Need Advice

boucho11

Hi Guys,

Very new to these boards, hoping someone can help me.

My credit file was a bit of a mess until recently, I had 3 Defaults and a CCJ! Very poor management on my part i know but as the CCJ took 6 years to come off I didnt really see the point in bothering with it until that time.

The CCJ was removed in Feb this year, all the defaults are settled in full with one due to fall off later this year. The problem I'm having is my credit score is currently at 359 which is very poor and I need to get it improved. I've tried applying for a credit card and have been declined those as well. Even the worst ones, Vanquis and the likes. Really don't know what to do? The only thing that I have in credit is my mobile phone, which i have never missed a payment and a £1000 loan which is the same, no missed payments.

If anyone could advise whats the best way to improve my credit it would be greatly appreciated.

Thanks

Hazzinho

Don't worry about the score, it means little and you are the only one who sees it, just make sure the data is correct by using Noddle (free for life) and the £2 reports with Experian and Equifax, if anything is incorrect dispute it. Also make sure you are on the electoral roll as this is a major indicator you live at the address provided. Word of warning, too many searches in a short time impact you short term.

boucho11

Hi Hazzinho,

Yes i understand about the credit score but my point is I can't get anything on credit to try to be more "financially attractive". Sometime in the near future I would like to try and get a mortgage but at the moment I would have no chance.

DCFC79

Run your current account well, keep it in the plus, pay off the credit when due. What cards have you applied for ?

Tixy

How recent was the most recent default?
Do all show as settled on your credit file?

Are you on the electoral roll?

How many recent applications for credit (in the last couple of months)

If you are unable to obtain the likes of a vanquis card then another couple of options are a secured credit card from capital one (where they how a deposit from you equal to your limit) or a credit builder prepaid card.

Or you could wait until the defaults age a bit and then try for a subprime card again.

boucho11

The last default is from early 2013 but it has been settled. I dont have anything unpaid or outstanding on my credit file.

I am on the electoral roll.

I've only applied for 2 cards within the last two months so don't want to apply for anything else without being very sure i can get it.

Never heard of a secured credit card before, Is this good for building credit?

Tixy

I think generally with the subprime card lenders they recommend applying if you have had no defaults in the last 3 or 4 years.

Odd thing the secured credit card, I only know of capital one that do them. Basically you give them £200 which they hold in an account. Then they give you a credit card with a £200 limit, you operate the card as you would any other buying goods with it and repaying it and they report it to the credit reference agencies. But if you should ever not pay they have your money for security.
It should help you start to build up a credit history the same as any other low limit card would.

On the prepaid credit builder card what that effectively reports is a loan for £60 or so, being repaid over a year. That £60 is a cost of having the card. http://www.moneysavingexpert.com/credit-cards/prepaid-cards#poor

boucho11

Hi Tixy,

Ok so I got approved for the secured card. I only wanted a small limit on it but this seems the best way forward for me. I'll use it for six months and see what happens.

Thanks for your help. Much appreciated

:beer: