Credit File Advice

existential

Hi, thanks in advance for reading/responding - i know theres probably a thousand of these posts but I'm just looking for some specific advice to my case. I've trawled through endless blogs etc about credit scores, files etc but just hoping to start a conversation about improving my score.

Ive signed up to Noddle and my credit score is 486 (1/5 credit file) - not great huh?

Looking at my file I have 2 defaults (these are from AGES ago, 1 bank account and 1 credit card, that I'm in open disputes with)

Im not currently on the electoral roll, although i assumed i was for years.. so I've just registered online on the new system - how long will it take for this to appear on my noddle report - this is a bit deal right? In affecting my score..

The rest of my accounts are up to date, with the odd blip here and there, couple of late payments in the past etc

I've tried to apply for a loan a few times in the past to clear my existing debt but no-one will touch me - which is completely unhelpful as these companies advertise as 'debt consolidation' loaners and then they won't give you a loan even though you are paying 3-4x the amount that the money repayment would be on your accounts each month.

Anyway - essentially i want to clear my current debt (about 12,000) and buy a car (8,000) so I'm looking for about 20,000.

Am i dreaming??

Help me please !

Thank you again for your time and support.

cakeforbrains

Hi There,

Not being on the electoral roll will be an instant decline for many lenders. Similarly, having defaults deters many lenders and, even though they are in dispute, they are on your file presently so will be having a detrimental effect.

Added to that several credit applications in a short period of time (whether approved or declined - this information doesn't show) will make your file look bad as it looks like you're desperate for credit.

You don't say what you income is, but £12k of debt is a lot. It seems unlikely, as you've discovered, that you'll be able to get any kind of consolidation loan at this time due to your history. And in any case, consolidation loans often don't help people clear debt because they simply continue to borrow on the cards that they consolidated. Many of us have been there before.

To that end I really think you should consider whether you need to spend £8k on a car. I know this sounds blunt but it doesn't really seem like you can afford to.

If you go over to the Debt Free Wannabe board there will be people there who can really help you with the existing credit that you have - working out what to pay first and helping you tweek your monthly budget. Then hopefully you'll find yourself in a much better position in a couple of years and able to buy that car.

Malmo

Firstly, it is a legal requirement to be registered on the electoral roll. It is also a key factor when lenders evaluate credit applications as it is a means of verifying the identity of the applicant.

Secondly, no one in the UK has a universal or central credit "score". The scores sold or given by Credit Reference Agencies are marketing features for consumers - they are not seen or used by commercial (e.g. lenders) or public organisations (e.g. councils). Do not focus on ratings & scores. Lenders evaluate & score applicants using their own internal criteria.

Best to have a read of this MSE article for general tips & information about how credit profiling works and how to boost your general credit worthiness.

Lastly, why do you need to buy a car for £8k? Given your current debt level, ask yourself if this is a prudent move. In any case, even a third of that budget buys a LOT of car. I've bought 2 cars in the past month, both together for far less than £8K - one of them being a large German car. I would reconsider this plan.