hi, credit report help

bigtop

Hi, this is my first post.
Just after a bit of advice and not sure where to post it, sorry.

Basically, i have just done the free experian credit report to see how my credit is, as my bank, tsb, has said i have no further lending available.
I owe less than 4000 on my loan that i got to pay off my credit card, and it is 180 a month, so i thought i might refinance, as iv lost hours in work.
I thought if i could refinance the 4000 over 4 years, i may be able to reduce my monthly payments to closer to 100, which would help alot.
They refused to help, so i went to ratesetter, who also refused me.
Thought id check my credit, so got a score of just less than 800.
It says that its low because i have so many things on my report.
The thing is, one is my bank account
One is the loan
One is my car finance
One is the credit card which is cancelled and 0 balance and settled
One is an old mobile contract that is settled
So, my question is, how can i improve my credit and re finance?
Surely as the card and contract are no longer active they shouldnt affect my score?
I think they stay for 6 years, but surely they should just show up, not affect my score?
I have no missed payments on anything, so i dont know what else i can do to improve my score and save some money every month?
Any help appreciated, sorry for the long post
Thanks
Pete, in sunny north wales.

[Deleted User]

what is your outstanding debt v your income,anything over 50% isnt likely to get you more loans,and credit scores mean NOTHING

erimus1

As the above post has brought up, in credit scoring, various things are taken into account - 1 is the debt to income ratio, 2 debt to available income. Your score would probably have gone own by settling your CC. It would have looked good if you had n available balance but were not using all or most of it. You can take this view to the other xtreme where you have too much available balance.

bigtop

Hi.
My total debt is 9 thousand and something.
My income is 23000, or a little more.
The thing is, when i took the loan to pay the card i was asked over how long i wanted to take it, and i chose 3 years, which was fine at the time.
If i had chose 5 or 4 years that would have been ok.
But now i want to change the length of time, they wont.

So what your saying is, its the total debt i have thats causing the problem, not all the individual items.

I guess theres nothing i can do then.
I just wanted to free up some cash every month, to make up for lost income.
I suppose at least its getting paid off quick at 180 a month.

Will my score get gradually better as i pay off the debts? Or stay the same until they are fully paid?

And are the two settled debts, the phone contract and credit card, making a difference, or should i just ignore them?

Thanks
Pete

erimus1

Just to gt one thing straight - there int just one credit score - every lender and agency will have their own scoring system, so referring to this is really pointless. You can only really take an objective and generalised view of what s considered good and bad credit worthiness. You then have to take into consideration finite differences between certain lenders i.e. different lenders accepting different credit to income ratios.

Lenders like good history, so any evidence of you paying debt off is good. Another good point to note, and is mentioned by quite a lot is paying of debt early.

Just a note on the refinancing - have you got an exact reason why the lender will not refinance? Have a look, and think what has changed since you took the digital finance out i.e. you had the Credit Card when you applied for the original. Perhaps ayou could try and gt another CC - this may then make you more desirable for refinancing he loan. There are sme CC's easier than others to get, such as Creation or perhaps Barclaycard Gold.

AFK_Matrix

I'd also recommend you go to all 3 credit referencing agencies and get the £2 statutory credit report. Then have a good look through all 3 and make sure all your details are correct, as incorrect details could affect getting credit. I also assume your on the Electoral Roll as well, as this can help things.

bigtop

Yeah im on electoral roll.
And i checked experian because thats who tsb use apparently.
Experian kindly passed my number to people too, as iv had texts and calls all day about loans.
Answered one to a company and went through everything and was refused again.
So looks like i cant do anything for some reason.
Im just going to have to put up with paying 180 a month out for another 24 months, then its paid off.

bigadaj

Using the half salary to debt ratio as a guide what you might be able to do is apply for a loan or just two thousand which might go through, assuming the rate you get is less than you are currently on. However it sounds like you have now applied several times within a short space of time so would be better to wait for six months and then try again, not the solution you wanted but beggars can't be choosers.

Hazzinho

If you want a £4k loan on top of your £9k debt it means your debt is over 50% of your salary, this will be why you're being turned down.