Please help regarding CCJ & DEFAULT

Cameronstewart

Hello. Please help me . I really want to use 2017 to understand and correct my finances.

Firstly I have a CCJ on my credit score for £2681 dated 15/04/2016. It says it is active? will it remain this way until I pay it off? I am paying this off monthly and understand that it wont drop off my file for 5 years , as I live in Scotland. I will continue to make my monthly payments which will have it will cleared in a couple of years.

I have also recently got a credit card with a low limit and plan to use it for fuel and pay it off immediately to try and improve my credit score.

Is it worth it though? Can my credit score increase will I still have an active CCJ. I was hping by getting the credit card, that my credit score will improve and I can still access some credit wih a fairly healthy creidt score even though I have actice CCJ.....or will i see no significan improvement for 5 years when it drops off. Basically I would like to see a healthy credit score with room for improvement when CCJ, drops off.....is this possible?

My last question is I had a credit card which defaulted . I am now paying this back via a debt collection compnay but when I look at my credit file, every month is defaulting...I am making my debt payments every month though. Is this right? Will this continue to default every month until paid? I thought it would say upto date each month as I am makking my monthly payments?

Sorry for all the questions. Please help as I really want to get my finances under control

Thanks so much in advance

[Deleted User]

A settled CCJ will look much better, but it's still a very bad thing to have on your files.

The default on the credit card is a monthly update and is correct. It will stop reporting as defaulted once it is settled.

You have no credit score - just credit history. The more good stuff - the better. So a well managed credit card will help, but the bad stuff will drag you down.

Cameronstewart

Ok perfect. Thanks . I dont really know what else to do. I am making my monthly payments, have my credit card now and will have that paid off monthly and am on the electrol register etc so I am just hoping that even with my CCJ my score will continue to improve ....... if thats possible

Arleen

Cameronstewart wrote: »

Ok perfect. Thanks . I dont really know what else to do. I am making my monthly payments, have my credit card now and will have that paid off monthly and am on the electrol register etc so I am just hoping that even with my CCJ my score will continue to improve ....... if thats possible

Score doesn't matter, history does. And yours will be severely impaired for the 5 years, but having it settle and letting time pass wil reduce it's impact.

Nothing else to do really, just make sure to not repeat the same mistakes.

[Deleted User]

Cameronstewart wrote: »

I am just hoping that even with my CCJ my score will continue to improve ....... if thats possible

It'd probably improve if you went bankrupt.

That's how absolutely-completely-not important-in a totally-meaningless-way your score is.

Cameronstewart

Ok. I am taking from this that I should really just stop focusing on my score, get my bills in order and continue to pay them on time .My history is more important than my score. Thanks for taking the time to reply and I will try not to be focused on my score

Arleen

Deleted_User wrote: »

It'd probably improve if you went bankrupt.

That's how absolutely-completely-not important-in a totally-meaningless-way your score is.

Actually what's best for your score is to migrate to the country and only have current addres on the electoral roll as an entry - 999/999 on Experian (true story)!

amfan

Cameronstewart wrote: »

I have also recently got a credit card with a low limit and plan to use it for fuel and pay it off immediately to try and improve my credit score.

Best to wait for the statement to be generated before you pay it off. If you pay it immediately then you won't be recording any history at all.

Cameronstewart

Perfect . That's good to know about waiting for statement to be generated . Thanks for your advice