improving rating after defaults, dmp and payday loans

peterpedro1980

Hi all, i need a bit of advice support.

I was on a DMP for around 6 years, which was finally paid off a year ago obvioulsy im aware any defaults will stay on my file for 6 years.

i also have had a LOT of payday loans over the last 3 years due to now living on my own and having rubbish paid jobs in the past .

I got a well paid job back in dec 2013 and am now finally getting out of the payday loan cycle. as i can now afford to live within my means

Ive just inherited 30k and will be looking to apply for a mortgage.

what can i do to up my rating or improve my chances of getting a mortgage? i realise i may have to wait a while?

anyone any experience in this situation?
how long do i wait?
how can i improve my rating?

forgotmyname

Only time will improves your chances.

Just make sure that you setup direct debits and pay off any cards in full and never use payday loans again and avoid using your overdraft.

How long to wait. Depends if you want the mortgage at the cheapest rates or willing to pay extra.

Just check how much extra you will pay over the best rates if you have to go with someone that's a small % higher.

happy_bunny_2

ozzyosbo wrote: »

Hi all, i need a bit of advice support.

I was on a DMP for around 6 years, which was finally paid off a year ago obvioulsy im aware any defaults will stay on my file for 6 years.

i also have had a LOT of payday loans over the last 3 years due to now living on my own and having rubbish paid jobs in the past .

I got a well paid job back in dec 2013 and am now finally getting out of the payday loan cycle. as i can now afford to live within my means

Ive just inherited 30k and will be looking to apply for a mortgage.

what can i do to up my rating or improve my chances of getting a mortgage? i realise i may have to wait a while?

anyone any experience in this situation?
how long do i wait?
how can i improve my rating?

Are your defaults all fairly dated? Some creditors are known to use arrangements to pay unfairly or default you much later than they should.

Fireflyaway

I have the exact same question as you! I did take out a credit card for those with poor credit but ended up missing payments and making it worse ! Maybe if you can be more organised than me this might help you?
I think time is the key. Defaults can't be removed, so apart from not taking out any more loans and ensuring bills are paid on time, I too am stuck to know what to do.
I guess we have to wait..... good luck !

peterpedro1980

Hi there...my defaults are just over a year my paydays ..well they will bw paid off this month then im not touching them again....yes i guess we will just have to wait it out...fingers crossed and good luck to you too

Fireflyaway

Bad credit feels like a dirty secret that I have. I now have an OK job so outwardly I look to be doing OK but the trail will follow me for 6 years. I have to keep making excuses to my parents as to why its 'so much better to rent than to buy' - really its because I could never get another mortgage right now.
Will feel so happy and free once my credit is good. When that happens I will protect it hardcore! Good luck.

happy_bunny_2

ozzyosbo wrote: »

Hi there...my defaults are just over a year my paydays ..well they will bw paid off this month then im not touching them again....yes i guess we will just have to wait it out...fingers crossed and good luck to you too

So from starting DMP to defaults dropping off will be 8 years? Should be closer to 6.5 if the defaults are dated correctly. Just a thought, but you can complain and see if they can be changed if dated too late.