My credit file in 6 months time?

Royston19844

Currently my snapshot of my file is;

1 bank account in credit always has been,
1 bank account in overdraft (around £1k)
1 credit card (3 years never missed a payment owe £90 23%)
1 mobile contract defaulted owe £201

In six months it should be (all going to plan)

1 bank account in credit always has been,
1 bank account closed with no money owing,
1 credit card paid with no missed payments

The mobile contract will have come off as longer then 6 years and the overdraft would have been paid.

My credit 'score' is currently 579,

My question is will it jump up as I won't have the negative stuff on there or will is slowly get better, my thoughts are any creditors look at a snap shot so they won't see the stuff that's gone off there and should 'score' me on that basis!

Cycrow

weather the score jumps or not is irrelevant, as it doesn't really mean anything either way.

once the default is gone, that'll certaintly improve your credit file.
The bank account with overdraft will still be on your file and still show that u've been in your overdraft for awhile. But at least it wont show any more debt.

Are you hoping to obtain some more credit in 6 months time, if so, what are you hoping to get ?

Royston19844

I'm looking to get a mortgage in about 12 months time but this lot clears in 6!

The_Boss

Royston19844 wrote: »

My credit 'score' is currently 579,

My question is will it jump up as I won't have the negative stuff on there or will is slowly get better, my thoughts are any creditors look at a snap shot so they won't see the stuff that's gone off there and should 'score' me on that basis!

You don't have a credit score.

Sounds like you are talking about an Experian or Equifax score and it doesn't matter if it jumps up or not as neither Experian or Equifax are lenders and lenders will use a lot more data that isn't held on your credit files when they assess you for credit/your mortgage.

pompeyred

Every single post made rubbishing the credit score is slightly misguided (The Boss - you appear to look for posts and labour this point).

The truth is that it is simply a 'health check score' made by an organisation who are in the business of managing credit records. What is correct about using this score is that the people who look at it are educated to the boundaries of its relevance and the limitations to which it applies.

I don't think it's pointless, quite the opposite, I think it's useful but only as an indicator and only to the very person looking at it, however the same is true for any organisation that generates a score on someone's credit worthiness even if they are lenders as its equally true that each and every lender apply different criteria to which they grant or deny facilities with the added difference that lenders scores can change based on bizarre events Vs the stability of monitoring a credit file agency score. In all no-one applies for credit with the credit reference agency but I also don't think they sell it as a cast iron guarantee of any facility provision.

All that said, I don't subscribe but should I choose to then I think it would be a good indicator on a periodic basis as to the health of my finance management.

You-kip

pompeyred wrote: »

Every single post made rubbishing the credit score is slightly misguided (The Boss - you appear to look for posts and labour this point).

The truth is that it is simply a 'health check score' made by an organisation who are in the business of managing credit records. What is correct about using this score is that the people who look at it are educated to the boundaries of its relevance and the limitations to which it applies.

I don't think it's pointless, quite the opposite, I think it's useful but only as an indicator and only to the very person looking at it, however the same is true for any organisation that generates a score on someone's credit worthiness even if they are lenders as its equally true that each and every lender apply different criteria to which they grant or deny facilities with the added difference that lenders scores can change based on bizarre events Vs the stability of monitoring a credit file agency score. In all no-one applies for credit with the credit reference agency but I also don't think they sell it as a cast iron guarantee of any facility provision.

All that said, I don't subscribe but should I choose to then I think it would be a good indicator on a periodic basis as to the health of my finance management.

Today matthew I'm going to be Mr J Jones from Experian.

The_Boss

You-kip wrote: »

Today matthew I'm going to be Mr J Jones from Experian.

Not sure I can be bothered to reply, not when people with defaults, bankruptcy orders etc and a 'score' of 900+ already state my case better than I could.

I definitely do not go looking for posts and labour a point. I look at this board most days. So many people believe that they DO have a fixed credit score so it's good that they are advised otherwise.

Royston19844

I know the score is there as a guidance, I understand there is no actual reference score! I understand that they just look at your file and make a decision based on your history, I personally feel that the sites that offer a 'score' system are helping people who don't understand because it shows wether they are bad or good at debt management!

Alas, I didn't create this thread to discuss the finer points of 'the credit score', believe it or not I just wondered if my credit file would be instantly better when the default went!

The_Boss

Royston19844 wrote: »

I know the score is there as a guidance, I understand there is no actual reference score! I understand that they just look at your file and make a decision based on your history

That's not correct though - the data from the application form is absolutely critical in determining whether you get credit.

Alas, I didn't create this thread to discuss the finer points of 'the credit score', believe it or not I just wondered if my credit file would be instantly better when the default went!

You asked if your credit score would 'jump up', not whether your credit file would be better. Credit scores snd credit files are not the same thing hence the direction the thread went in.

Experian_company_representative

Losing adverse data from your credit history can only be positive. As to what impact this has on any CRA's guide score, it depends how that score is calculated. I know that with the Experian Credit Score you also get a list of positive and negative factors affecting the score, so that should hopefully give you some guidance there.

James

JustinCredibleGillespie

I kind of asked the same question on a different thread about my partners credit report, Noddle was 3/5 then a default dropped off leaving all positive information and it dropped to 1/5. We'll just have to wait and see if it improves in 6 months also.

JCG

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