Can I do anything more?

KirstyO

Hi everyone,

I have recently become debt free and am now looking to the future and probably a mortgage application towards the end of 2016.

I'm not too bothered about what is already on my file as I have checked it and everything recorded is fair and in order. What bothers me now is how I move forwards to improve my chances of getting an affordable mortgage.

So far I have registered for electoral roll at current address, maintained my mobile phone contract throughout my debts with no late payments, I have recently obtained a low-limit, high-interest credit card which I am generally using for around £80 and paying off in full every month.

Is there anything else I can be doing to boost my file? Or do I need to stick to my guns and just maintain these things?

enginesuck

I think sticking to your guns is the way forward. Just don't be tempted to overspend, and keep putting money away for a deposit.

I had a trashed credit file back in the day, and as soon as the six years was over (large default) I got a mortgage and the choice of pretty much any credit card I needed. Pleased to say I am maintaining my new disciplined way of spending and life is much better.

Good luck and keep on going !

20aday

I agree with engine suck.

When I was 18/19 I was financially irresponsible and ruined by credit files. After some excellent advice I received on here last year I've since sorted myself out and am in a much better position.

You say you're only charging roughly £80 per month on your credit card and then clearing the balance in full... Are you doing this after a statement has been generated?

KirstyO

Thanks engine and 20

Credit card is paid by an auto direct debit, but I always get an email saying that my next statement is available/payment is due.

Default is 3 years old in May this year. When I'm hoping to apply for a mortgage it will be 4 1/2 at least, maybe a bit older.

20aday

KirstyO wrote: »

Thanks engine and 20

Credit card is paid by an auto direct debit, but I always get an email saying that my next statement is available/payment is due.

Default is 3 years old in May this year. When I'm hoping to apply for a mortgage it will be 4 1/2 at least, maybe a bit older.

That's definitely a bonus if you are clearing your credit card after the statement has been generated as it'll certainly help your credit files.

I used to make the mistake of clearing the balance before the next statement was ready and it looked like I wasn't using my cards.

Since I learned to pay them after a new one was produced I've had two credit limit increases (one with Lloyds Bank and one with the Argos Card.)

As for the registered default and mortgage application I'm unable to help you on that as I've no real knowledge of what'll happen when you apply.

Someone else on here will point you in the right direction.

Tixy

Hi

It can be possible to get a mortgage with a default still showing on your file. But in general you will probably need a higher % deposit and expect to pay a higher interest rate than someone with a clean file and it may not be from one of the main high street lenders.

Best option when the time comes would be to approach an independant mortgage broker with copies of your credit files from each agency.