Poor understanding of my credit file (where am I going wrong?)

Chronicle

Hi folks,

I apologise if a similar question has been raised previously!

I am seeking some advice, or better yet someone who can dumb down my understanding of a credit report.

I've been in constant employment since 2009 (I'm 25), have had car finance, credit cards, phones etc in my name and have all been paid with no issues. Cut a long story short, I have recently signed up to Equifax and disappointingly my score is 287!

It further states I have 12 Credit Agreements highlighted in gray and a repayment assessment stating it is 'poor', however I can confirm I have the following which are always paid on time, and more than the required amount (applicable to my cc's)

- Car finance
- O2
- Credit Card #1 (owe £3k out of £5k)
- Credit Card #2 (owe £400 out of £2k)
- Credit Card #3 (owe £100 out of £1.7k)
- Credit Card #4 (do not use)
- Credit Card #5 (do not use)
- Loan (small amount)

To emphasis my frustration I was always under the impression to further your credit score, it would be beneficial to get a credit card and use it, but pay it off come pay day. The two credit cards I no longer use is testament to that as I was given a £500 limit, now that one sits at £2250.

I am lost on what to do as next year my partner and I are aiming to get a mortgage and I am worrying that with such a poor score, would I be deemed a risk. I can confirm I have never missed a payment, if anything I always pay more than required.

My biggest confusion now is should I have the companies of the two credit cards (three come payday ha) I no longer use have close my accounts?

Apologies for the rambling, but I am absolutely confused on what to do and where I am going wrong!

Thank-you.

[Deleted User]

Your score is irrelevant.

Aim to pay of your card in full each month. Running a balance suggest you have no spare cash.

Hazzinho

Cancel the unused cards and settle and close the 2 with the small amounts in them. Also are you on the electoral roll?

molerat

Possible reasons for "poor" assessment :
Lots (too much) of available credit.
Lots of (too many) credit avenues currently being used.
Revolving credit (ie credit cards) not being paid down quickly.

You do not pay off a CC on pay day, you pay each statement balance IN FULL by the due date.