recently discharged - "credit score" advice

questionasker

Hi all. I regularly view these boards and have seen some great advice on various topics - I hope you can help me!

I've recently been discharged from bankruptcy (couple of weeks ago) I'm now trying to work out how best to improve my credit so that in the future when I look to purchase a home etc I will get the best rates possible.

I've applied for all 3 credit reports so that I can correct any mistakes and think the best way to move forward would be to get a credit card/loan and only use so that I can make payments on time therefore improving credit rating and so on!!!

Has any1 been in this position recently - do you have any advice on best cards/loans available for discharged bankrupts or other ways to improve my "score".

Many thanks in advance

NekoZombie

Ho Hum,

I seem to remember hearing this process can take forever. Although you can technically now get credit, I don't think many will be queuing to give it to you. There are some dodgy companies like vanquis, that charge APR of 59%, so if you do use these, make sure you pay off the balance in *full* every month.

Maybe try something small like getting a monthly contract on a mobile phone.

gettingitsorted

I think capital one have a card that you haft to pay a £200 ish deposit down for then you get a limit of £200 it was someone on these boards that posted about it ,but you haft to be prepared to pay the full balance every month so as to not get stung by the huge interest charges .

wullieb1

I was made bankrupt 6 years ago now and was released 3 years ago.

Just after i was released i managed to get myself a Cap1 credit card with a £200 limit and a security deposit of £200.

Just today i have been accepted for another card that has a limit of £500 with no security deposit.

It takes a long time to start getting these new cards to start building your credit rating i'm afraid.

It will take 6 years for the bankruptcy and defaults to drop off your credit file after which time it will get easier. In the mean time to help with the credit rating go to cap1 an get one of there cards and start using it responsibly.

Good luck

Richard_S

wullieb1 wrote: »

I was made bankrupt 6 years ago now and was released 3 years ago.

Just after i was released i managed to get myself a Cap1 credit card with a £200 limit and a security deposit of £200.

Just today i have been accepted for another card that has a limit of £500 with no security deposit.

It takes a long time to start getting these new cards to start building your credit rating i'm afraid.

It will take 6 years for the bankruptcy and defaults to drop off your credit file after which time it will get easier. In the mean time to help with the credit rating go to cap1 an get one of there cards and start using it responsibly.

Good luck

Hi wullie,

I've looked at Cap1's website but not seen those cards advertised. We're not discharged yet but I'd like to start the "repair game" as soon as possible once we're discharged.

Richard

questionasker

hi guys thanks for all your replies. I spoke with Cap1 last night and their "guarantee card" no longer exists unfortunately. Any other ideas? I'm sure if i apply for any other card I'll get rejected.

NekoZombie

So did you look at the vanquis card?

Mike_St_Helens

NekoZombie wrote: »

So did you look at the vanquis card?

WOW ! You would certainly have to watch this like a hawk if you wanted one.... 39.9% APR :eek:

questionasker

haven't looked at vanquis yet - concerned i won't be accepted them it'll leave a record on my file etc etc etc

not too worried about the rates as I'll be paying off in full every in order to raise my credit rating (the sole purpose of me getting a card like this). Any1 know what the chances are of being accepted after being discharged - is there a good length of time to wait?

wullieb1

Any credit card that starts helping you repair your credit history will help.

The important thing to remember is that you pay it off in full each month

AlanD_3

Um... I don't think it works like that. Paying off in full each month does not make you attractive to them and your credit rating tends to plateau. In order to use a credit card to build up your rating you need to only be paying back the minimum thus be the sort of borrower they love i.e. the one that makes them loads and loads of money.

Not the sort of advice I want to give on here as it could end up putting you back on here again.

As long as you don't default and don't pay it back in full (pay back part of it, over the minimum) you are considered to be a good customer and your credit will be extended etc.

They like people who will make them money and they want to make more off them.

That is my understanding anyway.

Alan