Rebuilding credit

mr_boony

I was wondering how I can rebuild my credit score after my university years of borrowing on loans and credit cards, and getting defaults (no ccj thank fully) which I have another 3 years to wait before they drop off my account.

I don't need to borrow because I need the money I simply want to rebuild my credit score. If I took out the dreaded payday loan for a few days paid it off, took another out a few weeks later, paid it off would that improve my score? I can sacrifice the money it will cost if in the long run it will be beneficial.

I have a cash plus card with the credit builder option too, but I only took it out a couple if months ago so other bad credit score cards I assume are likely to decline me.

Any suggestions greatly appreciated!

Tixy

Whilst the defaults are on file your file is never going to look great, so really its a case of trying to build up a credit history for once the defaults have all dropped off.

Most lenders would view payday loans on your file as a negative not a positive. They suggest that you are unable to live within your monthly income without additional borrowing.

Presumably the bad debts are all repaid now and showing as satisfied on your credit file?
I would carry on with the credit builder card and then perhaps try for a subprime card such as vanquis or capital one classic in a few months (once you have had the credit builder for 6months). Once you can get a subprime card then use and repay in full each statement.

jessie4109

Some of the things I have done is to get a 30 day rolling sim as I didnt need a full credit check and it reports every month to credit reference agencies. I opened a new account with the co op as they report back too. I think nationwide does too.