sold house to start again need to sort my credit score out

jonmariep

Hi guys, well today we sold our house and we are planning to start again by clearing off all out depts and start again dept free and not make the same mistake again. Over last ten years we have been stilly with money buy cars holidays and spending on credit cards. We want to buy another house but our credit scores are both poor and our last six month band statements are a mess being 5k into overdrafts.

Our current dept of nearly 20k

Overdrafts
joint account overdraft £2500
my overdraft £1000
wifes £1500

credit cards (already cut up)
cardcard 1 £500
credit card 2 £5200
credit card 3 £2000

Loans.
car loan 1 £1000 was 4k, ends jan 2016
car loan 2 £3500 was 10k, ends aug 2016

so a total dept of £17200!!!!!!

so we have just sold out house for £165k and the morgage left is £95k so with all dept paint off and estate agent fees and solicitor fees we will £50k left for a deposit on a new smaller house.

my question is with all my credit cards, loans and overdraft payed off how long will it be until our credit scores pick up?

[Deleted User]

Ignore your credit scores.

By reducing your debts, you will stand a greater chance of passing affordability checks.

In addition, you need to make sure you manage your accounts sensibly, by not missing payments, going over limit etc.

quidsy

The usual advice is 6 months. But speak to an all market broker & take their advice.