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Improving credit score by applying for a credit card?
DarylsCrossbow
Posts: 7 Forumite
Bit of background - currently my husband and I are in the process of selling our flat but have had to stop this as we've been told we're unable to be approved of a mortgage.
This is because of husbands poor credit score.
He's been terrible with a credit card and has racked up over £6k of debt, but have pretty much spent the past 18 months on and off, missing payments, late paying, barely scraping by.
Our plan was to put £1k which he has coming back to him from student loads on the card ASAP, and then working on paying off as much as we can every month on time.
The min payment at the moment is £200, if we paid £500 a month (on top of the £1k) is 12 months enough to rebuild his score enough to get a mortgage?
Furthermore, my score was excellent (999), but experience advised me to take out a credit card, use it monthly and pay it off it in full every month. Apart from my phone contract, I don't have any active credit accounts (aside from mortgage).
What's the best credit card to do this? And is spending £10 a month the paying it off straight away still a good way to increase my lendability further?
Should my husband do this as well then? Should he apply for a cc as soon as poss and do the same thing?
This is because of husbands poor credit score.
He's been terrible with a credit card and has racked up over £6k of debt, but have pretty much spent the past 18 months on and off, missing payments, late paying, barely scraping by.
Our plan was to put £1k which he has coming back to him from student loads on the card ASAP, and then working on paying off as much as we can every month on time.
The min payment at the moment is £200, if we paid £500 a month (on top of the £1k) is 12 months enough to rebuild his score enough to get a mortgage?
Furthermore, my score was excellent (999), but experience advised me to take out a credit card, use it monthly and pay it off it in full every month. Apart from my phone contract, I don't have any active credit accounts (aside from mortgage).
What's the best credit card to do this? And is spending £10 a month the paying it off straight away still a good way to increase my lendability further?
Should my husband do this as well then? Should he apply for a cc as soon as poss and do the same thing?
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Comments
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DarylsCrossbow wrote: »
Should my husband do this as well then? Should he apply for a cc as soon as poss and do the same thing?
Focus on the card he already has. Little point in applying for further credit.
Alternatively learn to do without a credit card. Save before spending.0 -
Aaaargh!
You and your husband DON't have a credit score, let alone an excellent or poor one. Credit scores not existing is covered every single day on here yet people still think they exist.
Ensure he doesnt miss payments by setting up a direct debit. A year may not be enough time for lenders to accept your application but we cannot say for sure as we do not know how different lenders will treat the credit file data on record for you both.0
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