How long realistically until I see an improvement?

Chrysanthemum5

Hi

I have a very poor credit rating.

There is a default which will drop off next June as that's when the 6 years is up.

I was made redundant end of last year so have a few missed or late payments but now I have secured a good job and have paid two cards off and have two left which will be paid off by May next year.

Once regular payments are made how long until I see a difference to each stage? Ie how long to poor to fair etc.

Just a general query really it's not for anything specific.

Thanks

[Deleted User]

It doesn't matter how a CRA rates you. No one sees it apart from you.

The longer you maintain good financial behaviour, the more positively lenders will see you.

Chrysanthemum5

Thank you

For arguments sake for my own benefit when will I see a better 'score'

It helps me feel better about things to see better improvements there

[Deleted User]

Impossible to say. Your score could go down as you clear debts, as well as up. The CRAs tend to see any change as a negative.

They bear little resemblance to how lenders see you.

Chrysanthemum5

Ok thank you

Thrugelmir

What's your aim? If it's a mortgage then your profile has to be far better than for a credit card that charges 20% interest per annum.

MEM62

Chrysanthemum5 wrote: »

Thank you

For arguments sake for my own benefit when will I see a better 'score'

No-one can tell you as these are randomly generated numbers and there is no direct correlation to your financial situation
It helps me feel better about things to see better improvements there

This is exactly what the CRA's rely on to sell their monthly subscription services.

Worry about the data - not the 'score'. Only prudent financial behaviour will make you look attractive to lenders so run your finances sensibly and you will be fine.