman

dj_dyse wrote: »

Can anyone clarify if debts incurred by people living at the same address, or tenants to whom you let property will adversely effect your own credit records? Debt recovery agencies are chasing previous tenants at a property I own, which is registered in my name.

They will not affect your credit rating for personal credit, as association by address only is not longer allowable - assuming you areas living elsewhere at the time (e.g. on electoral roll, say).

russbeck

Hi, I've just checked my credit file and most of it seems fine but it is showing 2 defaults. One for Studio catalogue and another for a Lombard loan. Both show settled but have status 8 which is default. Is there any way of getting these removed because I don't owe them any money.

Thanksxx

vwman_3

russbeck wrote: »

Hi, I've just checked my credit file and most of it seems fine but it is showing 2 defaults. One for Studio catalogue and another for a Lombard loan. Both show settled but have status 8 which is default. Is there any way of getting these removed because I don't owe them any money.

Thanksxx

The defaults will stay on your file for 6 years from the date of the default, even if they are settled.......

bodderz

Hi all,

My OH and I would like to open a joint savings account, primarily as a record for the Home Office for proof of living together (OH is American).

If we open a joint HSBC savings account, will our files be linked? HSBC staff seem to think so (they also think that we will be credit checked too). Is this correct?

I'm concerned if we the savings account does link our files that my credit history will be badly affected.

Thanks!

bodderz

russbeck wrote: »

Hi, I've just checked my credit file and most of it seems fine but it is showing 2 defaults. One for Studio catalogue and another for a Lombard loan. Both show settled but have status 8 which is default. Is there any way of getting these removed because I don't owe them any money.

Thanksxx

Hi russbeck,

I think that status 8 means that you are still owing and that you defaulted more than 3 times? Apologies if I'm wrong, it's been a while since I checked my file (November '06) but I had something similar with Vodafone. They had a status 8 on my file dating back to Jan 2002 when in fact I had paid (the account was originally with Singlepoint and had not been settled due to an internal error when Vodafone bought them out). After many phone calls and eventually speaking to a very helpful lady in a non-customer facing department, she was able to remove it (and another which was on there too) - took 48 hours. So it can be done...