Lost and need advice please

Tixy

tamsaoud wrote: »

So what is the chances of the bank flagging me up as high risk based on the default that was put on my file in error and was not updated when it was removed ?

Unlikely I would think. Though not impossible I suppose.

Whilst your credit file may suggest that only using 30% of your available credit is a good thing, in reality any potential lender also considers the actual size of these figures and how they compare to your income.

Any score or interpretation of your credit file by the credit reference agencies should be taken with a very large pinch of salt, as it is only an assessment of a small amount of the information a potential lender considers.

tamsaoud

do you guys mean that I should go on a debt management plan? does that not mean it will demolish any chances of me obtaining credit in the future even to get a mobile phone contract ?

[Deleted User]

No. You need to do this the old fashioned way. Spend less and use all your spare cash to pay down the debt.

The DFW board will provide lots of support.

tamsaoud

Deleted_User wrote: »

No. You need to do this the old fashioned way. Spend less and use all your spare cash to pay down the debt.

The DFW board will provide lots of support.

Thats what I intend to do but it will take me a few years to pay it off and once the interest kicks in I will be in a deeper problem , thats why I was hoping I could get the loan.

so there is no point of me applying for another loan with someone else or pushing the bank to investigate and tell me why they class me as high risk when only a year ago they didnt despite me having almost the same debt back then

[Deleted User]

You won't get a loan for the full amount. You may be able to get a BT offer on a new card, which would let you move part of the balance.

But the bank won't tell you why they have declined you.

Tixy

These other open unused credit card accounts you have?

Have you contacted them to see if they will offer you any 0% deals on balance transfers on the existing accounts (or low life of balance rates)?

If you can get some of it on to another 0% deal you can then at least focus on paying as much as you can to anything left at higher interest rates.

Are you just paying the minimums on the 2 cards with balances at the moment? or more than the minimums?

tamsaoud

Tixy wrote: »

These other open unused credit card accounts you have?

Have you contacted them to see if they will offer you any 0% deals on balance transfers on the existing accounts (or low life of balance rates)?

If you can get some of it on to another 0% deal you can then at least focus on paying as much as you can to anything left at higher interest rates.

Are you just paying the minimums on the 2 cards with balances at the moment? or more than the minimums?

I get a letter from them every now and then offering me new zero balance transfer for one year with 3% fees which I did not want to do , first it wont be for the whole amount , secondly the year isnt long enough compared to the 2 years I currently have , but obviously that is with me thinking it wont be a problem to get a load or apply for another BT card but if its going to be like that I might have no option but to take the one year option.
and yes I pay a little bit more than the minimum payment but not that much TBH

cheers Tixy for the follow up

DCFC79

tamsaoud wrote: »

do you guys mean that I should go on a debt management plan? does that not mean it will demolish any chances of me obtaining credit in the future even to get a mobile phone contract ?

No need to get a phone contract, get a sim only plan and use in current phone.

danthemoneysavingman

I think it will help you to close some credit cards, especially the large limit ones just sitting there.
It would take some time for this action to help but such a large exposure relative to your income is most unfavourable.
I build credit scorecards for a living if that helps.

bouncydog1

Your debt is already around 50% of your salary, plus you already have the capacity to incur further debt on the unused portion of your cards. if the bank were to give you a loan they have no guarantee you would not spend further on your cards.

Suggest you call the cards with nil balances and ask about offers. before you do that look at their new customer deals to see what they are. Eg if they offer new customers 30 months and offer you 9, try to haggle with them.

Banks criteria has tightened considerably and they need to ensure affordability. You need to post up a statement of affairs on the debt free board to see where you can cut back and release more for repayments.