Very poor credit rating.

rd2131

Hi,

I need some advice on the best credit cards available to someone who has a credit score of between 512 - 519. At the moment I have had a number rejections with a number of credit cards. Have taken out a number of Wonga loans and made successful payments and hopefully this will help boost my credit rating slightly.

I was made redundant in April and have no source of income at the moment. Applied for a number of jobs, 50+ a week and nobody has got back to me. I have a car loan which chases me weekly and gives me the option to either voluntarily hand the car back or sell it. Also a credit card with arrears of £300.

No idea what to do next. If anybody can help or give some advice then that will be excellent.

Thank you.

Rd2131

chanz4

With recent signs of distress, doubt anyone would do. However the bottom pond feeder vanquis maydo

Tixy

rd2131 wrote: »

No idea what to do next. If anybody can help or give some advice then that will be excellent.

Definitely consider handing back the car, you cannot afford it with no income.
Wonga loans will not improve your chances of getting any new credit. They will massively reduce the chance anyone will want to lend to you.

You won't get a new credit card without an income and already being behind on your existing debt.

Try contacting your credit card provider to explain you are out of work and that you are only able to pay a token payment towards the debt each month - and ask them if they will consider freezing interest & charges.

Check you are getting whatever the benefits you are entited to

rd2131

Tixy wrote: »

Definitely consider handing back the car, you cannot afford it with no income.
Wonga loans will not improve your chances of getting any new credit. They will massively reduce the chance anyone will want to lend to you.
to

Why would Wonga loans reduce your chance of getting lenders to let you borrow?

Thanks.

BugsyBrowne

rd2131 wrote: »

Why would Wonga loans reduce your chance of getting lenders to let you borrow?

Thanks.

Someone using wonga is seen by a lender as someone who has not got their finances in order therefore putting a wonga customer as a very high risk.

If you were a bank checking someone's credit file and you see wonga what would that tell you about the applicant.

oohes

rd2131 wrote: »

Why would Wonga loans reduce your chance of getting lenders to let you borrow?

Thanks.

Because it looks like you're stuggling to even make it from one pay day to the next.

chanz4

i wont 100% say it does, I have a PDUK one for cash back. Its on my credit file and has not stopped me getting prime cards

Tixy

A single pay day loan on a file that has a good history of regular credit accounts and repaying all on time is unlikely to be a major issue.

Several payday loans on a file such as described in the opening post - with arrears on a credit card account - implies a desperate high risk borrower.

Perhaps worth mentioning that payday loans don't appear the same a regular loans on a credit file - they appear as 'advance against income' or similar wording - ie its perfectly clear to other potential lenders who search your credit file that these are payday loans - even though the reports are anonymised - ie other potential lenders cannot see the names of your other creditors.

jonesMUFCforever

It seems my post has been deleted - some people can't accept the truth.
If OP is unemployed and with a poor credit rating it is highly unlikely that he will get any new credit.

pippitypop

I don't think you should be worrying about your credit now. I would worry about your existing debts.

If you can't afford the car., give it back. If it's going to cost you more in the long term to keep it - give it back. You can always get another car when you have a regular income.

To your other lenders, phone them, explain the situation and the confirm it in writing. Pay them something each month, even if it isn't always the amount they had hoped for.

Pay off the most expensive debts first! Get professional debt advice from your local CAB or other relevant agency. Make sure you are claiming all the benefits you are entitled to. Utilise your local job centre rep - it's in their best interests to help you. Worst comes to worst they can offer you retraining opportunities, free courses and volunteering opportunites that could increase your chances of getting a job.

Speak to your friends and family to see if there are jobs going in their place of work, even if they are not in your field of work. The majority of people I work with got their jobs on recommendations of friends and family. When applying for jobs, make sure you phone the company to follow up your application. Agencies tend to be useless IMO (Reed in particular) I literally applied for HUNDREDS of jobs that I was capable, qualified and had the relevant experience to do. But I got no response to my applications. Get involved on Linkedin, Facebook etc Bottom line is that most agencies field hundreds of candidates for the same job, your chances are greatly reduced. Look for jobs on the companies actual website and as I said make contact.

Best of luck and keep your chin up in what must be a very difficult time