Rebuilding my credit rating

Jakbanks94

Hi all,

I'm just wondering in simple terms i would go about fixing and improving my credit rating. Unfortunately I had a tough couple of years and managed to get myself in some debt, about £3,500 which I've managed to fully pay off now. I hit unemployment which meant that I couldn't keep up the repayments and didn't deal with it the best way.. I've got no CCJ's but most accounts went to debt recovery o2, My Jar, Aqua, PayPal Credit etc. I can't even get approved for a contract on a mobile.

I've got two credit cards one of which. Aqua have now not reissued my card, my other one lumia has a £500 limit what I clear off each month.

Like I said, I'm now debt free and have some savings.. How do I rebuild my rating?

Thanks again

Mobeer

27 tips here:
http://www.moneysavingexpert.com/loans/credit-rating-credit-score#boost

cjmillsnun

The tip link above is good and no doubt I will be reiterating the mains ones here

The biggest tip that anyone can give you right now is live within your means.

Use the card you have, up to half its credit limit and pay off in full every month. It effectively becomes a budget card then.

Wait 6 months and look for a sim only phone contract.

Avoid payday loans and home credit. They will lead down the road of spiralling debt.

Make sure everything is right on your credit files. You can get them all for free now. (MSE Credit Club, Noddle and Clearscore). This includes addresses of current credit accounts (your bank current account and your credit card).

The rest is down to time. It takes 6 years from the registration of a problem (if your accounts went into default - it sounds like they did so you'll have dates they were registered as defaulted), to it dropping off your credit files.

If you want something in the meantime. Save for it.